Purchase orders

Orders to suppliers

An order is a promise to buy, not a purchase: nothing reaches your books or your stock until goods arrive. When they do, press Receive: that records a bill for what arrived, adds the units to stock at cost and the amount to what you owe.

Suggested reorders

Products at or below their reorder point (see Inventory), counting what is already on order. Each goes to the product's preferred supplier. Drafting creates draft orders you can check and change before placing.

Worked out from this site's own sales and stock, counting only orders already made for it. Drafts are addressed to this site, so what arrives is booked there.

Preferred suppliers

Who each product is reordered from. Suggested reorders are addressed to this supplier, and a product without one is left out of them. Changing it doesn't touch orders already drafted.

Goods received before the invoice

Goods often arrive days before the supplier's invoice. With this on, a delivery you receive without an invoice number goes into stock at once, but what you owe is held in an accrual account (2050, Goods Received Not Invoiced), not in Accounts Payable, and no VAT is claimed. When the invoice arrives, record it on the order: the accrual is reversed and the invoice is booked as owed. A delivery that comes with its invoice number is booked as owed straight away. Agree this with your accountant before turning it on.

Waiting for an invoice

Order documents

What the supplier sees on the order PDF. Everything here is optional. An order can carry its own delivery address and terms; a branch's location is used for orders raised there.

New purchase order