Glossary
Purchase order
A purchase order is a document sent to a supplier requesting items in agreed quantities and prices before they ship.
What it means for a shop owner
It fixes what you really ordered, so on arrival you compare the goods with the order and the supplier's bill. That three-way check catches shortages and prices above what was agreed.
A worked example
You order 50 units at 8 = 400. Only 48 arrive, so you pay 48 × 8 = 384 and chase the rest.
Related
- Purchasing and suppliersPurchase orders and partial receiving in a POS
- Purchase order generatorFree purchase order generator and template: print or save as PDF
- Payables (supplier debts)Payables (supplier debts): definition and example
- Delivery noteDelivery note: definition and example
- Reorder pointReorder point: definition and example
- Purchase invoicePurchase invoice: definition and example
Try it in your shop, free, no card.
The free plan: the whole shop for one branch, an offline cashier with stock, debts and accounting, with a daily limit on invoices, expenses and purchase orders. What it includes