Making a quotation as a freelancer: what goes in and what is binding
Written by Ilias Aarrass7 min read · Last reviewed on 
Written by Ilias Aarrass7 min read · Last reviewed on A quotation is more than a price tag: it is your business card and a legal document. Once the client agrees, there is a contract, with everything you did and did not write down. A sloppy quotation costs you later in scope discussions and non-payment. This article covers what must be in it, how to choose the pricing model and how to get from quotation to paid assignment.
The fixed elements of a good quotation
There is no statutory standard quotation, but in practice it should contain:
- Your business details (name, address, registration number) and the client's.
- A concrete description of the work: what you deliver, and just as important, what falls outside it.
- The price with VAT stated. Towards consumers you quote including VAT; for business clients excluding is customary.
- The validity period of the quotation, for instance 30 days.
- Schedule and delivery time, and what you need from the client to start.
- Payment term, any advance payment and your rate for additional work.
- A reference to your general terms, attached as an appendix.
Fixed price or hourly rate?
With a fixed price the client knows where they stand and you earn from your efficiency, but you carry the risk if it overruns. With actuals based on your hourly rate the risk sits with the client, but clients almost always ask for an estimate upfront. A hybrid often works best: a fixed price per clearly defined phase, with an additional-work rate for everything beyond it.
Example build-up: website for a landscaper
- Design and setup, fixed price
- € 1,200
- Building and filling five pages
- € 1,500
- Additional work outside this scope
- € 85 an hour, flagged in advance
- Total excluding 21% VAT
- € 2,700
Result: The client sees exactly what they get, you have a boundary where additional work begins. That prevents nine out of ten disputes
General terms: provide them before agreement
Your general terms govern liability, payment terms and what happens on cancellation. But they only apply if you provided them to the client before or at the moment the contract was concluded, so attach them to the quotation. A single line that 'our terms apply' without supplying the terms themselves does not hold up in court.
From quotation to assignment
Once the client agrees, including by email or message, there is a contract and you are bound by your quotation. So always confirm the agreement in writing, with the final arrangements listed. For larger assignments an advance of 30 to 50 percent is common; how to process advances in your records is covered separately. After completion comes the invoice, which must match the quotation.
No response after a week or two? Just call. Often the quotation simply got buried, and a conversation achieves more than silently cutting your price. Never lower your rate without also reducing the scope, otherwise the client learns your first price was negotiating room.
Frequently asked questions
Is a quotation binding?
For you, yes, once the client agrees within the validity period. That is why a validity period matters: without an end date a client can still accept months later at your old price. If you want a non-binding quotation, explicitly label it as such.
May I charge for preparing a quotation?
Yes, provided you agree it in advance. Unusual for a standard quotation, but for a worked-out plan or design with real advisory value a fee is reasonable, for instance offset against the assignment if it proceeds.
Must I state VAT on the quotation?
Towards consumers you must quote prices including VAT. Towards businesses excluding VAT is customary, but state that explicitly. A quotation that is vague about VAT is a classic source of conflict at invoicing.
Is agreement by email or WhatsApp legally valid?
Yes. A contract is formed without formal requirements; a clear 'agreed' by email or message suffices. So keep those messages with your records; together with the quotation they form your contract.
What is the difference between a quotation and an order confirmation?
The quotation is your offer; the order confirmation records that and how the client accepted it. For small jobs they coincide: the client signs or confirms the quotation, which then serves as the confirmation.
What if the client keeps asking for more after agreeing?
Point to the scope in your quotation and flag additional work before doing it, with a price indication. Whoever performs extra work silently struggles to get paid for it afterwards. A stock phrase helps: 'This falls outside the quotation; happy to do it for € X extra.'
This article provides general information based on the rules known for 2026 and does not replace personal tax advice. For your specific situation, we're happy to take a look with you.
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