Free Purchase Order Template — Create & Download PO Online 2026
Your supplier is ready. The price is agreed. Now you need something in writing before the order ships — a document that locks in the item descriptions, quantities, unit prices, delivery date, and payment terms so neither side has room to misremember what was agreed.
This purchase order template lets you create a professional PO online without using Excel or Word. You can quickly generate a purchase order, download it as a PDF, and send it directly to your supplier. No account, no subscription, no Excel template to reformat every time.
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What Is a Purchase Order?
A purchase order is one of the most important documents in business purchasing. It is issued by a buyer to a seller to confirm the details of a purchase — including item descriptions, quantities, prices, and delivery terms — before the goods or services are delivered.
Is a Purchase Order Legally Binding?
A purchase order is a formal document a buyer sends to a vendor before goods or services are delivered. It specifies exactly what is being ordered — item descriptions, quantities, unit prices, delivery address, shipping method, and payment terms — and serves as the buyer’s official commitment to pay once the order is fulfilled.
Once the vendor accepts the PO, it becomes a legally binding contract between both parties. The vendor is obligated to deliver what was specified; the buyer is obligated to pay at the agreed price and terms. This is why a well-written purchase order protects both sides — it eliminates the “that’s not what I ordered” and “that’s not what we agreed to pay” conversations that delay shipments and damage supplier relationships.
A PO is not a receipt and not an invoice. It comes before both. Think of it as the starting document in a three-step chain: purchase order → delivery → invoice. The invoice the vendor sends after delivery should always reference the PO number so both documents can be matched for payment approval.
Key takeaway: A purchase order protects both the buyer and the vendor by clearly defining what is being ordered and under what terms.
What to Include in a Purchase Order
Buyer and Vendor Information
Every purchase order starts with two blocks of information: who is buying and who is selling.
Buyer Info (Your Company): Your company name, address, city, ZIP, and phone or email. This is the “From” section — the entity issuing the PO and committing to payment. If you have a company logo, add it. A branded PO looks professional and is easier for vendors to process and file.
Vendor / Supplier Info: The vendor’s company name, address, city, ZIP, and contact details. This must be accurate — if the PO goes to the wrong entity or address, it can delay fulfilment and create payment confusion when the invoice arrives.
Delivery Address: Fill this in when the ship-to address is different from your billing address. For businesses with multiple locations, warehouses, or job sites, this field is critical. Leaving it blank defaults delivery to your billing address — which may not be where you actually need the goods.
Shipping Method: Enter the carrier and service level — FedEx Ground, DHL Express, UPS Next Day Air, or a vendor-arranged delivery. Being specific here prevents the vendor from choosing the cheapest option when you need the fastest.
Purchase Order Number
How to Format a PO Number
The PO number is a unique identifier you assign to every purchase order. It appears on the PO, and the vendor includes it on their invoice — this link between documents is what makes payment matching possible.
The tool auto-fills PO-001 as a starting point. Use a format that scales with your business:
| Business Size | Recommended Format | Example |
|---|---|---|
| Freelancer / small shop | PO-001, PO-002… | PO-047 |
| Growing business | PO-YYYY-NNN | PO-2026-112 |
| Multi-department | DEPT-YYYY-NNN | MKTG-2026-008 |
Never reuse a PO number. Even if an order is cancelled, retire that number and move to the next. Reused PO numbers create audit problems and can result in duplicate payments.
Line Items — Description, Quantity, and Unit Price
The line item table is the most important section of any purchase order. Each row represents one product or service being ordered, with four columns: Description/Item, Qty, Unit Price, and Amount (auto-calculated).
Write descriptions that are specific enough to verify on delivery:
| Weak Description | Strong Description |
|---|---|
| Office chairs | Ergonomic mesh chair, model ERG-400, black |
| Timber | Treated pine 90×45mm H3, 5.4m lengths |
| Design work | Logo design — 3 concepts, 2 revision rounds |
| Packaging | Cardboard boxes 300×200×150mm, double-wall |
Vague descriptions are the number-one cause of delivery disputes. If the item that arrives doesn’t match what you expected, a specific description gives you grounds to reject it or request a replacement. A vague one gives you nothing.
Click + Add Item to add as many rows as needed. There is no limit.
