before the goods have been produced or delivered. Once the goods have been produced and are ready for shipment, sellers will request the balance amount to be paid on a Proforma or Commercial invoice. A Commercial Invoice is usually issued after the goods have been supplied and will contain the actual final product quantities and balance amount to pay which will be used by the importer during the customs clearance process.ĭownload or share invoices from IncoDocs in 1-click. Note that Proforma Invoices are issued pre-shipment, i.e.
A common example is a 30% deposit payment up front, and the 70% balance payment after the goods have been produced or shipped (the specific terms to be negotiated and agreed upon between the buyer and seller). At the beginning of a new export shipment order, the seller will prepare and send a Proforma Invoice to their buyer to confirm the order details and typically request a deposit payment. In the global trade process, the exporter will usually require a deposit payment to confirm the order and start manufacturing the goods.
