Proforma Invoice, Invoice, and Commercial Invoice are all related to the sale of goods or services, but they serve different purposes in the sales process.
1. Proforma Invoice: A Proforma Invoice is a preliminary bill of sale that is issued by a seller to a buyer before the actual shipment of goods or provision of services. It provides an estimate of the cost of goods or services, including taxes, duties, and other charges that may apply. A proforma invoice is often used in international trade to provide the buyer with an indication of the total cost of a transaction, including shipping and handling fees.
2. Invoice: An invoice is a document that is issued by a seller to a buyer after the actual shipment of goods or provision of services. It contains detailed information about the goods or services provided, the quantity, the price, and any applicable taxes, duties, or discounts. An invoice serves as a request for payment and is used as evidence of a transaction for accounting purposes.
3. Commercial Invoice: A commercial invoice is a document that is used in international trade to provide customs officials with a detailed description of the goods being shipped. It includes information such as the quantity, the value, the weight, and the country of origin of the goods. A commercial invoice is necessary for customs clearance and is often required by banks and other financial institutions when processing international transactions.
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