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what is the difference between pro forma invoice and invoice what is the difference between an invoice and performa invoice while an invoice is a commercial instrument that states the total amount due the performa invoice is a declaration by the seller to provide products and services on a specified date and time [Music] is a performa invoice of final invoice a pro forma invoice is a preliminary document that outlines the terms of sale when an order is placed although it is not final a pro forma invoice should give the buyer a clear understanding of the terms of sale including the price date of delivery and any additional fees is a performa invoice legally binding the performa invoice isnt legally binding a customer or buyer is not legally bound to pay a performa invoice at this stage theres still room for both parties to negotiate thats why once the transaction is confirmed the seller should issue an official final invoice