A Supplier Quotation is document by a potential supplier specifying the cost of goods or services they’ll provide within a specified period.

A Supplier Quotation may also contain terms of sale, terms of payment, and warranties. Acceptance of quotation by the buyer can be considered as an agreement binding on both parties.

 

To access Supplier Quotation, go to: > Home > Buying > Purchasing > Supplier Quotation

1. Prerequisites 

Before creating and using a Supplier Quotation, it is advised that you create the following first:

• Supplier
• Item

2. How to create a Supplier Quotation

2.1 Supplier Quotation from Material Request

You can make a supplier quotation from a Material Request:

A Supplier Quotation can be created from a Supplier master.

The supplier can submit you a quotation himself via BizCentric. To know more about this, see section visit the Request for Quotation page.

2.2 Creating a Supplier Quotation manually

1. You can also make a Supplier Quotation directly from:Buying > Purchasing > Supplier Quotation > New.
2. Select the Supplier who sent you the quotation.
3. The Address and Contact will be fetched if you’ve saved it in the supplier master.
4. Enter the Item code, select the quantity. Rate will be fetched if you’ve set the Standard Buying rate for the item in Item Price.

If you procure the same item from multiple suppliers, it’s common practice to send out a Request for Quotation (RFQ) to several of them. This helps in:

1. Facilitating future price comparisons.
2. Ensuring fairness by giving all suppliers an opportunity to quote.

While Supplier Quotations might not be essential for all small businesses, it’s essential to weigh the cost of gathering this information against its actual value. As a suggestion, consider implementing this practice primarily for high-value items.

3. Features

3.1 Taxes and Charges

If your supplier intends to levy additional taxes or charges, such as shipping or insurance fees, you can input them here. This allows for precise cost tracking. If any of these charges contribute to the product’s value, they must be specified in the Taxes table. Additionally, you can employ templates for managing your taxes. For more information on setting up your taxes see the Purchase Taxes and Charges Template.

3.2 More

The form includes fields for Tax Category, Shipping Rule, Purchase Taxes and Charges Template, Discount, Terms and Conditions, Quotation Number, and Printing Settings. These details are essential for your records and can be filled in for accurate tracking of supplier-related information.

Here are some key points to note:

• Tax Category will be retrieved from the supplier master if set.
• Print settings allow adjustments to the supplier quotation print format.
• The Terms and Conditions listed here pertain to your supplier’s terms.
• The Supplier Quotation can be associated with a Material Request using the ‘Link to material requests’ button.

3.3 After Submitting

After submitting a Supplier Quotation, you can create the following records:

• Purchase Order: If you agree with the supplier’s quotation, you can generate a Purchase Order.
• Quotation: You can also generate a quotation for your customer based on the supplier’s quotation.
• Auto Repeat: Set up an auto-repeat for the supplier quotation at specified intervals.

4. Related Topics

1. Supplier
2. Supplier Group
3. Purchase Order
4. Request for Quotation