The QuickBooks software is an incredible application that comes with various features to ease your accounting related activities. One of its features is the QuickBooks’s Purchase Order. The purpose of this is to record the products, record the order purchase for a particular item for future references. It provides you complete information about the product along with detailed pricing. However, if you are running a business of your own, having bare knowledge of purchase orders in QuickBooks is not adequate. So, we have come up with this article to cater to you a complete guide. This will help you to create and also maintain the data of purchase orders and much more.
We will begin with the steps to creating a purchase order without any hassle.
Steps of Creating the QuickBooks Purchase Order
In QuickBooks, to create the purchase order, you must follow the below steps and keep the track of the items.
Creating The Order Of Purchase
First, you have to instruct QuickBooks that you want to create a purchase order by selecting the Vendors then, Create Purchase Order.
Dropdown Menu Of The Vendor’s List Box
The list of each vendor in your Vendor list on the desktop screen by clicking on the Vendor drop-down list box.
Classification Of The Purchased Item
Through the Class drop-down list, classify the purchased item.
An Optional Step For Shipping The Address
Go to the Ship-To drop-down list to view vendors, customers, and employees list. From one of the names mentioned earlier, you have to select one which will be the ship-to address. Once you select from the Ship-To list, the ship-to address information will be correctly filled by QuickBooks.
Checking The Date Of Purchase Is Mandatory
The date on which QuickBooks has entered, you need to check it as the date of purchase should be correct.
Make Sure The Purchase Order Number Is Correct
After that, the purchase order document can be identified by the purchase order number. You have to cross-check QuickBooks to correct the purchase order number. If it is wrong then, fill in the replacement number.
Examine The Vendor And Ship To Data
The Vendor Block and Ship to Block acknowledge the vendor.
Each Piece Of Information Should Be Correctly Defined
Each item that you have decided to order, use the columns to create a purchase in the order window to define in detail. You have to follow the given following instructions if you require to describe an item that you want to purchase from the vendor.
- Item- In the item column, you have to add the items and explain the item details in the item file.
- Description- For describing the item that you had chosen, the description column will be used. And, the description field can also edit anytime when you want to.
- Qty- Through the Qty, you can easily identify the quantity of the items. In the field of Qty, you can add the number of product items.
- Rate- The item which you want to purchase, add the rate per unit of that item.
- Customer- You can find the customer with the help of the customer column by whom the product is being bought.
- Amount- You got an idea about the total amount expended for the particular item by the amount column.
- Purchase order list- You have to save all the purchase orders, to print the purchase order list. And then click on the File then, Print Forms then, Purchase Orders command.
- Saved the order of purchase- By pressing either on the save and close option or Save & New option, you can save your purchase order. The details of the items which you want to purchase, these steps will help you to know the vendors and customers.
In this process, Two problems can occur
You may not create the purchase order at all if you are a single owner or have a small business. But the process is very easy of calling the vendor and the vendor ships whatever you need. And you may probably create the purchase order to order products and services if you have revenue more than $5M and more employees.
For a large number of purchasing activities, and manually creating that purchase order which is not scalable.
When you make a purchase order, the other problem has to be pre-authorization to spend before that. So make sure the purchase order in your system has to be approved at the right authorization level. You have to get a manual approval process or some kind of bolt on to approve the purchase order before they are approved if you use QuickBooks Online purchase order process.
For the QuickBooks purchase order process, there are many options for implementing the workflow process.
In QuickBooks, automatically create the order of purchase
You can simply streamline the workflow for purchasing, by combining the broughting system with QuickBooks Online version. Using the purchasing system, this process can be fully automated. In the QuickBooks system, if you have to manually create the purchase order.
In your purchasing system, once the order is complete, or any front end modules for the PO process. Then for further processing, the purchase order can be sent to the QuickBooks system. To ensure that purchase orders are transferring to QuickBooks, you have to completely declare the use of cases for integration. Because the integration with QuickBooks is straight forward.
There is an example of ProcureDesk Implementation in which by working with the customer, we can clearly identify all the use cases, and then set up a test plan for ensuring the integration is successful.
We hope that you got the beneficial information from this article of what the purchase order is and the logic of creating the QuickBooks purchase order. And, this will be helpful in your business. You can widely improve the efficiency of your purchasing process in QuickBooks by using the above-mentioned options. For the purchasing team and company, the increase in productivity and improvement inefficiency. We hope this post has helped you to find your answers. If in any case, this blog is not helpful in your queries then please reach our experts through our Phone number +1-877-326-5998 to get more information. We have a team of QuickBooks ProAdvisors and Experts with great experience to assist you 24*7. You can also contact us if you have any other queries or issues related to Quickbooks.
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