Owners of both small and large companies should know the benefits of creating a Purchase Order in QuickBooks Online. QuickBooks Online is a powerful software that is famous among companies for its accounting process, which includes recording, summarizing, analyzing and reporting. A purchase order in QuickBooks Online is actually a document that contains the list of items that are required for the production process.
The Purchase Order is given to the supplier by the company to get all its necessary needs and a bill for the money used, which is added to the financial record of the company. In this blog, you can know about QuickBooks Online Software, Purchase Order in QuickBooks Online, why it is required, the benefits, procedure and issues faced.
What is QuickBooks Online Software?
Intuit QuickBooks Online Software is a powerful software that helps both small and large companies in their accounting process, which includes Recording, summarizing, analyzing, and reporting. The owner of the company can access the company’s important data and documents by sitting at any place with an internet connection. It stores all the company’s important files and documents in the cloud server. It helps in creating a perfect report about the company condition which helps to take some necessary steps for the company benefits. You can create a purchase order in QuickBooks Online Software that will help the company in doing billing and updating the financial report properly.
What is the Purchase Order in QuickBooks Online?
Purchase Order in QuickBooks Online is a written document of the list of items that is made by the owner of the company to give to suppliers to buy the goods that are important for the production process. You can record the purchase order in the money used report. You can properly check your item after the delivery to see if the items are correct or not. Once the items are checked properly, the owner can pay the bill for the order. You can use QBO purchase order to know the location of the order during delivery. You will get the original bill from the supplier after delivery, which can be recorded in the system.
It will help the company to know where the money is spent and how much is used to buy the company’s goods. It can easily be added to your financial record of the company. After the delivery of the item, the shopkeeper provides the bill, then you have to make a payment and record it properly with the bill number.
Requirement to Create a Purchase Order in QuickBooks Online?
Purchase Order in QuickBooks Online Software can help the owner of the company to know the order location, keep a record of all their purchases and reduce the use of money. It will give a proper report about how much money is spent to buy the items. The owner can get a proper report about the use of money for the production process. The owner of the company can get the name and number of the supplier who can help in the future.
Benefits of Purchase Order in QuickBooks Online
Purchase Order in QuickBooks Online helps both small and large companies to know the important information related to the company’s goods. It provides benefits for the company related to goods like.
- Reduce Error: The data is automatically recorded in the report, which reduces the error that is faced when the data is entered manually.
- Cost Management: It reduces the maximum use of money for the company’s work.
- Item Checking: You can check whether the received item is the same as the order item or not.
- Supplier Information: You can properly know the supplier number and get the number for any future help.
- Order Location: You can easily know your order location properly.
Procedure for Purchase Order In QuickBooks Online
After knowing the benefits of Purchase Order in QuickBooks Online for the company, if you want to set up this in your system, then you have to follow some simple steps.
- QBO Account: Log in QuickBooks Online account using your ID and Password.
- New Button: In the corner, you can see there is a “+ New” button.
- Supplier: Move to the Supplier tab and select the buy order option.
- Select Supplier: You have to select the supplier to provide goods.
- Address: Properly check the delivery address to supply the goods.
- Product details: Properly select the goods and services that you want to buy for your company.
- Save Button: After properly adding the goods, click on the save button.
- Configuration: After fully checking the goods and services, you can click on confirm to create the purchase order for your company.
- View Order: After creating your puchase order, move to the Expense option present in your system to check the product you have ordered.
How to Choose the Right Purchase Order Software for Your System
To create a QuickBooks Online Purchase Order(PO), you have to choose the right software for your system that will work properly without creating any problems.
- Easy to Use: Select a software that can be used easily by any employee of the company.
- Modification Option: Select a software that will allow you to modify the order and will properly fit your business requirements.
- Automatic Work: Select the software that will work automatically in inserting the data into the record and matching the order delivered with the ordered item.
- Location Finding: Software can help the owner of a company to know the location of the order and get a detailed report of the purchased order.
- Online Use: It should provide an online feature so that it can be used from any place in the world.
- Security: Software should provide a strong security system to protect the company’s important files and reports from theft.
Problem Face While Creating a Purchase Order in QuickBooks Online
While creating Purchase Order QBO, both small and large company employees face some common issues that are.
- Internet Problem: Sometimes, due to some interruption in the internet, it is difficult to make a PO in QBO.
- Data Entry: Because of Manual entry by hand creates some errors in the order.
- Software: The software that is selected for this procedure might not be capable of the requirements.
- Wrong Address: Because of the wrong address entry, it creates difficulty for the owner to get the order.
- Modification: Sometimes, due to a problem, you cannot modify the order that was made for the company.
Conclusion
Creating a Purchase Order in QuickBooks Online Software provides a lot of benefits for the company to track the location of the order, matching the data order with the delivery, security and automatic process, which reduces the errors that were faced due to manual entry. You will get a perfect tax report of your company, which will save the company from a fine. If you still have any doubts related to the topic, you can freely contact our QuickBooks support for help anytime.