PURCHASE
A Purchase Order (PO) is a formal document issued by a buyer (your business) to a supplier/vendor, requesting to purchase certain goods or services under specified terms — like quantity, price, delivery date, and payment conditions.
It acts as a legally binding agreement once the vendor accepts it.
📃 Creates a formal, documented record of procurement
📑 Prevents disputes over quantity, pricing, or delivery
📦 Helps track incoming inventory and pending deliveries
📊 Improves financial planning and cash flow management
📝 Simplifies accounting and stock management
1️⃣ Create Purchase Order:
From the Purchase module, select Create New PO → enter vendor, products, quantity, rate, delivery location, and date.
2️⃣ Approve the PO (if workflow exists):
PO might require managerial approval before being sent.
3️⃣ Send PO to Vendor:
By email, print, or system notification.
4️⃣ Goods Receive (Item Receipt):
When items arrive, use the PO to verify the delivery and quantity. Partial receipts are also supported.
5️⃣ Bill Generation:
Once goods are received, a bill is raised against the PO for payment processing.
6️⃣ Close the PO:
Once fully received and paid.
Goods Receive Note (GRN)
A Goods Receive Note (GRN) is a formal document created by the business when goods arrive from a supplier — confirming the receipt of items mentioned in a Purchase Order (PO).
It records:
📦 What items were received
📅 When they were received
🔢 How many were received
📜 Whether they matched the PO and invoice
A GRN is essentially a proof of delivery for the buyer and an acknowledgment that the ordered goods have arrived.
📋 Confirms that ordered items have been delivered
📦 Helps track inventory updates in the system
📊 Protects against billing for undelivered goods
📜 Acts as a record for stock audit and disputes
📝 Matches with Purchase Order (PO) and supplier invoice for 3-way matching
📃 Enables accurate inventory stock updates
A Goods Return Voucher (GRV) is a formal document created when a business returns goods to a supplier after receiving them — usually because:
🛠️ They’re defective
📦 Incorrect items were delivered
📊 Excess quantities were supplied
📝 Goods were not required anymore
It officially records the details of what’s being sent back, and helps adjust inventory and accounts accordingly.
📃 Maintains clear records of returned stock
📊 Updates inventory levels correctly
📜 Ensures supplier credit or refund tracking
📑 Supports stock audits and accounting reconciliation
📋 Prevents payment for faulty or excess goods
📝 Improves supplier accountability
A Vendor is any external business, individual, or company from whom your business purchases goods, services, or inventory.
In a POS system, vendors are registered with their details so you can:
📦 Place Purchase Orders (PO)
📜 Track purchases and payments
📃 Manage inventory receipts
📑 Handle returns, credits, and balances
📃 Helps track from whom goods/services were bought
📦 Enables clean, traceable procurement history
📑 Supports supplier-wise purchase reports
📊 Simplifies pending payment and credit tracking
📝 Ensures transparency in inventory purchases
📋 Manages business expenses and vendor performance
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