If buyers ever refuse payment, the seller remains protected because of the legally binding contract status of the document. Here is an example of a purchase order document:īuyers should always clearly communicate requests to sellers to reduce or eliminate confusion when the seller receives the PO. More specific orders will include more details, but as a general rule, the more information you include, the more effective your PO is. Each PO will include a number for tracking the purchase order throughout the system, as well as the type of item (with identifying SKU if required), quantity, and agreed upon pricing. An obvious starting point would be to answer the obvious question, what is a purchase order? Purchase orders (POs) are documents sent from you, as the buyer, to a supplier with a request for products or services as an order.
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