Delivery Terms and Ship-To Address
Understanding FOB on a Purchase Order
The Exp. Delivery field sets the expected delivery date — this becomes part of the contract once the vendor accepts the PO. If they cannot meet it, they need to notify you before accepting.
The Shipping Method field is where you specify the carrier and service. For international or high-value orders, you may also need to specify FOB terms:
- FOB Destination: Vendor covers shipping cost and risk until goods arrive at your address. Loss or damage in transit is the vendor’s problem.
- FOB Shipping Point: Risk transfers to you the moment goods leave the vendor’s facility. You arrange and pay for shipping.
For most domestic small business orders, FOB Destination is standard and assumed. For international orders or large shipments, specify it explicitly in the Special Instructions field.
Payment Terms and Special Instructions
The Payment Terms field defaults to “Due On Receipt” — meaning payment is expected immediately upon delivery. Common alternatives:
- Net 15: Payment due 15 days after delivery
- Net 30: Payment due 30 days after delivery (standard for established supplier relationships)
- 50% upfront / 50% on delivery: Common for custom-manufactured goods
- 2/10 Net 30: 2% discount if paid within 10 days, otherwise net 30
The Special Instructions field is where you add anything that doesn’t fit elsewhere: quality specifications, substitution policies, packaging requirements, or compliance notes. Examples:
“All items must match specifications exactly. Contact buyer before substituting any item.” “Delivery must be between 8AM–4PM Monday–Friday. No weekend deliveries accepted.” “Packaging must comply with ISTA 2A standards.”
Do not leave Special Instructions blank on complex orders. This field is your catch-all for conditions that protect you if something goes wrong.
Purchase Order Template (Free Download & Format)
A purchase order template is a structured document that includes all essential fields required to place an order — buyer details, vendor information, PO number, item descriptions, quantities, pricing, delivery terms, and payment conditions.
Instead of downloading a static Excel or Word file and editing it manually every time, you can use the purchase order template above to create a purchase order online and generate a ready-to-send PDF instantly.
This template is designed for real business use — whether you’re ordering inventory, materials, or services.
How to Create a Purchase Order
You can create a purchase order online using the tool above by filling in your details, adding line items, and downloading the final document instantly.
Step 1 — Enter Your Buyer Information
Filling in Your Company Details
Click into the Buyer Info panel on the left and enter your company name, address, city, ZIP, phone, and email. This identifies who is issuing the PO. If you have a logo, click Add Logo and upload a PNG or JPG — it appears in the top-left of the PDF preview immediately.
For sole traders and freelancers, use your full name as the company name. For registered businesses, use your legal entity name exactly as it appears on your ABN, EIN, or company registration.
Step 2 — Add Vendor / Supplier Information
Vendor Details and Delivery Address
Enter your vendor’s company name, address, and contact details in the Vendor / Supplier Info panel. If the delivery address differs from the vendor’s address — for example, if the vendor ships from a warehouse but invoices from a head office — fill in the Delivery Address field separately.
Get this right. An incorrect delivery address on an accepted PO can result in goods shipping to the wrong location, and the vendor may not be liable for reshipping costs.
Step 3 — Fill In PO Details
PO Number, Date, and Expected Delivery
In the PO Details panel, set your PO number using a consistent format (see PO number guidance above). The date auto-fills to today. Set the Exp. Delivery date — the date by which you need the goods or services at your location.
Select your Currency from the dropdown. The currency symbol applies to all line items and the order total on the PDF. For international suppliers, always confirm which currency you’re ordering in before sending the PO.
Step 4 — Add Your Line Items
Building the Order Table
Each line item needs a description, quantity, and unit price. The Amount column calculates automatically. Click + Add Item for each additional product or service.
After your line items are complete, click + Tax if tax applies to the order — enter the rate and the tool calculates the tax amount separately. Click + Shipping to add a shipping cost line if the vendor is billing you for freight.
The Order Total at the bottom is your complete commitment: line items + tax + shipping.
Step 5 — Preview, Download, and Send
Getting Your PO to the Vendor
Click Quick Preview to see the full PDF layout before downloading. Check that your logo appears correctly, line items are readable, and the order total is accurate.
Click Download PDF to save the PO to your device instantly — no email required, no data sent to a server. Once downloaded, email the PDF to your vendor directly. Most vendors expect POs via email; some larger suppliers have vendor portals where you upload the PDF.
