Purchase order form is used to serve as a formal document for the ordering of products.
A purchase order is an internal form developed by a client authorizing you to perform work and bill for it. Typically, purchase orders are used by larger companies that have separate accounting departments. Accounting departments often don't want to have to deal with lengthy or confusing client agreements.
Purchase orders are designed to provide the minimum information a company needs to document the services you'll perform and how much you'll be paid. They typically contain much of the same information as a letter agreement: a description of the services you'll perform, payment terms, and deadlines. The order should be signed by the client. You should include the purchase order number on your invoices and all correspondence with the client.
Some companies use purchase orders in conjunction with standard contracts or letter agreements. That is, either you or che client will prepare a contract or letter agreement, and the client will also prepare a purchase order. In this event, make sure the terms of the purchase order arc consistent with your client agreement.
Other companies use purchase orders alone for small projects because they don't want to go to the trouble of drafting a client agreement. Some companies* accounting departments will not pay you unless you have a signed purchase order, even if you have a signed letter agreement or standard client agreement.
Before you start work for a client, find out if it uses purchase orders. If it does, insist on being provided a signed order before you start work. Make certain the purchase order is filled out properly. This should include an accurate description of the services you'll perform, the due date, and the terms of payment.
Below is an example of a typical purchase order for services.