Learn when to use a proforma invoice, how it differs from a tax invoice, and how to create one for free with Tez Invoice.
A proforma invoice is a preliminary document sent to a buyer before goods or services are delivered. It looks like an invoice but is not a demand for payment. It tells the buyer what the final invoice will likely look like, including item descriptions, quantities, prices, and estimated taxes.
Proforma invoices are used in international trade, import and export transactions, and any situation where a buyer needs to arrange funds or get approval before the actual purchase happens.
Buyers and banks use proforma invoices to open letters of credit or get customs clearance for imported goods. Many companies also require a proforma invoice internally before they can raise a purchase order.
Sending a proforma invoice builds trust by showing clients exactly what they will be charged before the transaction is finalised. It reduces surprises and speeds up the payment process once the real invoice arrives.
Exporters, importers, wholesale suppliers, freight companies, and manufacturers regularly use proforma invoices. In India, businesses shipping goods across state lines or internationally often need them for documentation and customs purposes.
Freelancers and consultants sometimes use proforma invoices to get advance payment approval from corporate clients before starting large projects.
Open the proforma invoice generator on Tez Invoice. Enter your business name and client details. Add a description of the goods or services, quantities, unit prices, and tax rates. Set a validity date to indicate how long the price is valid.
Download the finished document as a PDF for email or printing, or as a JPEG for quick sharing. The whole process takes under two minutes with no sign up required.
A proforma invoice is not a legal accounting document. It does not create a tax liability and cannot be used to claim input tax credit under GST. A tax invoice, on the other hand, is the official billing document that triggers payment and tax obligations.
Always follow up a proforma invoice with a proper GST tax invoice once the goods are delivered or the service is completed.
Send a proforma invoice when a buyer asks for a price confirmation before ordering, when you need to provide import documentation, or when a client needs internal approval for a purchase. It is especially common in B2B and export-import trade.
Replace the proforma with a real invoice as soon as the transaction is confirmed. Keep a copy of both documents for your records.
Tez Invoice is our free online invoice generator. No sign up. No watermark. Download clean PDF or JPEG invoices in seconds, right from your browser.
Common questions about Free Proforma Invoice Generator: Create Pro Forma Invoices Online on Tez Invoice.
A proforma invoice is a preliminary billing document sent to a buyer before goods are delivered or services are completed. It shows estimated prices and is used for budgeting, customs clearance, or advance payment approval. It is not a legal tax document.
A proforma invoice is not a demand for payment and does not create a tax liability. A regular tax invoice is the official billing document used for GST compliance and payment collection.
Yes. The proforma invoice generator is completely free. No account is needed and your downloaded documents have no watermarks.
Yes. Proforma invoices are widely used in import and export trade for customs documentation and to open letters of credit at banks.
Use the tax field in the proforma invoice generator to add your GST rate. The tool calculates CGST, SGST, or IGST totals based on the rate you enter.
Yes. Click the PDF download button and the document is saved to your device instantly with no watermark.
Yes. The tool is fully responsive and works on smartphones, tablets, and desktop computers.
Yes. Upload your business logo in the tool and it will appear on your finished proforma invoice.
No. All data is processed in your browser only. Your business and client information is never uploaded to any server.
Send a proforma invoice when a buyer needs a price estimate before confirming an order, when goods have not yet been shipped, or when a client needs internal approval for the purchase. Always follow up with a tax invoice once the transaction is complete.