---
title: "Quotation"
description: "What is a quotation? A priced offer a seller sends before an order. See what a B2B quotation includes, an example and how it differs from an invoice."
url: https://1flux.ai/glossary/quotation
last_updated: 2026-10-10
---

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

# Quotation

What is a quotation, and how is it different from a proforma invoice or a tax invoice?

Glossary Updated 10 October 2026

Definition

A quotation is a written, priced offer from a seller to a customer stating what will be supplied, at what price and on what terms, for a limited period.

## What is a quotation used for?

In B2B trade a quotation, or quote, is usually the first formal document in a sale. It lists items, quantities, unit prices, discounts and [tax](https://1flux.ai/glossary/vat), plus delivery and payment terms and a validity date. Quotations for project supply often open with a formal cover letter addressed to a named person, with Ref, Attn and Subject lines, a format that is standard across the Gulf.

Example: an electrical wholesaler quotes 200 cable trays at USD 23 each plus tax, valid for 30 days, with delivery in 2 weeks.

A quotation isn’t an invoice, and nothing is owed until the customer accepts it, usually by issuing a [purchase order](https://1flux.ai/glossary/customer-purchase-order). A [proforma invoice](https://1flux.ai/glossary/proforma-invoice) comes later, when the buyer intends to order. For a step-by-step format, read [how to write a B2B quotation customers say yes to](https://1flux.ai/blog/how-to-write-a-b2b-quotation).

In 1flux

1flux builds quotations from your catalogue, or drafts them from a customer’s PO or RFQ with Import PO with AI. Prices and tax are calculated on the server, approval rules can apply by amount, and the approved PDF is locked before it goes out by email, secure link or WhatsApp. Customers can accept online by typing their name. [See 1flux Quotations](https://1flux.ai/products/quotations)

Related

## Keep exploring

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

A new, numbered version of a quotation already issued.

### [Customer purchase order](https://1flux.ai/glossary/customer-purchase-order)

The buyer's formal order to you, usually after your quotation.

### [Proforma invoice](https://1flux.ai/glossary/proforma-invoice)

A preliminary bill sent before goods ship or a final invoice is issued.

### [Quotations](https://1flux.ai/products/quotations)

Quotes from your catalogue or a customer's PO, approved, locked and sent.

Last updated 10 October 2026