Here is a collection of free Purchase Order Templates that anyone can easily use. A purchase Order is an important business transaction that almost every business is required to undergo. Unless you already have a Purchase Order or PO designed for your company, you need a professional layout to record purchase orders. This is a simple yet comprehensive Purchase Order Template that can help anyone create their Purchase Order quickly and effectively.
What is a Purchase Order?
A purchase order is an official document issued by a buyer or company to the supplier or purchase that contains complete details of a purchase transaction. It has full info about the specific items or services required, quantities, agreed-upon prices, delivery terms, and other relevant information. Mostly, these documents were created from scratch for each procurement need, consuming substantial administrative effort. However, with the purchase order templates, the process of the transaction has been simplified and easy.
The purchasing department is the foundation of any business organization because it deals with purchase orders and vendors involved in the purchase deal. It is the responsibility of the purchasing department the successfully deal with vendors by minimizing the costs of purchased goods. It is the responsibility of the purchasing department to screen genuine vendors and track orders at every stage. The quality and performance of the purchasing department can affect the profit margins of a business organization. The purchase department records purchasing transactions using a purchase order. A purchase order is also known as a purchase requisition and serves as a written document between seller and buyer. It contains necessary details like details of products and services, terms and conditions, discounts, etc.
Here are previews of these Purchase Order Templates along with their corresponding download links to help you create your purchase order quickly.
Why Purchase Order Is Important?
A purchase order is an important official document, and it is important just because of the following reasons:
Contains Details of Ordered but Undelivered Goods
Purchase order enables your system to show the ordered but undelivered goods in inward stock. You can easily confirm what is coming, how much is coming and what is the due date of delivery as well as payment. It is important to design purchase orders at the time of booking orders for goods and services. It will keep your record updated and enable you to avoid potential errors.
Record of Financial Commitments
By designing a purchase order, you will get a record of financial obligations that you have to pay at some point. It will help you during auditing and financial accounting reports. A well-managed purchase order record will enable you to see the details of orders you have placed, details of completed orders, and details of pending payments.
Give Empowerment to Your Sales Team
Salespeople are required to keep a complete record of sales and purchasing transactions during a specific period. The purchase order will help you to provide complete information to sales personnel without any delay. It is important to be careful about accurate order placing and delivery dates.
Prevent Over-Purchasing
Without proper records, there are great chances of over-purchasing and to avoid this situation, it is important to have a complete record of purchase orders. Without purchase orders, you may place double orders without any need.
Help You to Match Delivered Goods with Your Order
A purchase order enables the receiver of goods to match it with the actual order placed because the same person doesn’t need to receive the order. It is important to have written records of the purchase orders to let others receive shipments of goods.
Management of Delivered Goods
It is important to account for financial transactions to verify commitment to pay money after the delivery of certain goods. Also, It is important to have a purchase order for each delivered and undelivered transaction. Moreover, It will enable you to put its value in the balanced sheet under “stock received not invoiced”.
Reconciliation of Purchase Invoice
After placing an order for the goods, you often quote a price, or the supplier sends the price list to you on earlier dates. You can include prices in the purchase order to diminish the need for a separate price list. It will enable you to match your purchase invoice with the purchase order without any waste of time.
Benefits of using Purchase Order Templates
One of the best benefits of using a purchase order template is time-saving. Instead of starting from scratch each time, users can easily and simply populate the template with the relevant details, such as product/item name, quantities, and delivery dates. In that way, there will be fewer chances to reinvent the wheel and enable procurement professionals to focus on more strategic tasks.
Another advantage of using these purchase order templates is the reduction in errors and omissions. The templates which are designed in Word or Excel, have all the necessary details, minimizing the risk of missing important information. This guarantees that the product or offerings provider receives a complete buy order shape that helps him to lessen the likelihood of confusion or misunderstandings.
Moreover, a buy-order template allows the enterprise to keep a standardized format throughout all procurement activities. This helps to enhance communication and knowledge among product customers and suppliers, as each event ends up acquainted with the layout of this shape. It additionally allows for record-preserving and documentation tactics for higher tracking of orders and simplifying the auditing process.
Importance of Purchase Orders
The most significant and crucial document in the purchasing department is the Purchase Order which is placed based on the demand and supply management principle. Most of the Purchase Order Templates are created using MS Excel or MS Word which is very easy to use to create professional Purchase Orders no matter what industry you belong to. Purchase Orders are also known as POs in short and are very frequently prepared documents in any purchasing department. Since this PO Template is created using MS Excel it should be very very easy for the purchase department staff to quickly use it without much effort.
A simple Purchase Order Template can save a day for you if you have to print a Purchase Order on the go. So you need to have one or more purchase order formats in MS Word with terms & conditions already written. This helps you print your very own Purchase Order quickly and effectively.
