When doing business, it is necessary to document all your transactions. This is especially true if you are a seller of goods, since the documentation of your transaction establishes the health and good standing of the company going forward. When someone wishes to make a purchase, a purchase order form is needed to establish what product is being bought and for what price. So this document is not only necessary for the buyer but also for the seller and their records. While it is easy to clarify the need for a purchase order form, the next question is: how to write one? Luckily there are multiple answers for this.
Related Post: What to Know About Invoice Factoring
Before talking about how to create a purchase order form, it is important to understand what it is. There is often confusion on the difference between a purchase order and an invoice. As stated, a purchase order form is a document notifying the seller of a desire to purchase for promised payment. An invoice on the other hand is a bill from the seller to the buyer to inform them how much is owed for goods and/or services.
With this in mind, some of those who might need or benefit from a purchase order form are company owners who might need to create one to buy from other companies in B2B (business to business) transactions. Since business to business transactions can be large and complicated and often involve large scale purchases, something a little more detail is needed and this is the real use of the purchase order form as it offers space to add in a great amount of information about the nature of the purchase such as the name of the product, price, delivery, and so on. Many other entities might otherwise use a purchase order form since everyone is engaged in commerce on some level in the globalized economy.
Now that their use and purpose have been explained, the next question is: How does someone create a purchase order form? As stated, their answers are multiple and it comes down to a matter of choice. A larger business often has its own purchase order form style that it likes to use. Online companies often have them premade for customers as part of a sales funnel process and some others might choose to download a purchase order template PDF.
If a company or individual decides to create their fillable purchase order PDF, where can they do this? There are actually several excellent online resources where a purchase order form can be downloaded as a premade fillable PDF document. The purchase order PDF will often include a series of fillable spaces that inquire about specific information regarding the purchase which will be detailed further down. Although it is possible to create your own purchase order form, it is suggested that a premade form is used because it is already prepared and lessens the chance of leaving out some essential information.
Creating a Purchase Order Form
There are several ways to create a purchase order form online, and one of those ways is to find a high-quality PDF editor online. Online PDF editors like LuminPDF offer their own purchase order form which you can download; however, if a custom one is needed then a blank PDF file can be edited through their solution to the desired specifications. When creating a purchase order form though, be mindful of everything that needs to be stated in the document. If some of the information is missing, it could cause a delay or worse yet, a failed purchase, which could harm your business’s interests.
Main Elements of a Purchase Order
When filling out a premade purchase order template or one that you have created yourself, there is some necessary information to include. The obvious of course is the name of the desired product, how much or how many you need as well as the amount to be paid for said products or services. In addition to this, there are other important things to include to receive what you wish to purchase.
Another obvious inclusion is the name and the address you would like to send it to. The purchase order form is useless if it does not get to the right person or company. Also, do not just include their address but yours as well. It would not be so helpful if you attempt to purchase something without the company you are buying from knowing where to send the product to.
Also when you are ordering a specific product and not a service like consulting, the means of shipping is needed. Where to ship it, which service to use, and so forth. While the option of who is up to you, it is often needed to factor in the shipping price you will have to pay to have the product sent to the address of your choosing.
These are some of the basic things that must be included in a purchase order, there are other things to include of course and if you are using a premade purchase order PDF then it will state what is needed and where to put the information in the fillable document thereby eliminating potential mistakes. However, if you do not use a fillable PDF document, then you must make one and be sure that all the information is included.
How to Make a Purchase Order in PDF
To create a purchase order in PDF format, you must first use a PDF editor (there are many to choose from) and do the following: Add the title, create fillable blanks for the information needed such as billing information and the name of the product, as well as the information of the vendor and the purchaser (you) in the document. Once you have created all of this, it is a simple matter of filling in all the desired information and sending it to the vendor.
In business, always include all relevant information when buying a product or service with the use of a purchase order form. When you create a purchase order form or download a premade PDF template from an online PDF editing site, you need to keep in mind to pay attention to details, to make sure there are no complications. If all the information is included, then the final step is to send it and wait for your product or service.