Quotation, Sales Quote Samples and Writing Tips

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How do you create a Quote template?

A quotation is a business offer provided by a seller to a prospective buyer to sell particular goods at specific prices and under certain terms and conditions. It's a seller's response to a potential buyer's inquiry. As a result, the seller must plan the quotation letter meticulously. It must provide details on all the points raised in the inquiry letter. Since it is the basis on which the interested buyer determines whether to purchase, the seller should submit the best possible quotation in order to persuade the buyer to place an order.

What are tips for writing best Sales Quotations?

  • It is generally considered an intelligent idea to avoid setting too high and too low prices. Prices must also be realistic enough to appeal to consumers to the nature of the commodity.
  • Knowledge disclosure or regulations is also referred to as good ethics as hidden terms and conditions can lead to mistrust. A confident partnership with customers is vital to establishing the company as a leader.
  • While numerous quotes can be submitted for manual quotes online, we do propose that the process be streamlined, and production made more efficient and professional by the use of a cloud accounting programs.
  • Work Estimate Template Free example document template

    Work Estimate Template Free

    How do you make a spreadsheet estimate? Download this sample Work estimate for free so you can do a rough work estimate of how much the entire job will cost.
  • Quotation Template Words example document template

    Quotation Template Words

    Searching for a free sample of a Sales Quotation? Feel free to download and use this template for your own business. Also have a look at our tips on how to write a quotation.
  • Quotation Form example document template

    Quotation Form

    What is a quotation form? What is the use of quotation form? How do you make a quotation form? Download this sample Quotation Form directly.

  • What are common types of Sales Quotes and INCO terms?

    • Loco Price Quotation: Loco means 'On the spot'. Therefore, the loco price refers to the cost of goods at the factory or godown of the seller. Once the goods are out of the sellers' factory or warehouse, all the expenses for carrying the goods from the seller's warehouse to the buyer's place are to be borne by the buyer. This is the lowest price quotation.
    • Station Price Quotation: Under this quotation, seller's responsibility is to send the goods to the nearest railway station from his warehouse. It includes the cost of carriage of goods to the station. Since he delivers the goods upto the station, he charges a little higher price. All further expenses on goods such as freight, insurance, etc. have to be borne by the buyer.
    • Free on Rail (FOR) Price Quotation: Free On Rail (FOR) price quotation covers the expenses of carrying the goods to the railway station nearest to seller plus the loading expenses, freight and unloading expenses are to be borne by the buyer. FOR price quotation = Station price quotation + Loading Charges
    • Cost and Freight (C & F) Price Quotation: Cost and Freight (C & F) price quotation includes the cost of the goods and all the expenses like carriage to the seller's nearest station, dock and loading charges and freight. Expenses like insurance, unloading and cartage to the buyer's place are to be borne by the buyer. C & F price quotation = FOR price quotation + Railway Freight.
    • Cost Insurance and Freight (CIF) Price Quotation: There is a risk involved in transporting goods and this risk is covered by insurance. Generally, the buyer pays insurance charges but if CIF quotation is mentioned then the seller pays for the insurance charges along with other previous mentioned prices. So, the price includes cost of the goods plus carriage up to seller's nearest station, loading, freight and insurance charges. CIF price quotation = C & F price quotation + Insurance: 
    • Franco Price Quotation: Franco price quotation is the highest price quotation. In spite of being the highest quotation, buyers prefer this quotation because under this price, the goods are delivered to the buyers at their door-step. The buyer is relieved from the tension of transporting goods from the seller's warehouse to his own warehouse. Franco price quotation = All expenses up to the buyer's warehouse.
    • Free Alongside Ship (FAS) Price Quotation: Free Alongside Ship (FAS) price quotation includes the cost of the goods and all the expenses to deliver the goods at the dock nearest to the seller. The buyer has to bear the expenses of loading, insurance, freight and the customs duty, etc., in addition to the cost of goods. Though this quotation is used in some countries, it is not in use in India. FAS price quotation = Loco price quotation + cost of carriage of goods up to the harbor nearest to the seller.
    • Free on Board (FOB) Price Quotation: Free On Board (FOB) price quotation is similar to FOR in inland trade. This is normally used in foreign trade. Under FOB quotation, the seller quotes a price which includes all the expenses incurred until the goods are actually delivered on board the ship at the port of shipment. FOB price quotation = cost of goods + expenses up to goods on ship's board.
    • Cash with Order (CWO) Price Quotation: In Cash with Order (CWO) price quotation, the buyer has to send cash along with the order, otherwise, the order may not be executed.
    • Cash on Delivery (COD) Price Quotation: In Cash on Delivery (COD) price quotation, the buyer has to pay cash after receiving the delivery of the goods ordered by him.
  • Question & Answers related to Quotation, Sales Quote Samples and Writing Tips

    • What is importance of Quotation in Business?

      Commodity prices are often set by default. In these situations, you may ask why quotes are required. In other words, businesses produce an invoice to represent the data when prices are determined. Quotes have an equivalent purpose in the case where invoices are uncertain or dependent on certain conditions when costs for services and goods. They are produced prior to checking the order. They are sent to the customer prior to the fact and are therefore the first point of contact with the company for the customer. This is the reason why business quotes are so valuable. A well formulated quote can help to make a prospective customer payable.

      What are the contents of Quotation?

      A Sales Quotation commonly contains the following:

      • Quality details of goods, services offered;
      • Quantity offered for sale;
      • Type of quotation;
      • Price per unit;
      • Currency per unit (USD, crypto, etc)
      • Payment  Terms (T/T, Cash, Credit, trade discount, discount,  etc);
      • Time, mode and place of delivery;
      • Details of duties, Octroi, Patents, etc;
      • Details of packing, labeling, insurance, etc;
      • Misc, margins, errors and omissions expected;
      • INCOterms.
  • Pricelist Excel example document template

    Pricelist Excel

    How to create a Pricelist in Excel? A pricelist is an important means of communication within a business. Download this sample price list template now.
  • Services Pricelist example document template

    Services Pricelist

    What do you need for a Service Pricelist? In general, a Sales Manager is responsible for making or delivering an accurate pricelist. Download this Pricelist
  • Sales Quote example document template

    Sales Quote

    What are the contents of a Sales Quotation? When writing a Quotation, make sure to include all the relevant details to do a successful sale.
  • Quotation confirmation mail sample example document template

    Quotation confirmation mail sample

    What are writing tips for a quotation approval letter? Freely download this sample quotation approval letter.
  • Quotation Confirmation Letter example document template

    Quotation Confirmation Letter

    How to write a letter to supplier that you accept their Quotation and confirm Purchase Order? Download this sample Letter to Approve Quotation directly.
  • Quotation Acceptance Letter example document template

    Quotation Acceptance Letter

    How to write a Quotation acceptance letter? When writing a Quotation acceptance letter, check out and download this sample Quotation acceptance letter now.
  • Regret letter for not sending quotation example document template

    Regret letter for not sending quotation

    How do you write a late submission or regret letter for not sending quotation? Download this sample apology letter for late submission of a quote directly.