30 Free Purchase Order Forms

Download these 30 Free Purchase Order Forms Templates in MS Word or MS Excel format available in PDF as well.

A Purchase Order Form is a formal document issued by a buyer to a seller, specifying the products or services that the buyer intends to purchase. This document outlines the details of the purchase, including quantities, descriptions, prices, and delivery terms. It serves as an official offer to buy goods or services and, upon acceptance by the seller, becomes a legally binding contract.

Key Elements of a Purchase Order Form:

1. Header:
   • Company Name and Logo (Buyer)
   • Purchase Order Number
   • Date of Order
   • Buyer’s Contact Information (address, phone number, email)
2. Supplier Information:
   • Supplier’s Name
   • Supplier’s Address
   • Supplier’s Contact Information (phone number, email)
3. Order Details:
   • Description of Products or Services
   • Item Number or SKU
   • Quantity of Each Item
   • Unit Price
   • Total Price for Each Item
   • Subtotal (sum of all items’ total prices)
   • Taxes (if applicable)
   • Shipping and Handling Costs (if applicable)
   • Grand Total (including all costs)
4. Delivery Information:
   • Delivery Address
   • Delivery Date or Expected Delivery Date
   • Shipping Method
5. Payment Terms:
   • Payment Method (e.g., credit card, bank transfer)
   • Payment Terms (e.g., Net 30, Net 60)
   • Any Discounts or Special Payment Conditions
6. Terms and Conditions:
   • Standard terms and conditions of the purchase
   • Return policies, warranty information, and other relevant clauses
7. Approval Signatures:
   • Authorized Signature of the Buyer
   • Date of Approval

Once a purchase order is created and signed between vendor and buyer, it acts as an agreement forcing the vendor to deliver desired products on time and bounding the buyer to transfer the payment as per agreed payment terms and conditions.

Free Purchase Order Forms Templates:

Here are previews and download links for these Free Purchase Order Forms Templates,

 

 

 

 

 

 

 

 

 

Source: Spreadsheet123.com

 

Importance of a Purchase Order Form:

1. Clear Communication:
   • Provides a clear and detailed description of the goods or services being purchased, reducing the risk of misunderstandings.
2. Legal Documentation:
   • Serves as a legally binding contract between the buyer and the seller once accepted, ensuring that both parties are committed to the agreed terms.
3. Financial Control:
   • Helps buyers manage and control their purchasing processes, budgets, and expenditures by providing a documented trail of purchases.
4. Inventory Management:
   • Assists in tracking incoming goods and managing inventory levels efficiently.
5. Record Keeping:
   • Provides a record of transactions for future reference, audits, and financial analysis.
6. Order Verification:
   • Allows the seller to verify the details of the order before processing and shipping, ensuring accuracy and completeness.

Steps to Using a Purchase Order Form:

1. Creation:
   • The buyer creates the purchase order, detailing the items or services required, quantities, prices, and other relevant information.
2. Approval:
   • The purchase order is reviewed and approved by authorized personnel within the buyer’s organization.
3. Submission:
   • The approved purchase order is sent to the supplier.
4. Acceptance:
   • The supplier reviews the purchase order and confirms acceptance, either through acknowledgment or by fulfilling the order.
5. Fulfillment:
   • The supplier processes and ships the order as per the terms specified in the purchase order.
6. Payment:
   • The buyer receives the goods or services, verifies their accuracy and quality, and processes the payment according to the agreed terms.

By using a Purchase Order Form, businesses can streamline their procurement process, ensure accuracy in orders, and maintain clear communication with suppliers.

 

 

 

 

 

 

 

 

 

 

 

Guidelines to Create a Purchase Order Form:

Use a Template or Create Your Own Form:

The first thing to consider while creating a purchase order form is that it is a fairly common form. If you search online, you will find dozens, if not hundreds, of ready-made templates for purchase orders. Most of these templates are free to use, which can be beneficial for a startup or small company. However, if you have specific needs regarding the elements of the purchase order, you should create the form yourself instead of using a pre-designed template. This way, you can easily customize and add or remove particular details.

Details of the Vendor:

While adding the details of the vendor, you have two options: you can either print the purchase order form on your company’s letterhead or add a section where you write the vendor’s details by hand. Most of the time, vendors and organizations create purchase orders on official letterheads, as this way all the necessary information is already included, and you don’t need to write the vendor’s particulars by hand.

Item Description:

This section is where you need to describe the items, goods, or products with all the necessary details. Start with the name of the product along with a complete description and then include specifics or features that are important to mention on the purchase order. Some vendors also add the date of order placement in this section, which is especially beneficial if there are multiple types of products ordered on different dates.

Shipment Timeline and Method:

The next section on the purchase order should include the shipment timeline, i.e., delivery schedule, and the method. For instance, if the buyer is local, they might request personal pickup as soon as the goods are ready. If the buyer is in a different country, they might need to specify whether they will receive goods via sea or air. In some cases, if the order is urgent, the buyer can also request the vendor to start shipping partial quantities instead of waiting for the full shipment to be ready.

Client’s Details:

This section includes the particulars of the buyer or customer. This includes the full name of the buyer, their company name, contact information, mailing address, and country of residence.

Payment Terms:

One of the most important elements of a purchase order is the payment terms and payable amount. While creating the purchase order, you should ask the customer how they want to make the payment because some customers prefer payment on delivery while others like to have a credit limit of 30-45 days. There are also situations where the buyer requests to make partial payments, i.e., partial payment for partial shipment. This section should also contain the mode of payment, such as cash, check, or letter of credit (LC).