What is a Purchase Order?
This is a business or commercial documentation that is given by the purchaser to the selling party. This is also knows as PO. It mentions all the details regarding the product or service that is being purchased by the purchaser. Important details include information like:
- Type of product or service
- Product or service code or model
- Number of items purchased
- Names of items
- Agreeable prices of the product or service
The conveying of the purchase order to the seller has a legal standing that states the offer from the buyer to buy the products or services of the seller.
Need for a PO Format:
Every business entity or company that involved in selling or buying of products and services need to have a purchase order to legalize their business operations and process. The written down template provides a supporting document for the purchase process to be carried out. The format is necessary so that businesses can use a standard pattern or format to draft their PO. This also helps them in the collection of payments as it is an evidence or proof of shipment and purchase from the seller. In many business entities this is known as the invoice. Whether the business is of any nature of type there is definitely some kind of buying and selling involved. This buying and selling needs to be formalized and accounted for by using the PO. A large number of such formats are available on the internet.
This PO template is created using Microsoft Word on a Letter size paper. All the basic things are already the part of this template but yet if you need any modifications, you can make it very easily.
Attached below is a screenshot of this template to show you that how it looks like along with a link to download.