What is a quote?
A quote is a proposed price for defined work. It usually includes service lines, quantities, VAT, terms and a valid-until date. If the customer accepts it, the quote becomes the basis for the job.
Invoice and quote guide
Invoice vs quote: what is the difference?
A quote is normally sent before work starts to set out the proposed price. An invoice is sent after work is agreed or completed to request payment. Getting the order right helps avoid confusion and payment delays.
Quick answer
Use a quote before the job, then an invoice when payment is due.
For most small businesses, the flow is simple: discuss the work, send a quote or estimate, get approval, do the work, then send an invoice and track payment. A quote helps the customer decide. An invoice tells the customer what they owe and when to pay.
What is an estimate?
An estimate is a best approximation when the final scope or cost might change. It is useful when the work is uncertain, but you should be clear that the final invoice may differ.
What is an invoice?
An invoice is a request for payment. It should include invoice number, dates, customer details, line items, totals, VAT where relevant, payment terms and your payment details.
Example workflow
- Create the quote with clear service lines and terms.
- Send it to the customer for approval before starting work.
- When the work is complete or billable, create/send the invoice.
- Track paid, due and overdue invoices until the balance is cleared.
Common mistakes
Do not use an invoice as a quote unless payment is genuinely due. Do not leave quotes open-ended forever; add a validity date. Do not bury VAT, payment terms or exclusions in unclear notes. The clearer the quote, the easier it is to invoice later.
Can a quote become an invoice?
Yes. Once the customer accepts the work and payment becomes due, the approved quote can be used as the basis for an invoice.
Is a quote legally binding?
A quote can become binding if accepted as part of a contract. Use clear terms and get professional advice for high-value or complex work.
Should I send an estimate or a quote?
Use a quote when the scope is clear. Use an estimate when the final work or cost may change.