Proforma Invoice Template
What is a proforma invoice?
A proforma invoice is a preliminary bill of sale a seller sends to a buyer before a transaction is finalized. It lists the goods or services on offer, their estimated price, and the terms of the deal, but it is not a demand for payment and it does not create a legal obligation to pay. Think of it as a detailed quote in invoice format: close enough to the final numbers that both sides can plan around it, but still subject to change once the order is confirmed.
Proforma invoices show up most often in two situations. The first is international trade: when goods cross a border, customs authorities and freight forwarders often require a proforma invoice to estimate duties, taxes and shipping costs before the shipment is packed and priced for real. The second is any sale where the buyer needs a firm-looking document to secure financing, open a letter of credit, or get internal budget approval before committing to a purchase order. In both cases, the proforma invoice lets the buyer see exactly what they’re agreeing to pay without either party being locked in yet.
The key difference from a regular invoice is timing and intent. A regular (commercial) invoice is issued after goods ship or services are delivered, carries its own sequential invoice number for accounting, and is a formal request for payment with a due date. A proforma invoice is issued before delivery, is clearly labeled “proforma” so it’s never mistaken for a real bill, and typically carries a validity period after which the quoted prices may no longer apply. Once the buyer accepts the terms, the seller replaces it with a commercial invoice reflecting the actual shipment.
How to fill in this proforma invoice template
This template is organized into six sections. Work through them top to bottom and you’ll have a complete proforma invoice ready to send.
Seller and buyer information. Enter your company’s name, address, contact details and tax or VAT ID as the seller, followed by the buyer’s company name, address and contact person. For cross-border deals, make sure the tax ID field is filled in correctly — customs officials often check it against the shipment paperwork.
Invoice details. Give the document a proforma invoice number (keep a separate numbering sequence from your regular invoices so the two never get confused), the date it was issued, and a “valid until” date — usually 15 to 30 days out — after which the buyer should request an updated quote. If the sale involves shipping, note the delivery terms (Incoterms such as FOB or CIF) so both sides agree on who pays for freight, insurance and duties.
Line items. List each product or service on its own row with a clear description, quantity, unit price and line amount. For customs purposes, descriptions should be specific enough to classify the goods correctly — “20 units, stainless steel hinges” rather than just “hardware.”
Totals. Add the subtotal, any applicable tax or VAT, and the total amount due. These are the numbers the buyer will use to arrange payment or financing, so double-check the math before sending.
Bank details. Include your bank name, account name, account number or IBAN, and SWIFT/BIC code so the buyer knows exactly where to send payment once the deal is confirmed.
Notes. Use this field for anything customs or the buyer needs to know that doesn’t fit elsewhere — a fuller goods description, packaging details, or special handling instructions.
Once it’s complete, send the proforma invoice to the buyer for approval. When they confirm, either convert it directly into a purchase order or issue a commercial invoice once the goods actually ship.
Sample proforma invoice and other formats
This page is itself a filled-in sample proforma invoice — every field carries placeholder text so you can see a complete document before swapping in your own details. It downloads as Word and PDF; to work in Excel or Google Sheets instead, open the .docx file in either app and the seller/buyer and line-item tables carry over cleanly.
FAQ
What is a proforma invoice used for?
A proforma invoice is a preliminary bill a seller sends a buyer before a sale is final, listing the goods or services, estimated price and terms. It's most common in international trade, where customs and freight forwarders use it to estimate duties and shipping costs, and in deals where a buyer needs a firm-looking document to secure financing or budget approval before committing.
What is the difference between a proforma invoice and a regular invoice?
A regular (commercial) invoice is issued after delivery and is a formal request for payment with a due date. A proforma invoice is issued before delivery, clearly labeled "proforma" so it's never mistaken for a real bill, and carries a validity period after which the quoted prices may change. Once the buyer accepts it, the seller replaces it with a commercial invoice for the actual sale.
Is a proforma invoice legally binding?
No. A proforma invoice is an estimate, not a demand for payment, so it does not create a legal obligation to pay. It becomes binding only once both parties confirm the order — typically by converting it into a purchase order or issuing a commercial invoice against the actual shipment.
Do I need a proforma invoice for customs and international shipping?
Often, yes. Customs authorities frequently require a proforma invoice to assess duties and taxes before a shipment is finalized, especially for new trading relationships or first-time shipments of a product. Check with your freight forwarder or the destination country's customs office for their specific documentation rules.
Is this proforma invoice template free to download?
Yes. Download the Word or PDF file instantly with no signup, no email address and no watermark. Edit it in Microsoft Word, Google Docs or any PDF editor and reuse it for as many quotes as you need.