Click Print if you need a physical copy for on-site records or a vendor that requires a signed hard copy.
Purchase Order vs Invoice
Key Differences at a Glance
Purchase orders and invoices are two different documents used at two different stages of the same transaction. Confusing them — or skipping one — is one of the most common small business procurement mistakes.
| Purchase Order | Invoice | |
|---|---|---|
| Who creates it | Buyer | Vendor/Seller |
| When it’s sent | Before delivery | After delivery |
| Purpose | Authorise the purchase | Request payment |
| Legally binding | Yes, once vendor accepts | Yes, as a payment demand |
| Contains PO number | Yes (source) | Yes (reference) |
| Contains invoice number | No | Yes |
In plain terms: a PO initiates the order; an invoice closes it. The vendor receives your PO, fulfils the order, then sends an invoice referencing your PO number. Your accounts payable team matches the invoice against the PO before approving payment — this is called PO matching, and it’s the primary control against duplicate payments and invoice fraud.
When to Use Each Document
Use a purchase order when you want to formally commit to buying something before it’s delivered — especially for goods over a few hundred dollars, recurring supplier orders, or any purchase where price, quantity, or delivery terms need to be locked in writing.
Use our Invoice Maker on the other side of the transaction — when you are the seller and need to request payment from your own clients after delivering goods or services. If you’re quoting a price to a client before the job begins, use our Quotation Maker to send a formal price offer first.
The typical document flow for any business transaction: Estimate (optional) → Quotation → Purchase Order → Delivery → Invoice → Payment
Types of Purchase Orders
Standard Purchase Order
A standard PO is the most common type. You use it for a one-off purchase where all the details are known upfront — specific items, quantities, unit prices, delivery date, and payment terms. Most small business purchases fall into this category: ordering stock, buying equipment, commissioning a specific piece of work.
This tool generates standard POs. Fill in the details, download, send.
Blanket Purchase Order
A blanket PO covers multiple deliveries of the same goods or services from the same vendor over a set period — usually a quarter or a year. Instead of issuing a new PO every time you reorder, the blanket PO pre-authorises repeat orders up to a specified total value.
Example: A café issues a blanket PO to their coffee supplier for up to $12,000 of coffee beans over 12 months, with deliveries every two weeks. The vendor fulfils each delivery against the blanket PO without needing a new document each time.
Blanket POs reduce administrative overhead for recurring purchases and often lock in pricing for the agreement period — protecting you from mid-year price increases.
Planned Purchase Order
A planned PO is similar to a blanket PO but with tentative delivery dates set upfront for each order within the agreement. You know you’ll need the goods at specific intervals, so you pre-schedule deliveries in a single document.
Example: A construction company issues a planned PO to a timber supplier for framing materials, with deliveries scheduled at the start of each project phase: March 15, April 28, and June 10.
Contract Purchase Order
A contract PO doesn’t specify quantities or prices — it establishes the terms and conditions of a long-term supplier relationship. Individual standard or blanket POs are then issued under the contract PO framework when actual orders are placed.
Used primarily by medium and large businesses with major suppliers. For most small businesses, a standard or blanket PO covers everything needed.
Purchase Order Example
Sample PO — Product Order
Here is a practical example of a completed purchase order for a retail business ordering from a supplier:
Buyer: Coastal Homewares Pty Ltd, 45 Harbour St, Sydney NSW 2000 Vendor: Pacific Supplies Co, 12 Industrial Ave, Melbourne VIC 3000 PO Number: PO-2026-088 Date: 18 April 2026 Exp. Delivery: 2 May 2026 Payment Terms: Net 30 Shipping Method: StarTrack Express
| Description / Item | Qty | Unit Price | Amount |
|---|---|---|---|
| Ceramic serving bowl, 28cm, white gloss | 24 | $18.50 | $444.00 |
| Bamboo chopping board, large 45×30cm | 36 | $22.00 | $792.00 |
| Stainless steel serving tongs, 30cm | 48 | $9.80 | $470.40 |
| Linen napkins, white, pack of 4 | 30 | $14.50 | $435.00 |
| Subtotal | $2,141.40 | ||
| Tax (10% GST) | $214.14 | ||
| Shipping | $85.00 | ||
| Order Total | $2,440.54 |
Special Instructions: All items must arrive undamaged and in original packaging. Contact buyer before substituting any item. Delivery accepted Monday–Friday 9AM–5PM only.
