Invoices and proformas in hotels: optimise your invoicing with LEAN
Managing invoicing in a hotel is no small task. Every day, tens or even hundreds of invoices are issued for stays, additional services and group bookings. Without the right tool, this process becomes tedious, error-prone and consumes resources that could be spent on improving the guest experience.
This article discusses the differences between invoices and proformas, when each is used, and how a modern PMS such as a LEAN Hotel System automates and simplifies the entire billing cycle to maximise efficiency and comply with current regulations.
What is a hotel bill and what should it include?
A hotel bill is a tax and legally binding document which lists all the services provided to the guest: accommodation, taxes and additional services. Spanish regulations require it to include basic information about the issuer and the customer. According to best practice guidelines, an invoice should contain:
📌Hotel details: full name, address, telephone number, e-mail address, and Tax Identification Number (NIF).
📌Guest or company details: full name, address and, if applicable, your VAT number. For invoicing in the name of a company, it is essential to request the legal name, tax address and tax ID of the customer.
📌Invoice number and date of issue: each invoice must have a unique and consecutive number, accompanied by the date of issue.
📌 Description of services: breakdown of each service consumed (nights of accommodation, breakfast, minibar, spa, etc.) with its unit price.
📌Subtotal, taxes and total: separation of the amount before tax, the applicable taxes (VAT or tourist tax) and the total amount payable.
📌Payment terms and additional information: accepted forms of payment, collection deadline and notes such as cancellation policies or loyalty programmes.
Using billing software integrated into the PMS streamlines this process and minimises human error. With LEAN, all these fields are automatically generated from the booking, avoiding duplication and ensuring consistency in each document.
What is the difference between an invoice and a proforma?
The proforma invoice is a preliminary document that is not valid for tax or accounting purposes; It serves as a quotation and as a preliminary commitment between the hotel and the guest. It is used to let the guest know the details and prices of a transaction before it takes place. In contrast to the final invoice, the proforma is not legally binding It is not included in the accounting ledger and is not sent to the tax authorities. Some key features are:
- Informative purposeThe guest is advanced the cost of the stay, taxes and discounts foreseen.
- No official numberingInvoice: it does not follow the official invoice series and usually includes the legend “Proforma Invoice” to distinguish it.
- Lack of fiscal effectsis not recorded in the accounts and cannot be used to deduct VAT or justify expenses.
On the other hand, the regular invoice is a definitive tax receipt that supports the hotel's income and the guest's obligation to pay. It must comply with current tax and accounting regulations, include all mandatory data and is recorded in the hotel's accounts. Only the final invoice is tax-deductible and is submitted to the tax authorities for tax reporting.
When is a proforma invoice issued in a hotel?
Hotels use proformas in situations where they need to present a detailed quotation before confirming a booking. For example, when requesting a deposit for groups or agencies, when negotiating rates with companies or when the guest requires a prior estimate. The proforma is delivered before the stay y not legally binding to any of the parties. When generating a proforma:
- Estimated charges for accommodation and additional servicesThe room rate is calculated and taxes and likely discounts are added.
- Cancellation policies and conditions are specifiedInformation on penalties for no-shows and deadlines for cancellation without cost.
- Submitted to the client for approvalThe guest or the agency reviews and, if he/she agrees, confirms the booking. The proforma can be converted into an invoice at the end of the stay.
It is important to note that a proforma is not a substitute for a contract, Therefore, any changes to the booking must be reflected in the final invoice. In addition, it is not recommended to use the proforma to justify corporate expenses, as it is not recognised by the tax authorities.
Can I deduct expenses with a pro forma?
No. Since the proforma has no tax or accounting effect, VAT cannot be deducted nor record the expenditure in the company's accounts.
To deduct an accommodation expense, you need the final invoice issued by the hotel, which complies with all legal requirements (details of the issuer and recipient, number, date, itemised amount, taxes, etc.). The ordinary invoice is the only valid document before the tax authorities to accredit the expense and deduct taxes.
Requirements for requesting an invoice in the name of a company
When the customer needs the invoice to be issued in the name of your company (e.g. on business trips), you should collect complete tax information before issuing the invoice. In addition to the basic details of the guest, the invoice should include:
- Company namefull legal name.
