Purchase order (PO) is an administrative document that is used to request someone or company to supply products or ser vices based on agreed specifications, quantities and term of payments. Larger organizations or mature companies with established purchasing procedures use them to standardize the request for goods and payment processes. Once the PO is released, the supplier has to fulfill their obligation based on agreed terms written in PO, and once the services/products is delivered, the supplier can submit invoice to the buyer based on PO they received. By following this procedure, the dispute between companies or two parties involved in transaction should be minimized.
If you are looking for a reference on creating your own PO, you can download and modify this template, or you can use it directly, but don’t forget to change all attributes with your company attributes.
