1. Know your client's wishes
Before you draw up a quotation, you must first have a clear idea of what the client wants. Identify their wishes as well as possible. For example, are you making a quotation for designing a corporate identity? Then ask which parts you need to design. Logo, business cards and letterhead, or a website as well? This way you ensure that your offer meets their needs.
Check if your customer is financially reliable
You can check the financial reliability of your client in the KVK Business Register (Handelsregister). You can check the financial data of a bv. You can check the signing authority of a sole proprietorship, general partnership, CV, and professional partnership. And check whether there is a bankruptcy. You can also check via lenders whether your customer is financially reliable. With credit insurance, you are insured against risks caused by customers who do not pay.
2. Describe your work clearly
Describe exactly what work you are going to do for your customer in your quotation. Which products or services you will provide. Also state the conditions, such as the time schedule and your hourly rate.
How do you determine your hourly rate?
Determining your hourly rate can be tricky. Too high scares off customers, too low may generate too little income. And does not do justice to your qualities. Read more about determining your hourly rate on the KVK website and find out how to go about this. The article also features a short video with English subtitles.
3. Make an offer
Your customer does not have to agree to a quotation. After all, it is a proposal, not yet an order. So, for the most part, you can draw up the content of the quotation as you see fit. There are several legal requirements for quotations. Make sure to include these items in your quotation:
- your company details;
- your customer's details;
- the date of your quotation;
- the quotation number;
- a summary of the activities;
- your rate or project price;
- the validity period of your quotation;
- the right to a deposit of up to 50% of the total amount;
- a reference to your terms and conditions.
In addition to the legal requirements, you can consider including the following points in your invoice:
- purchase number;
- contact name;
- request for confirmation of receipt.
When preparing a quotation, make sure that you use stationery that contains your address, contact, and bank details.
View an example of a quotation on KVK.nl and see how the various items are described in the article Writing a winning quotation.
4. Include general terms and conditions
Drafting general terms and conditions is not mandatory, but it is sensible. In your general terms and conditions, you set out the rights and obligations of your customer and you as a supplier. Such as agreements about the payment term. This way you reduce your financial risks. And you avoid misunderstandings or disappointments.
Prepayment on product or service
If you sell a product to consumers, you may request a deposit of up to 50% of the total amount. This should also be stated in your terms and conditions. If you provide services, you may not demand a prepayment. There is no maximum of 50% for transactions between companies.
5. Send the quotation
Send your quotation by email. Be sure to send the price estimate in a pdf. This way, others cannot make changes without your knowledge and the layout remains the same. In the email, you write an accompanying text. The moment the client accepts and signs the quotation, the content of your proposal is legally binding.
Mention the terms and conditions
If you enclose your general terms and conditions, you must also mention this in the accompanying text. If you do not, your terms and conditions are not legally binding.