- Tax domicileaddress where the company is registered for tax purposes.
- VAT NO/NIFcompany's tax identification number.
- Description of services: clarify if the stay corresponds to employees, number of rooms, nights and additional services.
- Specific billing seriesSome hotels issue invoices to companies in a different series to facilitate internal control.
Requesting this data on time avoids delays and subsequent corrections. LEAN allows you to define multiple templates and billing series, so that you can issue corporate invoices with a different appearance and numbering, while maintaining consistency in the hotel branding.
Hotel check-in process: from booking to check-out
The billing cycle encompasses several steps, from booking to departure. A modern PMS centralises each phase:
Reservation and confirmation
The booking is registered and, if necessary, an advance payment is collected or a proforma is generated. With LEAN you can associate several prepaid and issue prepaid invoices for each tank, which is common for groups and events.
Stay and consumption
During the stay, charges for nights, extras (minibar, restaurant, spa) and taxes are recorded. For each service a “folio” is generated with date and time.
Real-time update
The PMS keeps a record of the “folio” invoices up to date so that the guest can check his balance at any time.
Check-out and final invoice
At the end of the stay, all folios are reviewed, discounts or credits are adjusted and the final invoice is issued, cancelling the proforma. At LEAN, you can combine several invoices o create corrections automatically if there are last minute changes.
Sending or downloading
The final invoice can be printed, emailed or downloaded in bulk to the PMS, facilitating internal audits. Competitors such as SabeeApp also emphasise the automation of payments and the sending of confirmations by post.
Billing for additional services: minibar, restaurant and other extras
Ancillary services are a significant part of hotel revenues. To avoid confusion, these services should be clearly detailed on the final bill. The Mews guide emphasises that each item should include its unit price and description. To streamline management:
Integrates the point of sale (POS) system with the PMS so that the consumption of F&B, spa or shops is automatically recorded in the guest's folio. LEAN allows the integration of different modules via API.
Choose between grouped or detailed invoices to adapt to the policies of agencies and companies. Hoteliga, for example, allows you to use different templates and series and invoice bookings in part or in full. With LEAN, you can create a summary invoice for a company or a detailed invoice for a travel agency.
In international or multi-rate environments, it is essential that the PMS applies the correct VAT based on the customer's origin. Hoteliga highlights the ability to adjust tax rates immediately according to the booking agency.
How to convert a proforma into a final invoice
In hotel practice, the proforma is transformed into a final invoice when the service has been provided or the stay has ended. The procedure is usually as follows:
- Review of the proformaCheck that the guest's details and expected charges are correct.
- Updating of chargesAdd the consumption made during the stay and apply final discounts or surcharges.
- Issuing the invoiceIn LEAN, this conversion is automatic; the PMS overrides the proforma and creates the associated final invoice. In LEAN, this conversion is automatic; the PMS cancels the proforma and creates the associated final invoice.
- Amendments and credit memosif errors are detected after the invoice has been issued, it is mandatory to generate a corrective invoice. Modern systems such as LEAN and Hoteliga allow the creation of credit (credit) and amendment invoices with separate numbering.
Invoice management on business trips
For corporate travellers and finance managers, managing hotel invoices is part of expense reporting. Some tips to optimise this process are:
- Request corporate invoicing at the time of bookingproviding company name, tax address and VAT number ensures that the final invoice contains the correct data and avoids subsequent modifications.
- Use pre check-in applicationsThe completion of the data prior to arrival speeds up the process and allows the PMS to prepare the final invoice. LEAN offers a version of pre check-in for travellers to send their information from their device.
- Digitise and centraliseKeeping digital copies of invoices in the cloud simplifies accounting. Some systems, such as SabeeApp, offer group billing based on folios to allocate shared charges.
- Clarity of detailclearly separating accommodation from additional services helps companies to identify which costs are deductible and which are not.
Automation and customisation of invoicing with LEAN
The key to optimising turnover lies in the automation and the flexibility. Many PMSs offer advanced features, but LEAN stands out for its intuitive and scalable approach. Here are some of its advantages:
📌Dynamic templates: LEAN allows you to choose between different invoice templates - grouped, detailed or summarised - and to assign a default template according to the type of customer (company, agency, individual). This configuration ensures visual consistency and saves staff time.
