What is a 'quotation'?
A quotation (or quote for short) is a formal document or statement that a seller provides to a potential buyer, outlining the price and details of goods or services they offer.
Difference with 'estimate'
A quote is a fixed price you offer your customer for a specific product or service. Once accepted, it’s legally binding. An estimate, on the other hand, is just a rough calculation — it's not final and can change later. Use a quote when you're confident about the cost.
Difference with 'invoice'
A quote is sent before work begins — it outlines what you’re offering and at what price. An invoice comes after the work is completed or the product is delivered — it's a request for payment.
What does a quotation look like?
https://www.ragic.com/sims/file.jsp?a=kb&f=Generate+Quote3.png
I’m a small business owner. Do I need to make quotations?
A professional quote builds trust with your customers and sets clear expectations. It shows that you’re serious, organized, and transparent about pricing — which is especially important for small businesses and freelancers.
** If you’re thinking about creating a quotation for your customers but aren’t ready to spend time and resources designing your own template or building a system, there are many free online tools that can help you quickly generate professional-looking quotations, customizable with your company logo.
For example, you can generate a polished, ready-to-send quotation in minutes using Ragic Business Quotation Generator.
