Quote: a firm, binding price
A quote is a commitment. You're saying 'this job will cost exactly this much.' If the materials cost more than you expected, that's your problem — the customer pays the quoted amount and no more.
Quotes work when you can accurately predict scope: replacing a specific water heater with a specific brand, painting a room that's already measured, installing a fence with known linear footage.
Estimate: a good-faith approximation
An estimate is your best guess based on the information you have. If reality turns out to be different (a rotten subfloor under the tile, extra materials because the wall wasn't square), you can adjust — but you need to document the change with a change order before doing the work.
Estimates work when scope is unpredictable: repair jobs, remodels, and anything where you can't see what's behind the wall.
The wording that matters
The word at the top of the document — 'Quote' or 'Estimate' — actually matters if things go to court. A customer who received an 'Estimate' has a harder time claiming you broke the deal by adjusting the price. A customer who received a 'Quote' has a stronger claim.
Whatever you send, include an expiration date (30 days is standard for materials-heavy trades) and note that pricing may change if scope changes. That's true for both estimates and quotes.
Which to use when
A practical decision framework:
- Job is small and scope is clear → quote
- Job is large and scope is uncertain → estimate with change-order terms
- Customer specifically asks for a 'firm price' → quote (and make sure you can hit the number)
- Emergency or after-hours work → estimate (you can't fully know until you're on site)
Both work better with digital signatures
Whether you send a quote or an estimate, get it signed. A digital signature on the customer's phone creates a clear audit trail: who agreed to what, when. Glo Invoice's estimates come with built-in e-signature — no third-party tool required.