Do you know the differences between budget, delivery note and invoice?

The entrepreneurial activity of every business is included in papers such as budgets, invoices and delivery notes. These are essential to wear a bookkeeping adequate in companies and to be able to make forecasts for the future to continue growing.

But?What is the difference between a pro forma invoice and a budget? ORWhat is the difference between budget and delivery note? These are some of the most common questions that some entrepreneurs have when starting a business project.

In this article, we explain to you what a Proforma invoice, a presupposed And a packing slip and what is the difference between these documents. In addition, we present to you the invoice and budget software, where you'll find templates for easy and fast invoicing.

What is an invoice?

La invoice It's the only document required to issue for a company. These serve, among other accounting processes, to deduct VAT on goods and services purchased by the company to carry out its business activity.

Click here to learn how to deduct VAT from your business expenses.

The basic data that any invoice must contain are:

• First and last name, address and NIF (Tax Identification Name) of the issuer and the receiver
• Concept of the invoice, where you must add the basic information of the commercial transaction
• Amount (excluding taxes) and breakdown of each value
• Tax rate that applies and tax rate
• Invoice number, place and date
• Date of issue and method of payment (date on which the operations are carried out if this is different from the date of issue)

These fields may vary depending on the type of invoice that you issue, which will depend on the particular case of the company, although the ones that may create the most doubts are those that are the most similar to budgets and delivery notes: pro forma invoices.

Click here to learn what types of invoices exist and in which cases to use them.

Proforma invoices

Las Proforma invoices are an estimate of what the final invoice will be, their purpose is purely informational. It usually indicates the prices, the tax base and the conditions of sale. So?What is the difference between a pro forma invoice and a budget? Well, in the event of a disagreement between the company and the customer, the proforma invoice has legal validity (even if it is not valid for accounting purposes).

What is a budget?

Un presupposed Tell the customer how much they will have to pay for the purchase of the good or service. It is a document that is valid the moment the customer accepts it, not before, and in order to accept it, you must sign it.

When the customer has accepted the budget, as a company you have an obligation to meet that budget, so prices cannot rise. Of course, in the event of unforeseen events, The budget can be modified, in this case, it will need to be re-signed.

What is a packing slip?

El packing slip It is the document that indicates that the good or service has been delivered or performed to the customer, then, the invoice is issued. The packing slip is issued for two purposes, it allows the company to safely check that the good has been received or the service has been performed and, on the other hand, for the customer, it allows the customer to reject the delivery note if what was received or performed does not comply with what had been stipulated.

Differences between budget, delivery note and invoice

The budget, the packing slip and the invoices are documents that raise many doubts among businessmen, generally, a pro forma invoice and a budget are confused, a budget and a packing slip or a packing slip and an invoice.

Difference between pro forma invoice and budget

The main difference between the pro forma invoice and the budget is that, although the pro forma invoice has no book value, it does have legal value, so in case of disagreement, the company or the customer can submit it.

Difference between budget and delivery note

The packing slip, even if it has data similar to the budget, is not, since its target it's totally different. The packing slip is used to prove the reception of a good or provision of a service. Instead, the budget, to indicate the value of said good or service and the obligation to comply with it, both on the part of the company and on the part of the customer.

Difference between packing slip and invoice

The packing slip differs from the invoice because It does not prove that the customer has paid for the good or service, but rather indicates that you have received it or have benefited from it. In addition, the packing slip is optional, but the invoice It is a mandatory document when a sale of a good or service takes place.

Difference between budget and pro forma invoice

The budget and the pro forma invoice include, more or less, the same information about the activity, although in the presupposed It is possible Add more information. The difference is that they are delivered at different times. El presupposed It is the first thing that is delivered, on the other hand, the proforma invoice is delivered closer to the end of the service.

How management software can help you

With a invoice and budget software You can automating this accounting process. For many entrepreneurs, it is difficult to remember each time they are going to make each type of document what data must be added, something very relevant, since they are documents that determine the activity and, in the case of invoices, must be issued.

But not only that, delete worksheets and the paperwork that allows your company to save time to invest in other activities or create accounting documents from your mobile phone in Any place is possible thanks to invoice and budget software.

With taclia you can create invoices and budgets, with the help of templates, compute your bills and budgets automatically and send them to your customers via email from the same application. In addition, all invoices and estimates will be recorded and linked to each customer, so searching for past information or reviewing some data is quick and easy.

In addition, we know that your time is precious, so with taclia you don't waste time calculating taxes. Todo no need for previous experience.

Click here to learn more about taclia's task management software and services.