📌Editing and combining: the user can add or delete items depending on the situation. For example, issue summarised invoices for companies or detailed invoices for agencies, or join several invoices into one invoice. If invoices are combined, the system automatically generates one rectifying and a new updated invoice.
📌Automatic sending by e-mail: users with permissions can send invoices directly from the PMS without leaving the platform. This speeds up collection processes and reduces the use of paper.
📌DMassive dumping: ideal for monthly closings or audits. The function allows you to download all invoices for a period in a couple of clicks.
📌Number of guests (pax) visible: the most recent development (August 2025) adds the number of guests to invoices and proformas. This provides clarity for group bookings and facilitates the reconciliation of services.
📌 Regulatory compliance: LEAN incorporates functions to adapt to Spanish legislation, such as the issuing of invoices with independent series and the generation of rectifications with different numbering, complying with the requirements of invoicing regulations.
Legal compliance and VeriFactu: key to 2025
The digitisation of invoicing not only improves efficiency; it is also a legal obligation. As of 1 July 2025, The new regulation enters into force in Spain VeriFactu, which affects all businesses that issue invoices with software, including hotels. The regulation requires that invoicing software:
- Generate a unalterable record and digitally signed for each invoice.
- Incorporate a QR code and a unique identifier.
- Apply a hash to ensure that the information has not been modified.
- Offer the option to automatically send the records to the tax authorities.
In addition, it requires that all PMS programmes generate unalterable records and that, in the event of non-compliance, it is illegal to install or update them from July 2025. Companies that do not comply can face fines of up to €50,000 and will have to migrate as a matter of urgency. This is why it is essential to use a PMS that is ready for this regulation.
Comparison: manual vs. automated management
To better visualise the benefits of automating invoicing, let's look at a comparative table of the main aspects:
| Process | Manual management | Automated management (LEAN) |
|---|---|---|
| Invoice creation | Manual data entry; risk of errors | Auto-completed fields from reservations; consistency |
| Templates | Limited or non-existent templates | Different templates adapted to the type of customer |
| Sending invoices | Manual and individual shipment | Automatic mass e-mailing |
| Combine and rectify | Manual and unreliable operation | Linking invoices with automatic corrections |
| Legal compliance | Risk of regulatory sanctions | Adapted to VeriFactu and local legislation |
| Visibility of the number of guests | Normally absent | Field “pax” visible on invoices and proformas |
The comparison shows how automation reduces time and errors, and helps to comply with current regulations.
Final tips for efficient invoicing
- Centralise informationPMS in the cloud allows access to billing from any device and avoids dependence on local servers. Systems such as Hoteliga highlight the possibility of issue invoices in different languages and currencies.
- Customise your templatesHotelManager adapts the design and information according to the type of customer (company, agency, individual). HotelManager underlines the importance of customising templates and series.
- Automate taxes and foreign exchangea PMS should automatically apply VAT or tourist taxes according to the origin of the guest and allow for immediate adjustments.
- Review and update your processesBefore issuing an invoice, check that all the data is correct and that the proforma, if it exists, has been cancelled. Use the preview functions to avoid errors.
- Get ready for VeriFactuMake sure your PMS complies with the requirements of Royal Decree 1007/2023. Remember that from 29 July 2025 it will be mandatory for the software to be adapted and that companies will have until 1 January 2026 (legal entities) or 1 July 2026 (self-employed) to comply.
In a nutshell...
The efficient management of invoices and proformas in hotels is much more than an administrative formality; it is a key factor for profitability, customer satisfaction and legal compliance. Proformas provide an advance estimate, but are not valid for tax purposes, so the final invoice remains the obligatory reference for the tax authorities.
To issue corporate invoices, always gather the legal details of the company and apply specific templates. Automating invoicing with a PMS as LEAN allows you to choose templates, group or rectify invoices automatically, send documents by email and download large volumes of invoices in seconds.
It also prepares you to comply with the regulations VeriFactu which comes into force in 2025. Don't wait for legislation to force you to change: digitise your invoicing, reduce errors and save time. Ready to get started? Request a LEAN demo and take your hotel billing to the next level.
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