Version 1.

5
Revision date: 05/2014

Prepared for the Minnesota District Export Council’s website www.exportassistance.com. This
document is intended to be modified by your firm prior to use or application.

Formal Quote
A quotation is one of the first steps in an export transaction. It is a response to an inquiry received from a potential
buyer (or a U.S. representative of the foreign entity) or a proactive marketing step of a U.S. based company.

If a quotation is sent to a foreign company that is not familiar with the company or products, the description should
be very specific and detailed, more so than if the buyer were domestic. Along with the description, there are other
items that should be included, such as:

1. Seller’s name and address

2. Potential buyer’s name and address
3. Buyer’s reference – inquiry number if noted
4. Prices of items: per unit and extended
5. Weights and dimensions of quoted products
6. Discounts, if applicable
7. Terms of sale or Incoterms used (include geographical delivery point)
8. Terms of payment
9. Validity of quotation
10. Estimated shipping date
11. Estimated date of arrival

When quoting a price, it is beneficial to give a potential buyer some options of trade terms selection. Incoterms are
very effective when presenting pricing options to the potential buyer. For some very large foreign companies, it is
more convenient and cost-effective to negotiate their own freight rates and organize their own shipments, so they
may prefer EXW or F-terms. On the other hand, there may be other buyers that would prefer the seller to organize
the movement, thereby preferring the C-terms or even the D-terms.

This template includes instructions to the buyer regarding the seller’s conditions for a letter of credit. If you
will not be paid under a letter of credit, please delete these instructions from your template.

Publicly Available – No Copyright - www.exportassistance.com

The information provided is for reference purposes only. Applicable regulatory publications should always be reference as appropriate. While every
effort is made to ensure that this information is accurate, this information is provided on an as is basis in good faith. The Minnesota District Export
Council (DEC) does not warrant the information against error, omission or misinterpretations. It is the responsibility of the user to determine
compliance with appropriate regulations. DEC shall not be held liable for any actions taken in reliance of the information provided. Samples and
templates provided require changes to be made to the document to customize the document for the user.
1
 Version 1.5
Revision date: 05/2014

Template: Formal Quote

Street Address
SELLER/EXPORT COMPANY City, State Zip Code USA

Quotation number:
Dated: Month Day, Year
Page 1 of 5

FORMAL QUOTATION

Customer Name
Address

Subject: Your request for quote for Product.

Our Reference No.:
Currency: USD
Trade Term: Subject to Incoterms® 2010

Model No. Description Quantity Unit Price Extended Price

Tariff Classification
Country of Origin

Export Packing/Crating:
Inland Freight:
Total Incoterms® Rule City, State, Country

Terms and Conditions of Sale:

Payment Terms: Payable in U.S. Dollars by wire transfer of funds prior to shipment of order or by an
acceptable letter of credit. Instructions are attached for opening a letter of credit.
Terms of Sale: Buyers may choose any of the above trade terms (Incoterms® 2010) that are in
bold print, then submit a purchase order with your selection. When submitting a
purchase order, please state the appropriate Incoterms ® Rule indicating the “named
place” and followed by the words: “... per Incoterms® 2010.”
Transfer of Title: Occurs at .
Validity of offer: (insert number) calendar days from date of quote.
Shipment Date: (insert number) weeks after receipt of payment or acceptable letter of credit.
Export Control: Please be advised, this order may be subject to an export license.

Publicly Available – No Copyright - www.exportassistance.com

The information provided is for reference purposes only. Applicable regulatory publications should always be reference as appropriate. While every
effort is made to ensure that this information is accurate, this information is provided on an as is basis in good faith. The Minnesota District Export
Council (DEC) does not warrant the information against error, omission or misinterpretations. It is the responsibility of the user to determine
compliance with appropriate regulations. DEC shall not be held liable for any actions taken in reliance of the information provided. Samples and
templates provided require changes to be made to the document to customize the document for the user.
2
Example Formal Quote Version 1.5
Revision date: August 2012

Seller/Export Company Quotation number:

Dated: Month Day, Year
Page 2 of 5
Shipping Information:
(Estimate only; may vary at time of shipment)
ITEM PART QUANTITY INVENTORY GROSS TOTAL CUBIC TOTAL
NUMBER (PIECES) AVAILABILITY WEIGHT GROSS FEET CUBIC
(LBS) WEIGHT (PER FEET
EACH (LBS) PIECE)

TOTALS

Total chargeable weight for ocean shipping:

Recommended mode of shipment:

Export Information:
Origin of Goods:
HS No.:

The receipt of your purchase order will signify acceptance with the terms and conditions of this
quotation. Please use Seller/Export Company quotation number when placing your order.

If changes to this offer are needed, please request a revised quote.

Destination Control Statement:

These commodities, technology or software will be exported from the United States in accordance with
the Export Administration Regulations. Diversion contrary to U.S. law prohibited.

For Seller/Export Company:

IMPORTANT!
In compliance with United States federal law, the Destination Control Statement (DCS) is to be entered on
the invoice, the bill of lading, air waybill, or other export control document that accompanies the shipment
from its point of origin in the United States to the ultimate consignee or end-user abroad. The Export
Administration Regulations specify when it is mandatory.

