Invosmith

Purchase Order vs Invoice

A purchase order is sent by a buyer before a purchase; an invoice is sent by a seller after goods or services have been supplied.

They describe the same transaction from opposite sides and at different points in time.

What it includes

A purchase order records the buyer, seller, requested items, quantities, prices, and approval. An invoice records the seller, buyer, supplied work or goods, amount due, payment terms, and payment instructions.

When you don't need one

You do not need a purchase order when the buyer has no procurement process, and you do not need an invoice for a request that has not yet become a completed sale.

If you need one, here's a free purchase order template you can download.