A purchase order is a commercial document issued by a buyer to a prospective seller. A purchase order usually contains date of order, buyer information, prospective seller information, description of goods/services to be delivered, quantity, price, taxes and total cost. A purchase order services as an official document between the buyer and a prospective seller which details the the transaction to be undertaken. If the seller accepts the purchase order and provides an invoice or signed copy of the purchase order back to the seller, it becomes a contract for the transaction to be completed. It is a good practice to issue a purchase order to a prospective seller before the transaction, to ensure the terms and conditions are agreed by both parties.
This purchase order format and generator can be used by a buyer to quickly and easily generate purchase order for the purchase of goods or services. Once, the purchase order is generated, it can be printed on the letterhead of the Company and issued to the prospective Seller. It is a common practice to affix the seal of the company and sign the purchase order while issuing the document to the prospective Seller.
This purchase order can be printed on the letterhead of the business or on a plain white paper with the logo or information about the Company. A purchase order is usually signed by an authorized person in the accounting department of the business and is stamped with the business seal. One copy of the document is retained by the Buyer and another is issued to the Seller.