Invoice vs Receipt vs Quotation — What’s the Difference?

Published: 26 Nov 2025

If you run a business in the UAE, you deal with different documents every day: quotations, invoices, and receipts. They may look similar, but each one serves a different purpose — and using the wrong document at the wrong time can cause confusion for clients.

What is a Quotation?

A quotation (also called a quote or estimate) is a price offer you give a customer before the work starts.

Shows prices, services, and project details
Helps the client decide if they want to proceed
Not a request for payment

Create a quotation here: Generate Quotation (Free)

What is an Invoice?

An invoice is a request for payment. It is sent after you finish the work or deliver the product.

Includes TRN, VAT amount, invoice date, due date
Asks the client to pay
Used for accounting and VAT reporting

Create an invoice here: Generate Invoice (Free)

What is a Receipt?

A receipt is proof of payment. It is issued after the client pays.

Shows amount paid
Shows payment date
Confirms that no balance is due

Create a receipt: Generate Receipt (Free)

Summary Table

Document	When Used	Purpose
Quotation	Before work	Offer price
Invoice	After work	Request payment
Receipt	After payment	Proof of payment

Final Thoughts

Using the right document keeps your business professional and organized. And with ZM Softwares, you can create all three documents quickly and for free.

Start creating professional documents now.