SME SystemDocumentation

Creating Quotes

Learn how to create professional quotes with automatic VAT calculation in SME System.

The Quotes module allows you to create professional quotations for your customers with automatic VAT calculation, PDF generation, and seamless conversion to sales orders.

Creating a Quote

Starting from Scratch

To create a new quote:

  1. Navigate to the Sales module
  2. Click the Create Quote button
  3. Fill in the quote header information:
    • Customer: Select from your contacts (required)
    • Quote Date: Auto-filled to today (editable)
    • Valid Until: Quote expiry date (default 30 days)
  4. Add line items (see below)
  5. Click Save

Starting from a CRM Lead

If you have a qualified lead in your CRM:

  1. Navigate to the CRM module
  2. Click on the lead
  3. Select Create Quote
  4. Customer details are pre-filled from the lead
  5. Expected revenue is suggested as the quote total

Adding Line Items

Selecting Products

  1. Click Add Line Item
  2. Select a product from your product catalogue
  3. The price and description auto-fill from the product record
  4. Adjust quantity as needed
  5. Add more line items as required

Custom Line Items

For products not in your catalogue:

  1. Click Add Line Item
  2. Select "Custom" or leave product blank
  3. Manually enter:
    • Description: What you're providing
    • Quantity: Number of units
    • Price: Unit price in GBP (£)
  4. The system calculates line totals automatically

Editing Line Items

  • Quantity: Change to update the line subtotal
  • Price: Override the default product price if needed
  • Description: Customise for this specific quote
  • Remove: Delete a line item by clicking the trash icon

VAT Calculation

Automatic Calculation

SME System automatically calculates VAT at the UK standard rate of 20%:

  • Line Subtotal: Quantity × Price
  • Line VAT: Subtotal × 20%
  • Line Total: Subtotal + VAT
  • Quote Total: Sum of all line totals

VAT Override

For special cases (e.g., zero-rated or exempt items):

  1. Click on a line item
  2. Change the VAT rate from the dropdown:
    • Standard (20%)
    • Reduced (5%)
    • Zero (0%)
    • Exempt
  3. The totals recalculate automatically

VAT Numbers

If the customer has a VAT number on their contact record:

  • It appears on the quote
  • Used for B2B VAT accounting
  • No VAT charged for intra-EU transactions (with valid VAT number)

Quote Totals

Understanding the Breakdown

Your quote shows:

  • Subtotal: Sum of all line subtotals (before VAT)
  • VAT: Total VAT on all line items
  • Total: Subtotal + VAT (amount customer pays)

Currency

All amounts are in British Pound Sterling (£) as per UK business requirements.

Generating PDF Quotes

Creating the PDF

  1. Save your quote
  2. Click the Generate PDF button
  3. The PDF downloads automatically
  4. Includes:
    • Your company logo
    • Customer details and address
    • Line item table
    • VAT breakdown
    • Payment terms
    • Quote reference and dates

Customising Templates

PDF templates can be customised with:

  • Your company logo
  • Payment terms
  • Footer notes
  • Colour scheme

Contact support for template customisation.

Sending Quotes to Customers

Email from SME System

  1. Save the quote
  2. Click Send Email
  3. The email opens with:
    • Customer email address pre-filled
    • Quote PDF attached
    • Professional email template
  4. Add a personal message
  5. Click Send

Manual Sharing

Download the PDF and share via:

  • Email (your own email client)
  • File sharing services
  • Print and post

Converting Quotes to Orders

When a Quote is Accepted

  1. Navigate to the quote
  2. Click Convert to Order
  3. The system creates a sales order with:
    • All line items copied
    • Customer details preserved
    • VAT calculation maintained
    • Original quote referenced
  4. The linked CRM lead moves to "Won" stage

Partial Acceptance

If a customer accepts only part of a quote:

  1. Create a new quote with accepted items
  2. Convert that to an order
  3. Create a revised quote for remaining items
  4. Track both separately

Managing Quotes

Quote Status

Quotes have the following statuses:

  • Draft: Not yet sent to customer
  • Sent: Sent to customer, awaiting response
  • Accepted: Customer has accepted
  • Rejected: Customer has declined
  • Expired: Valid until date passed
  • Converted: Converted to an order

Tracking Follow-ups

Use the CRM to track quote follow-ups:

  • Link quotes to CRM leads
  • Log customer communications
  • Set reminders for follow-up dates
  • Track conversion rates

Best Practices

Quote Accuracy

  • Review Before Sending: Check all details carefully
  • Clear Descriptions: Ensure line items are clearly described
  • Realistic Pricing: Use accurate pricing from your product catalogue
  • Appropriate Validity: Set expiry dates that work for your business

Professional Presentation

  • Use Your Logo: Upload your company logo for branded PDFs
  • Payment Terms: Specify clear payment terms
  • Contact Details: Ensure your contact information is current
  • Quote References: Use consistent numbering for tracking

Follow-up Process

  • Send Promptly: Send quotes within 24 hours of discussion
  • Schedule Follow-ups: Set reminders to check on quote status
  • Track Conversion: Monitor which quotes convert to orders
  • Learn from Rejections: Understand why quotes are rejected

Troubleshooting

VAT Calculation Wrong

If VAT seems incorrect:

  • Check the VAT rate on each line item
  • Verify customer VAT number is correct
  • Ensure prices are in GBP (£)
  • Check for custom line items with manual VAT rates

PDF Not Generating

If the PDF fails to generate:

  • Ensure all required fields are filled
  • Check that customer details are complete
  • Verify line items have descriptions
  • Try refreshing the page and regenerating

Customer Not Appearing

If a customer isn't in the dropdown:

  • Check they exist in the Contacts module
  • Ensure they're marked as a customer (not supplier)
  • Verify you have permission to view contacts
  • Create the customer first if they don't exist

Next Steps