How do you set up a purchase order system?

Question

I know what a purchase order is but I need to set something up for my office and need to know the system from start to finish!

Answer 1

you need to look at something like Tetra or Sun accounts. Pegasus was another one in that market. The key control is that you have:

Spending limits clearly defined (who can spend how much)

A way of matching delivery to po's

A way of matching invoices to delivery and po

A link to the GL for financial reporting

You may want to use a physical po book as some companies insist on getting copies of the order. If so, make sure access to the book is controlled and you retain copies of all orders.

They are the basics. Good luck

Answer 2

Buy a copy of Quickbooks, or use their online version (www.intuit.com). The software costs about $200 (or, about $20 online monthly), and includes a very complete PO system.