---
title: "Proforma invoice"
description: "What is a proforma invoice? A preliminary bill sent before goods ship. Learn when buyers ask for one and how it differs from a quotation and a tax invoice."
url: https://1flux.ai/glossary/proforma-invoice
last_updated: 2026-10-11
---

[Sales and CRM](https://1flux.ai/glossary#sales-and-crm)

# Proforma invoice

What is a proforma invoice, and why isn't it the same as a quotation or a tax invoice?

Glossary Updated 11 October 2026

Definition

A proforma invoice is a preliminary bill that shows a buyer what they will be charged before goods are shipped or a final invoice is issued.

## What is a proforma invoice used for?

A proforma invoice looks like an invoice, but it isn’t a demand for payment and isn’t recorded as a sale or as tax due. Buyers use proforma invoices to arrange advance payments, letters of credit or import permits, and some customers ask for one before releasing a deposit.

Example: an importer asks for a proforma invoice for USD 32,000 of pumps so its bank can open a letter of credit; the [tax invoice](https://1flux.ai/glossary/tax-invoice) follows on shipment.

It’s often confused with a [quotation](https://1flux.ai/glossary/quotation). A quotation offers a price; a proforma invoice sets out the expected bill for an order the buyer intends to place.

In 1flux

In 1flux, the approved quotation is a locked PDF you can send to the customer, and the tax invoice is raised later from delivered quantities. [Read the quote-to-cash guide](https://1flux.ai/guides/quote-to-cash)

Related

## Keep exploring

### [Quotation](https://1flux.ai/glossary/quotation)

A priced offer to a customer, valid for a limited period.

### [Tax invoice](https://1flux.ai/glossary/tax-invoice)

The invoice a VAT-registered supplier issues for a taxable sale.

### [Sales order](https://1flux.ai/glossary/sales-order)

The seller's confirmed record of what a customer ordered.

### [Quote-to-cash guide](https://1flux.ai/guides/quote-to-cash)

The eight stages from enquiry to cash in the bank, with the documents, controls, KPIs and a checklist.

Last updated 11 October 2026