Quotes

Related docs: Invoices, Products

What is a Quote?

A quote is a proposal that shows a customer:

• What services or products you'll provide
• How much it will cost
• When the offer expires

Quotes are non-binding until accepted. They give customers time to review and approve before you create an invoice.

When to Use Quotes

Quotes are perfect for situations where customers need to review and approve before you begin work:

Common use cases:

• Project bidding - Competing for a new project or contract
• Custom work - Services with variable scope or pricing
• Large purchases - High-value projects requiring approval from multiple stakeholders
• New customers - Building trust by letting them review terms before commitment
• Uncertain scope - Projects where details need to be agreed upon first

When to skip quotes and invoice directly:

• Established pricing - Customer already agreed to the price
• Completed work - Service is finished, just need to bill
• Recurring services - Use Recurring Invoices instead
• Time-sensitive - When immediate payment is needed

Example scenarios:

• A web designer sends a quote for a new website project with a 14-day expiration
• A contractor sends a quote for home renovations that the homeowner needs HOA approval for
• A consultant sends a quote for a 3-month engagement that requires client procurement approval

Creating a Quote

Basic Quote Creation

1. Click "Create Quote"
2. Enter customer information
3. Add line items (see Invoices for details)
   • Use existing products or create custom line items
   • Be specific in descriptions so customers understand exactly what they're getting
   • Each line item supports VAT/tax rates, quantity, and unit pricing
4. Configure quote details:
   • Set expiration date (default: 30 days)
   • Set invoice due date (when the generated invoice will be due if accepted)
   • Add discounts if applicable (see discount types)
5. Review total amount
6. Save as draft or send once saved

Each quote receives a unique quote code (e.g., "Q-ACME-H65GD1") based on your location name, making it easy to reference in conversations with customers.

Discounts automatically carry over to the invoice when the quote is accepted.

Quote Status Lifecycle

Quotes move through several statuses:

Draft

• Quote is created but not sent
• You can still edit all details
• Customer cannot see the quote

Sent

• Quote is delivered to customer
• Customer has a link to view and accept

Accepted

• Customer has accepted the quote
• Paydough automatically creates an invoice
• Quote can only be cancelled (no other edits allowed)
• If the associated invoice is unpaid, cancelling the quote will delete the invoice and revert the quote to sent status
• If the associated invoice is paid, the quote cannot be cancelled

Expired

• Expiration date has passed (checked automatically daily)
• Customer can no longer accept
• You can edit the quote to extend the expiration date or update details, then resend it

Cancelled

• You've cancelled the quote
• Customer can no longer accept
• Useful when circumstances change

Sending Quotes

Once your quote is ready, click "Send Quote". The customer receives an email with a secure link to view and accept the quote online. No account creation required for customers.

The quote email includes:

• A secure acceptance link unique to this quote
• All quote details (line items, pricing, expiration date)
• Your business information
• A clear call-to-action to review and accept

If you send the quote again (for example, after extending the expiration), a new email is sent with a fresh secure link.

Quote Acceptance and Invoice Generation

When a customer accepts a quote:

1. Quote status changes to "Accepted"
2. Paydough automatically creates an invoice with:
   • Same line items as the quote
   • Same discount (if applicable)
   • Same customer information
   • Same total amount
   • Due date as specified in the quote (or immediately if none was set)
3. Invoice is sent to the customer immediately via email
4. Customer can pay the invoice online

The quote and invoice remain linked - you can view the generated invoice from the quote details page.

You can see recently accepted quotes on your dashboard.

Managing Quotes

Viewing All Quotes

See all your quotes organized by status:

• Draft quotes you're working on
• Sent quotes awaiting customer decision
• Accepted quotes that became invoices
• Expired or cancelled quotes

Track which customers have received quotes and their response status.

You can filter your quotes by:

• Quote code
• Status (draft, sent, accepted, expired, cancelled)
• Customer

Editing Quotes

You can edit quotes in these statuses: Draft, Sent and Expired.

You cannot edit:

• Accepted: Already converted to invoice - can only be cancelled
• Cancelled: Cannot be edited - create a new quote instead

Extending Expiration Dates

If a quote is about to expire and the customer needs more time:

1. Open the quote
2. Update the expiration date
3. Save changes
4. Optionally send it to the customer again

This keeps the quote active without creating a new one.

Cancelling Quotes

If circumstances change and the quote is no longer valid:

1. Open the quote
2. Click "Cancel Quote"
3. Optionally notify the customer

Cancelled quotes remain in your history but cannot be accepted.

What happens when you cancel:

• Draft or Sent quotes - Quote is simply marked as cancelled
• Accepted quotes with unpaid invoice - The invoice is deleted and the quote reverts to "Sent" status
• Accepted quotes with paid invoice - Cannot be cancelled (the transaction is complete)
• Expired quotes - Cannot be cancelled (already expired)

This protects you from accidentally cancelling quotes where payment has already been received.

Quote Expiration

Quotes expire to create urgency and ensure pricing stays current:

Default Expiration

• 30 days from creation date
• Customizable per quote

What Happens at Expiration

• Quote status automatically changes to "Expired"
• Customer can no longer accept the quote
• You can see recently expired quotes on your dashboard
• Only draft and sent quotes can expire - accepted and cancelled quotes do not expire

Handling Expired Quotes

• Create a new quote with updated pricing
• Extend the expiration if pricing is still valid
• Contact the customer to discuss

Best Practices

Appropriate Expiration Dates

Choose expiration dates based on:

• Small projects: 14-30 days
• Large projects: 30-60 days
• Time-sensitive pricing: Shorter expiration
• Complex proposals: Longer expiration for review

Professional Presentation

Make quotes easy to understand:

• Use clear product names
• Include enough detail to answer questions

Follow-Up Strategy

Don't wait for customers to respond:

• Send a reminder at the halfway point
• Contact 3-5 days before expiration
• Offer to answer questions
• Provide additional information if needed

Common Workflows

Standard Quote Process

1. Customer requests pricing
2. Create quote with line items
3. Send quote to customer
4. Customer reviews (you may answer questions)
5. Customer accepts quote
6. Invoice automatically generated
7. Customer can pay invoice

Expired Quote Recovery

1. Quote expires without acceptance
2. Contact customer to understand hesitation
3. Create new quote or extend expiration
4. Send refreshed quote
5. Customer accepts
6. Invoice generated

Multi-Option Quotes

Present multiple service tiers:

1. Create separate quotes for each option:
   • Basic package quote
   • Standard package quote
   • Premium package quote
2. Send all options to customer
3. Customer accepts their preferred option
4. Cancel other quotes

Quotes vs. Invoices

Understand the key differences:

Quotes

• Proposals for potential work
• Can be accepted or declined
• Have expiration dates
• Non-binding until accepted
• Become invoices when accepted

Invoices

• Billing documents for actual work
• Payment is expected
• Have due dates (not expiration)
• Create payment obligations
• Generated from accepted quotes or created directly

Use quotes when you need customer approval before billing. Use invoices when work is confirmed or complete.