Are you running a small / mid-sized company but not using purchase orders? It may be more important than you think.
When most small businesses start out, they forego purchase orders in favor of handshakes and informal processes. An unspoken agreement between a small-time supplier and a trusted vendor.
But what happens if there’s ever a dispute, a disagreement about a payment, quality standards or even performance. You need a document to reference.
As business grows in size and complexity, a formalized system ensures your purchases are ordered, budgeted for and fulfilled accordingly. That’s where purchase orders come in.
Purchase orders are an important tool that businesses like yours should use to ensure spend stays within budget. Without purchase orders tracking expenses is more difficult, prone to errors and validating delivery reports becomes a nightmare.