Proforma invoice: definition, example, and why it matters
Proforma invoices look like real invoices but carry no accounting weight — they're a commitment letter. Used heavily in international shipping for customs and in custom-fab jobs to lock specs before production starts.
Short definition. A preliminary invoice sent before work or shipment to confirm terms.
Category. Proforma invoice is a invoicing term used by service businesses when billing customers.
How Glo Invoice handles it. Glo Invoice builds proforma invoice into the invoice itself, so you don't track it on paper or in a spreadsheet.
Frequently asked questions
What does proforma invoice mean?
Proforma invoices look like real invoices but carry no accounting weight — they're a commitment letter. Used heavily in international shipping for customs and in custom-fab jobs to lock specs before production starts.
Related terms
Invoice — A document a business sends a customer requesting payment for goods or services.
Estimate — A non-binding written quote of the cost of a job, sent before work begins.
Purchase order (PO) — A formal request from a buyer authorizing a seller to perform work or ship goods.