Preliminary document
Pro forma invoice · template and guide
Pro forma invoice: what it is and how to create one
A pro forma invoice describes a sale before it happens. It works as a formal offer, but it is not a final accounting or tax invoice. Create one in YOTU and convert it when your customer approves.
Before the final invoiceNo tax postingReady to convert
01 / Clear distinction
A pro forma invoice is an offer, not the final invoice
It can show products, services, prices and taxes so the customer knows the expected total. It does not replace the final invoice and should not enter the accounting or tax ledger.
Pro forma invoice
A preliminary commercial document used to confirm scope, price and terms before the transaction is completed.
Final invoice
The accounting and tax document issued after the transaction, with the definitive number, date and legal obligations.
02 / Practical use
When to use a pro forma invoice — and when not to
Use it for
- Send a formal quote before closing a sale
- Request an advance payment or deposit
- Support export or customs paperwork
- Get customer approval for amounts and terms
Do not use it to
- Record final revenue or an expense
- Declare or deduct tax
- Replace the definitive invoice
- Use a final fiscal invoice number
03 / Answers
Frequently asked questions about pro forma invoices
What is a pro forma invoice?
It is a preliminary document that describes a planned sale before the final invoice is issued. It sets out the items, prices and terms, but it is not the final accounting or tax document.
How is it different from a final invoice?
A final invoice is posted to the accounts, follows the definitive numbering sequence and creates tax and payment obligations. A pro forma invoice is informative and precedes that step.
Can a pro forma invoice show tax?
Yes. It may show tax so the customer can see the expected total, but that tax is only informative until the final invoice is issued.
How do I turn it into a final invoice?
When the customer approves it, convert the pro forma invoice in YOTU. The items, amounts and taxes are carried over so you do not have to type them again.
From proposal to invoice
Create the pro forma invoice now and finalize it later
Keep the proposal and the final invoice in one workflow, with no duplicate typing and a clear document trail.