Comparison
| Document | Issued by | Purpose | Effect |
|---|---|---|---|
| Quotation | Seller / provider | Offer price and terms before agreement | Not binding until accepted |
| Purchase order | Buyer | Formal request to buy at an agreed price | Binding once the supplier accepts |
| Invoice | Seller / provider | Request payment after delivery | Financial and tax document |
The usual document cycle
- Seller sends a quotation
- Customer agrees and issues a purchase order
- Work is done or goods delivered
- Tax invoice is issued
- Payment is recorded and documents archived
Why link them?
Linking documents removes re-entry and gives traceability from quotation to invoice. In Oqoodi an approved quotation converts into an invoice and contract in one click, with status tracked on your dashboard.
This information is general and educational, not legal or tax advice. Rules change, so check the official authority or a specialist before acting.
Frequently asked questions
Is a quotation binding?
Usually not until the customer accepts, or as set by the quotation’s validity and terms.
Do I need a purchase order if there is an invoice?
The PO comes from the buyer before supply and helps companies control spend and match documents.
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