A purchase order template is a document may contain the order details for goods or services that is usually widely used to transactions between a supplier and a buyer. Actually this is a formal contractual document between both parties for goods or services.
Actually the purchase order is essential part of the business. Because every manufacturing unit need to purchase raw materials as well some materials from the supplier. Normally every purchase needs a document that needs to agree both the parties i.e. supplier and buyer. Hence, both parties can make the transaction without any disturbance. Usually in business purchase order describes details of offer, product details, product quantity, amount, taxes, terms and conditions and agreement column for both the parties. This is common structure which is also industrial standard.
Why need purchase order template?
Actually the purchase order (PO) template is formal commercial document which is introducing the requirements of buyer. This document prepares by buyer to purchasing something from supplier. The document describing the requirements, estimate amount and applicable taxes. Even terms and conditions for the purchasing the product.
The document helps to clear communication between supplier and buyer. When supplier get the PO from the buyer, they will be providing the materials on with described terms and conditions given for purchasing in PO. Hence, its makes binding contract between supplier and buyer.
This document is providing a legal evidence of purchasing or transaction between the two parties. Hence, this document is important for the both parties. Normally when any confusion or any legal issues are raise on between or after the transaction, this document can help to claim the evidence for transaction.
Simple tips to create a purchase order, follow these steps:
- If you download this ready made template for your own use. You can customize this purchase order template, which is create in excel spreadsheet. Simply, you have to add some information such as company’ name, contact number, email address, which is own information.
- As second step you have to describe the vendor details such as vendor name, vendor registration code / number, vendor address, emails and contact details.
- Describe the purchase order number and date.
- There are also require some basic details such as reference code/ number and date, through you are going to communicate for entire conversation.
- describe all the material related information, at the third section of the purchase order. Such as item name, item quantity, per item rate, total amount, etc.
- At the terms and condition, you can prepare some specific details or conditions which you need to explain to your supplier. This is very important details through you can make your transaction more secure.
- Payment and tax details are general which is can be applicable at local market and government rules.
- This is Excel spreadsheet; hence the information save in this document is easy to maintain. You can save this information simply as all files you maintain.
Always make the backup copy of each purchase order file. This file will be helpful if any issue with your soft copy. Even the purchase order template will be also helpful for the tracking each purchase for any time, mean daily, weekly or monthly purchase details.
What is the difference between a purchase order and invoice?
Actually a purchase order and invoice both are part of the single process that is purchase process for the buyer, and sales process for supplier.
Normally a purchase order (PO) is formal order form, buyer is preparing and send to supplier for its requirements of product or services. Which is communication reference document, and also binding agreement between two parties. The buyer sending this document for the ordering the materials from supplier.
Once the both parties are agreeing terms and conditions, rates and other aspects of the agreement i.e. purchase order’s terms and condition. supplier preparing the product for the provide it to buyer as per customer requirements.
When the supplier sending the materials or complying the service requirements as expect by customers i.e. buyer, they will be send the document that is invoice. Actually the invoice is the official document which is describing the materials or services selling to customers. It may also contain the similar details to purchase order.
But the major different is:
- Purchase order (PO) prepare by buyer to purchase the goods or services from the supplier.
- Hence, Invoice is preparing by supplier and provide to buyer along the materials or services are going to sell to buyer.
Usually, both are important part of the entire conversation. Hence, purchase order is first official steps that start the purchasing process at end of the buyer, and invoice is bill of the materials or services are selling to customer.
Purchase order templates
Actually making an effective purchase order is really very tough job, because it require to include some calculations for each item, details and combinations of business tasks. The ready made template can solve this issue, even all the require information including calculations will be done automatically. Hence, purchase order template, here as below you can see even download your own use. This ready made template is made with excel application, which is easy to use and flexible for customization.
Blank Purchase order template for excel
Creating a purchase order template is very difficult task if you don’t have enough information or insufficient tools. Even the making a purchase order template from sketch can be very time consuming job. Hence, here you can find ready made purchase order template which is made with excel application. As you know that the excel application is very simple and flexible application and every operator know this. This purchase order template is very easy to use, customization, flexible, and also have auto calculation system. You can download it and customize it for your own use.
Printable purchase order template – Free download
It is very important for the user to manage each purchase order with soft copy. But with some organize are still using the hard copy for the filling and sending to another personnel. Hence, purchase order template give you flexibility to print entire template. You can download and print purchase order template for free.