Quotation vs Sales Order vs Invoice

Quotation vs Sales Order vs Invoice

These three terms come up constantly in CloudFFL. Here is what each one means and how they relate to each other.

Quotation (Draft)

A quotation is a draft proposal. It says "here is what we can sell you and the price." The customer has not committed yet, and no inventory has moved. You can edit it freely.

Example: A customer asks about buying a Sig P320 and a holster. You create a quotation listing both items and the total price.

Sales Order (Confirmed)

When the customer says "yes, I want to buy this," you confirm the quotation. It becomes a sales order. This triggers inventory actions (a delivery order is created) and locks in the details.

Example: The customer decides to buy the Sig P320 and holster. You click Confirm. CloudFFL creates a delivery order to pick those items from your inventory.

Invoice (Bill to Customer)

An invoice is the bill you send to the customer for payment. It is created from the sales order and shows exactly what the customer owes.

Example: After confirming the sale and handing over the products, you create an invoice. The customer pays, and you record the payment.

The Flow

Quotation → Sales Order → Invoice → Payment

Each step builds on the previous one. You do not need to start from scratch at each stage — CloudFFL carries all the information forward.