Proforma Invoice

What is a proforma Invoice?

A pro forma invoice is a preliminary bill of sale that is sent to buyers when an order is placed, before the shipment or delivery of goods or services. It serves as a "good faith" agreement between the seller and the buyer, providing the buyer with information about the upcoming transaction. While a pro forma invoice includes much of the same information as a final sales invoice, it is not a legally binding document and should not be used for accounting purposes or as a binding agreement.