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Step-by-Step Tutorial

How to Create a Purchase Order in 5 Minutes

Complete guide to creating professional purchase orders to authorize suppliers, track deliveries, and control procurement spending.

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Before You Start

1. Approved Quote

Have the supplier's quotation that you've approved with agreed prices

2. Supplier Details

Supplier name, GSTIN, address, and contact information

3. Delivery Details

Know where and when you need the items delivered

Complete Step-by-Step Process

Follow these 7 simple steps to create your first purchase order

1

Open Billmator & Tap "Purchase Order"

Launch the Billmator app from your home screen. On the main dashboard, tap on the orange "Purchase Order" button to start creating a new PO.

Remember: Purchase orders are created by YOU (the buyer) and sent TO suppliers to authorize purchases. This is opposite of invoices!

2

Add Supplier Details

Enter the supplier's information:

  • Supplier Name: E.g., "ABC Electronics Pvt Ltd"
  • GST Number: Supplier's GSTIN for GST compliance
  • Contact Person: Name and phone number
  • Supplier Address: Complete business address

Time Saver: Supplier details are saved in your database. Next PO for same supplier? Just search and select!

3

Add Items Using Voice or Manual Entry

Add items you want to purchase. Use voice input for speed:

Example 1: Office supplies

"Office chairs 5500 rupees 20 quantity"

✓ Added: Office chairs | ₹5,500 × 20 = ₹1,10,000

Example 2: Raw materials

"Steel sheets 850 rupees 100 quantity"

✓ Added: Steel sheets | ₹850 × 100 = ₹85,000

Example 3: Equipment

"Laptop Dell Inspiron 55000 rupees 5 quantity"

✓ Added: Laptop Dell Inspiron | ₹55,000 × 5 = ₹2,75,000

Pro Tip: Match items and prices exactly as they appear in the supplier's quotation to avoid confusion!

4

Set Expected Delivery Date

Critical step! Specify when you need the items delivered. This becomes your tracking reference.

Standard Items:

  • • 7-15 days: Stock items
  • • 15-30 days: Make-to-order
  • • 30-60 days: Custom manufacturing
  • • 60+ days: Imports/special orders

Why It Matters:

  • • Plan inventory levels
  • • Coordinate with production
  • • Follow up if delayed
  • • Track supplier performance

Reminder: Billmator will alert you as the delivery date approaches so you can follow up with the supplier!

5

Add Delivery Address

Specify WHERE the items should be delivered:

Main Office

For general purchases, office supplies

Warehouse

For inventory stock, bulk materials

Project Site

Direct delivery to specific project location

Multiple Locations: Save frequently used delivery addresses (office, warehouse, branch offices) for quick selection!

6

Add Terms & Conditions

Specify important purchase terms:

  • Payment Terms: "Net 30 days from delivery" or "50% advance, 50% on delivery"
  • Quality Standards: "As per approved sample" or "ISO certified"
  • Inspection: "Subject to quality check on delivery"
  • Packaging: "Original packaging with warranty cards"
  • Returns: "Defective items returnable within 7 days"

Legal Protection: Clear terms prevent disputes. The PO is a legal commitment from both sides!

7

Review, Approve & Send PO

Tap "Preview" to review your purchase order. Verify:

  • PO number is generated automatically
  • Supplier details are correct
  • All items, quantities, and prices match quotation
  • Delivery date and address are correct
  • Total amount is within your budget

If approval is required, route to manager. Once approved, tap "Generate PDF" and send to supplier!

After Sending Purchase Order

What happens next in the procurement process?

Supplier Confirms PO

  1. 1. Supplier receives your PO
  2. 2. Supplier confirms acceptance
  3. 3. Supplier starts processing order
  4. 4. You receive order confirmation

Follow up: If no confirmation in 24 hours, call supplier to ensure PO was received!

Track Delivery

  1. 1. Billmator reminds you of delivery date
  2. 2. Follow up with supplier if approaching
  3. 3. Receive goods at specified location
  4. 4. Verify items match PO

Quality Check: Inspect items before accepting delivery. Reject if damaged or incorrect!

Match Invoice with PO

  1. 1. Supplier sends invoice after delivery
  2. 2. Open your saved PO in Billmator
  3. 3. Compare invoice items vs PO items
  4. 4. Verify quantities and prices match
  5. 5. Only pay if everything matches!

Prevent Fraud: PO matching prevents overbilling. Don't pay without verifying!

Make Payment

  1. 1. Invoice matches PO? Proceed to payment
  2. 2. Follow payment terms in PO
  3. 3. Make payment via bank/UPI/cheque
  4. 4. Mark PO as "Completed" in Billmator
  5. 5. Archive for future reference

Track Spending: View all completed POs to analyze procurement spending by supplier/category!

Common PO Scenarios

How to handle specific purchase situations

Urgent Purchase

Need items ASAP:

  1. 1. Use voice input for speed
  2. 2. Set delivery date: ASAP or specific urgent date
  3. 3. Mark as "Urgent" in notes
  4. 4. Call supplier immediately after sending PO
  5. 5. Confirm they can meet your timeline

Recurring/Repeat Order

Ordering from same supplier:

  1. 1. Find previous PO in Billmator
  2. 2. Tap "Duplicate PO"
  3. 3. Update quantities/items if needed
  4. 4. Update delivery date to new date
  5. 5. Generate new PO in 30 seconds!

Partial Delivery

Supplier can't deliver all at once:

  1. 1. Accept partial delivery
  2. 2. Update PO status to "Partially Received"
  3. 3. Note quantities received vs pending
  4. 4. Set reminder for remaining items
  5. 5. Match invoice only for received quantities

Cancel or Amend PO

Need to change order:

  1. 1. Contact supplier immediately
  2. 2. If items not dispatched, can usually amend
  3. 3. Send revised PO with new PO number
  4. 4. Mark original PO as "Cancelled"
  5. 5. Note cancellation reason for records

Pro Tips for Smart Procurement

Expert strategies to optimize your purchasing process

Negotiate Better Prices

Consolidate purchases in single PO for volume discounts. Order ₹50,000 worth? Ask for 5-10% off!

Plan Ahead

Order before you run out! Track inventory levels and place POs in advance. Avoid rush charges.

Build Supplier Relationships

Regular POs build trust. Good suppliers give you priority delivery, better credit terms, advance notices of price changes.

Keep Records

Archive all POs. Essential for: audits, warranty claims, tax filing, expense tracking, and resolving disputes.

Ready to Create Your First Purchase Order?

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