While an invoice is official and legally binding, a proforma invoice simply sets expectations for both the buyer and seller. With this good faith estimate, a buyer can then decide whether or not to continue with the sale. The purpose of a proforma invoice is to provide the final details of an order to the buyer before they commit to a purchase. That means you shouldn’t record the total amount due under your accounts receivable or use the proforma invoice to reclaim value-added tax (VAT). In that sense, a proforma invoice is more like a sales quote than a final sales invoice. However, a proforma invoice is not legally binding because the terms of sale are still subject to change. The FinTalk Blog Strategy and trends in paymentsĪ proforma invoice and a final sales invoice share a lot of the same information.Customer Stories See how we transform finance operations.Why Tipalti A modern, holistic, powerful payables solution that scales with your changing business needs.The Tipalti Platform Global, scalable, and fully automated.Expenses Mobile ready integrated expenses and global reimbursements.Global Partner Payments Scalable mass payout solutions for the gig, ad tech, sharing, and marketplace economies.Procurement Complete control and visibility over corporate spend.Accounts Payable Automation End-to-end, global payables solution designed for growing companies.
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