difference between sales contract and profoma invoice
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jabra
- Posts: 62
- Joined: Sat Dec 06, 2008 5:39 pm
difference between sales contract and profoma invoice
could someone please tell me the difference between sales contract and profoma invoice? and also what are the essential element of a sales contract? Thanks for your help
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bdesh
- Posts: 56
- Joined: Sat Jun 20, 2009 3:01 pm
- First Name: Hafizur
- Last Name: Rahman
- Organization: Southeast Bank Ltd
- Filter: Two Plus Two =: 4
- Location: Dhaka
Sales Contract Vs Proforma Invoice
Hi,
Proforma Invoice:
A pro forma Invoice is much the same as a commercial invoice which, when used in international trade, represents the details of an international sale to the Customs authorities. A pro forma invoice is presented in the place of a commercial invoice when there is no sale between the sender and the importer, or if the terms of the sale between the seller and the buyer are such that a commercial invoice is not yet available at the time of the international shipment. A pro forma invoice is required to state the same facts that the commercial invoice would and the content is prescribed by the governments who are a party to the transaction
Sales Contract:
The sales contract is an agreement that delineates the rights and obligations of both the seller and buyer.
Rather than being a standardized form, companies usually tailor their sales contracts to suit
the specific needs of their type of business. Often, the agreement is printed on the back of the invoice or bill of sale.
Regards
bdesh
Proforma Invoice:
A pro forma Invoice is much the same as a commercial invoice which, when used in international trade, represents the details of an international sale to the Customs authorities. A pro forma invoice is presented in the place of a commercial invoice when there is no sale between the sender and the importer, or if the terms of the sale between the seller and the buyer are such that a commercial invoice is not yet available at the time of the international shipment. A pro forma invoice is required to state the same facts that the commercial invoice would and the content is prescribed by the governments who are a party to the transaction
Sales Contract:
The sales contract is an agreement that delineates the rights and obligations of both the seller and buyer.
Rather than being a standardized form, companies usually tailor their sales contracts to suit
the specific needs of their type of business. Often, the agreement is printed on the back of the invoice or bill of sale.
Regards
bdesh
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berry
- Posts: 329
- Joined: Fri Nov 07, 2008 11:36 pm
proforma invoice vs sales contract
A sales contract is an agreement between a buyer and seller covering the sale and delivery of goods, securities, and personal property other than goods or securities. In the United States, domestic sales contracts are governed by the Uniform Commercial Code. International sales contracts fall under the United Nations Convention on Contracts for the International Sale of Goods (CISG), also known as the Vienna Sale Convention.
A price quote that a potential seller gives to a potential buyer that details the sale price and any applicable commissions and fees. It is given in the form of an invoice. A proforma invoice exists in order to give a potential buyer a precise figure of the final cost of a transaction. This helps the buyer in making his/her investment decisions. The proforma invoice also helps the seller avoid ill feelings that may result from unexpected fees charged to the buyer, which could drive away future business.
a proform invoice is not a sales contract until it is accepted by the buyer
A price quote that a potential seller gives to a potential buyer that details the sale price and any applicable commissions and fees. It is given in the form of an invoice. A proforma invoice exists in order to give a potential buyer a precise figure of the final cost of a transaction. This helps the buyer in making his/her investment decisions. The proforma invoice also helps the seller avoid ill feelings that may result from unexpected fees charged to the buyer, which could drive away future business.
a proform invoice is not a sales contract until it is accepted by the buyer