Publicly Available – No Copyright - www.exportassistance.com

The template provided is for reference purposes only. Applicable regulatory publications should always be referenced as needed. While every effort is
made to ensure that this template is accurate, this template is provided on an as is basis in good faith. The Minnesota District Export Counsel does not
warrant the template against error or misinterpretations. The Minnesota District Export Counsel shall not be held liable for any action taken in reliance
of the information provided.
Example Formal Quote Version 1.5
Revision date: August 2012

Seller/Export Company Quotation number:

Date: Month Day, Year
Page 3 of 5

LETTER OF CREDIT REQUIREMENTS

Customer Name
Address

Subject: Your request for quote

Our Reference number:

If a letter of credit is issued, below are the terms and conditions acceptable to Seller/Export Company If
any of these requirements are unacceptable, please contact Ms. George with alterations so an
agreement can be reached. This will eliminate unnecessary costs and delays later due to amendments
on the letter of credit.

1. Please open the letter of credit by SWIFT; opening letters of credit by mail may delay the
order process by 2-4 weeks.

1. The credit shall be drawn in irrevocable form and subject to “Uniform Customs and
Practice for Documentary Credits” International Chamber of Commerce Publication
Number 600.

1. The letter of credit is to be advised and confirmed by any U.S. owned bank, preferably at
the counters of (insert bank’s name). Seller/Export Company's bank may be the
advising/confirming if the customer does not already have a bank for this purpose.
Banking information for letters of credit are as follows:

Publicly Available – No Copyright - www.exportassistance.com

The template provided is for reference purposes only. Applicable regulatory publications should always be referenced as needed. While every effort is
made to ensure that this template is accurate, this template is provided on an as is basis in good faith. The Minnesota District Export Counsel does not
warrant the template against error or misinterpretations. The Minnesota District Export Counsel shall not be held liable for any action taken in reliance
of the information provided.
 Example Formal Quote Version 1.5
Revision date: May 2012

Seller/Export Company Quotation number:

Date: Month, Day, Year
Page 4 of 5

4. The credit shall be payable at the counters of any U.S. Bank.

1. The letter of credit shall show as The Beneficiary:

Seller/Export Company
Street Address
City, State Zip Code USA

6. The letter of credit shall be payable in U.S. Dollars at sight of draft and documents and in
the amount specified in the order.

7. The following documents will be provided for this transaction. Please avoid the
requirement for any other documents without prior agreement by us.

a. Commercial Invoice at value per the agreed order subject to Incoterms ® 2010 (insert
trade term and location). 1 original and 3 copies.
b. Packing List in 1 original and 3 copies.
c. The transport document as follows:

For Air Freight:

Clean Air Waybill consigned to the issuing bank designating "notify applicant".
- Air consolidator’s air waybills shall be allowed.
- Marked freight collect or prepaid, as agreed in the order.

For Ocean Freight:

Clean on Board Multimodal Ocean Bill of Lading consigned “to order” of shipper.
- NVOCC bills of lading shall be allowed.
- Marked freight collect or prepaid, as agreed in the order.

8. The port of export (for air or for ocean) shall be specified as “any USA port/airport”

9. The entry port at destination.

10. Transshipment allowed.

11. Partial shipments shall be allowed, if agreed upon in the order.

Publicly Available – No Copyright - www.exportassistance.com

The template provided is for reference purposes only. Applicable regulatory publications should always be referenced as needed. While every effort is
made to ensure that this template is accurate, this template is provided on an as is basis in good faith. The Minnesota District Export Counsel does not
warrant the template against error or misinterpretations. The Minnesota District Export Counsel shall not be held liable for any action taken in reliance
of the information provided.
 Example Formal Quote Version 1.5
Revision date: May 2012

Seller/Export Company Quotation number:

Dated: Month Day, Year
Page 5 of 5

11. The expiration date on the letter of credit shall not be less than (insert number) days after
the issuance of the transport document (air or ocean bill of lading).

8. The letter of credit shall not be transferable.

9. All banking charges incurred inside and outside the beneficiary’s country are for the
account of the applicant (customer). Note: this includes all charges related to amending
the letter of credit as well as confirmation fees (must be specified in writing within the
credit).

10. Please describe the product as follows:

11. Letter of credit must be in English.

12. No boycott, restrictive trade practices, or discriminatory provisions will be allowed in the
letter of credit.

TIPS:
 Use a multi-modal Incoterms® 2010 rule associated with a
location or port/airport (CPT foreign ocean port of entry).
 Specify “transport document” rather than ocean bill of lading or
air waybill, in case the method of transportation changes.

Publicly Available – No Copyright - www.exportassistance.com

The template provided is for reference purposes only. Applicable regulatory publications should always be referenced as needed. While every effort is
made to ensure that this template is accurate, this template is provided on an as is basis in good faith. The Minnesota District Export Counsel does not
warrant the template against error or misinterpretations. The Minnesota District Export Counsel shall not be held liable for any action taken in reliance
of the information provided.