The short answer
A quote is an offer. An invoice is a demand for payment. One comes before the work; the other comes after. They have different legal statuses, different expiry rules, and different effects on your books.
What is a quote?
A quote (also called a quotation or estimate) tells a potential client how much you intend to charge for a specific job — before any work begins.
- It's an offer, not a legal obligation to pay
- It typically has an expiry date (14–30 days is standard)
- It can be accepted, declined, or negotiated
- It is not a tax invoice and cannot be used to claim input VAT
- Once accepted in writing, it becomes a binding agreement
What is an invoice?
An invoice is a formal request for payment after work is completed or goods are delivered. It creates a legal obligation to pay.
- Issued after delivery of goods or services
- Creates a legal debt
- Must comply with SARS requirements if you're VAT-registered
- Recorded as income in your books when issued (accrual basis)
- An unpaid invoice can support legal debt collection proceedings
The correct workflow: quote → job → invoice
Send a quote, get written acceptance, do the work, then invoice. In Invo, you can convert an accepted quote directly into an invoice in one click — all line items carry over and your invoice number is auto-generated.
What about a proforma invoice?
A proforma looks like an invoice but isn't a tax invoice. It's used to request a deposit or pre-payment before work begins — common in construction, events, and manufacturing. It must be clearly marked "PROFORMA" and cannot be used to claim VAT.
Quick reference: when to use each
- Quote: client asks "how much?" before you've agreed to do the work
- Invoice: work is done and you want to be paid
- Proforma invoice: you need a deposit upfront but the job isn't finished yet