Purchase orders, receiving and supplier payments

Most independent grocers order from ten or twenty vendors: a produce wholesaler, a meat supplier, an importer for Mexican, Chinese or Middle-Eastern goods, a tortillería, a bakery, a soda distributor. Purchase orders keep every order, delivery and invoice in one place.

Turn purchase orders on

1. Open Settings → Business settings.
2. Go to the Purchase tab.
3. Enable Purchase order and save.

Add your suppliers

1. Open Contacts → Suppliers and click Add.
2. Enter the supplier name, the salesperson’s name and phone, and the address.
3. Set payment terms, for example 15 or 30 days, so the software can show what is due.
4. Add an opening balance if you already owe them money.

Create a purchase order

1. Open the Purchases menu and create a Purchase order.
2. Choose the supplier and your store location.
3. Add products and quantities. Choose the unit you order in, such as Case 24.
4. Check the price, tax and any discount the supplier gives you.
5. Add shipping charges, payment terms or delivery notes if needed.
6. Save, then print it or send the PDF to the supplier.

The purchase order status is now Ordered. Stock has not changed yet.

Receive the delivery

When the truck arrives, count what actually came off it.

1. Open Purchases → Add purchase.
2. Choose the supplier.
3. In the Purchase order dropdown, pick the order. Its products load with prices, tax and discounts.
4. Change quantities to what you really received. If 10 cases were ordered and 7 arrived, type 7.
5. Enter lot numbers and expiry dates for dated products.
6. Save. Stock goes up, and the purchase order status updates: Partial if something is still missing, Completed when everything has arrived.

When the missing 3 cases arrive next week, add another purchase from the same order.

Free goods and price changes

• If the supplier throws in free cases, record them as bonus or free items on the purchase so stock is right.
• If the invoice price is different from the order, change it on the purchase. Your cost per unit updates.

Pay the supplier

1. Open the purchase, or the supplier’s page.
2. Add a payment: the amount, the date and how you paid (cash, check, bank transfer).
3. Pay in full or in part. The supplier balance shows what is left.

Before your weekly check run, open the supplier list and sort by balance to see who is owed what.

Ordering smarter

Use the stock reports to see what is low before you call a vendor. Many owners keep a weekly purchase order per supplier as a template and edit quantities.

Common problems

Stock did not go up after the purchase order. Correct: purchase orders never add stock. Record the purchase when goods arrive.

The purchase order stays at Partial. Some quantity was never received. If the supplier will not send it, edit the order quantity or close it out.

Cost per unit looks wrong. The purchase was entered in pieces with a case price, or the reverse. Check the unit on the purchase line.

I cannot see the Purchase order option. It is not enabled yet. Turn it on in the Purchase tab of the business settings.

Related: Units, case and unit pricing · Lot numbers and expiry · Purchase orders