What to Include in a Quotation

There are many good things that a well written quotation will bring to your business. It will demonstrate
the professionalism of your business, it will market you by attracting new customers, it will meet your
business trading and consumer obligations. A well written quote will also protect your business from legal
and financial risks.
To achieve a well written quote that will meet professionalism and meet the legal and financial standards,
here is what some important components to include in a good quote:

 Business Details

Your business details are part of legal requirement. These details are the contact information of your
business and the Business Number. Also include any other detail that proves the legality of your
business.

 The Total Cost of the Outlined Job

List all the details that the job to be done involves. Indicate what the cost will cover. You can also indicate
what the cost will not cover if there is need to do so. Example, you may just be charging labor and offering
free delivery. Indicating this will show good customer care and earn credit to your business.

 Breakdown of Costs

Give a detailed description of the job proposal and all the elements involved. List all the items that will be
involved in this job and the cost of each of the items. This shows transparency and professionalism that
will help build your business.

 Variations

Give a detail on how some scenarios may affect the costing. For example, if there is an additional
responsibility that was not communicated, the cost will rise to a certain percentage. This will help in
avoiding any misunderstanding when planning the job.

 Revisions

Once you have started the job, you can revise on the quote and see what may need adjustments.

 Schedule for Work

The duration on which you will take on the task is important to indicate in the quotation. Make sure that
you give the appropriate time that you are sure you will have been through with the job, keep in mind that
it should not be longer than expected.

 Payment Terms and Conditions

This is very important to indicate to avoid any misunderstanding. There are several ways in which you can
indicate this. You may want it in lump-sum, Periodical payments, half upfront and half on completion.

 Quote Expiry Date

Be clear on when you need your quote to be accepted. There are some factors that may affect the quote
that takes too long to approve such as the prices in your industry as well the season of the job. There are
seasons where the demand for your service may be high. Indicate this in the quotation to be able to get
convenient response.

 Customer Acceptance Signature

This is an important document and including the customer’s signature is important in sealing the deal.
Include a space for signing to seal the agreement. For example, I (name), accept the above terms and
conditions. Signed__________ Date____________.

 Payment Method

The method of payment is just like the payment terms. This should be indicated in the quote especially if
you will need to be given a deposit before starting the job.