Invoice vs Receipt vs Quotation: Which One Do You Send?

Small businesses mix these documents up constantly. The sequence is simple once you see it: quote first, invoice second, receipt last. Each document marks a different moment in the deal.

Quotation (or estimate)

Sent before the work starts. A quotation tells the client what you propose to do and how much you expect it to cost. It is not a demand for money — it is the basis for a yes. Once accepted, its numbers usually flow straight into the invoice.

Invoice

Sent after the work is done (or at milestones). The invoice is the actual request for payment: line items, totals, tax, and a due date. Until an invoice is paid, it is an account receivable on your books.

Receipt

Sent after money changes hands. The receipt proves the client paid — amount, date, and method. For retail it is printed at the till; for services it often doubles as a paid invoice marked PAID.