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Hi Vic,

Proforma Invoice (PI) isn’t a tax invoice as such. Its purpose is for the customer to generate purchase order from it. You can of course state your payment terms and conditions in the PI. Once you receive the purchase order or a signed PI, then you send over the tax invoice so they can pay you before delivery, if that’s part of your agreement. Generally, 99% of buyers will not pay until they see the goods. You need to make sure on the payment terms or you’ll forever be chasing payments.

I hope this helps,