Sample PO — Construction Materials
For trades and construction businesses ordering from a materials supplier:
Buyer: Redwood Building Co, 78 Trade St, Brisbane QLD 4000 Vendor: Queensland Timber & Hardware, 200 Depot Rd, Acacia Ridge QLD 4110 PO Number: PO-2026-031 Date: 18 April 2026 Exp. Delivery: 25 April 2026 Payment Terms: Net 14 Shipping Method: Vendor delivery — flatbed
| Description / Item | Qty | Unit Price | Amount |
|---|---|---|---|
| Treated pine 90×45mm H3, 5.4m | 120 | $14.20 | $1,704.00 |
| Plywood structural F11, 2400×1200×17mm | 40 | $68.00 | $2,720.00 |
| Triple grip framing anchors | 200 | $1.85 | $370.00 |
| M12×150mm galvanised bolts | 100 | $2.40 | $240.00 |
| Subtotal | $5,034.00 | ||
| Tax (10% GST) | $503.40 | ||
| Delivery | $120.00 | ||
| Order Total | $5,657.40 |
Special Instructions: Timber must be straight and free of major defects. Deliver to site address (not office). Stack on-site as directed by site manager. All items must match specifications — no substitutions without written approval.
When you use our Estimate Maker to quote the project to your client before work starts, reference the PO number in your estimate notes — it keeps your procurement and client billing records connected from the start.
Frequently Asked Questions
What is a purchase order number?
A purchase order number is a unique identifier you assign to each PO you issue. It appears on the PO document, and the vendor includes it on their invoice when they request payment. This link between the two documents is what makes PO matching possible — your accounts payable team compares the invoice against the original PO to verify the items, quantities, and prices match before approving payment. Use a consistent format such as PO-2026-001 and never reuse numbers, even for cancelled orders.
What is the difference between a purchase order and an invoice?
A purchase order is created by the buyer before delivery — it authorises the purchase and locks in the terms. An invoice is created by the vendor after delivery — it requests payment for what was delivered. The invoice should always reference the PO number. If you need to create an invoice for your own clients, use our Invoice Maker.
Is a purchase order the same as a receipt?
No. A purchase order is sent before the transaction — it’s the commitment to buy. A receipt is issued after payment — it’s the confirmation that payment was made. An invoice sits between the two: sent after delivery, before payment.
When should I use a purchase order?
Use a PO whenever you want a written record of what you’re ordering before it arrives — especially for orders over a few hundred dollars, repeat supplier orders, custom-manufactured goods, or any purchase where price, quantity, or delivery terms have been discussed verbally and need to be confirmed in writing. For project-based work where you need to send a price to a client before committing, use our Quotation Maker instead.
Can I create a purchase order without software?
Yes — this free tool lets you create a professional PO directly in your browser with no software, no account, and no subscription. Fill in the fields, download the PDF, and send it to your vendor. If you prefer a static template in Word or Excel, you can also use those, but they require manual calculations and reformatting every time. The browser-based generator handles calculations automatically and produces a consistent PDF every time.
What does FOB mean on a purchase order?
FOB stands for Free On Board and defines where responsibility for goods transfers from vendor to buyer during shipping. FOB Destination means the vendor is responsible for the goods until they arrive at your address — loss or damage in transit is their problem. FOB Shipping Point means risk transfers to you as soon as the goods leave the vendor’s facility — you bear the risk during transit. For most domestic orders, FOB Destination is standard. Specify FOB terms in the Special Instructions field for high-value or international shipments.
What is a blanket purchase order?
A blanket PO pre-authorises multiple deliveries of the same goods or services from one vendor over a set period, up to an agreed total value. Instead of creating a new PO for every reorder, you issue one blanket PO that covers the full agreement period. It’s useful for businesses with recurring supply needs — regular stock replenishment, ongoing service agreements, or seasonal purchasing programs.
Related Tools
Once your vendor delivers and it’s time to get paid on your own sales, our Invoice Maker creates a professional invoice that references your PO number for clean payment matching. Before a job starts and you need to send a formal price to a client, the Quotation Maker lets you issue a written price offer before any commitment is made. For trade and contractor jobs where you need a cost breakdown before locking in a price, our Estimate Maker covers the early-stage document in the same workflow.