This is another type of Purchase Order which will be needed if your company plan to purchase some services from other company. There are several business which needed this kind of Purchase Order, like cleaning service business, software programming, art design etc. The payment that has to be paid for this PO will not based on quantity, but will be based on people skill, quality and time needed to fulfill the job requested. And for that kind of people or companies, PO should be their reference to get the payment, instead of the contract.
Category Archives: Purchase Order
A purchase order (PO) is a commercial document issued by a buyer to a seller, indicating types, quantities, and agreed prices for products or services the seller will provide to the buyer. Sometimes, PO is not needed if the transaction only involve small companies or among trusted parties. But, for big companies where PO is part of their financial system, PO is a must. Sending a PO to a supplier constitutes a legal offer to buy products or services. Acceptance of a PO by a seller usually forms a one-off contract between the buyer and seller where no contract exists until the PO is accepted.