Download Construction Purchase Order Free Excel Template

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Download construction purchase order example in Microsoft Excel and Spreadsheet. Easily formulate purchase orders for your construction company with the help of this free and easy to use template.

Understanding Construction purchase orders

A purchase order is a document that confirms an order for construction materials, sent from a buyer to a material supplier or equipment renter.

When a purchase order is accepted, a legal contract forms between the two parties and sets basic terms between the parties – like price, payment terms, and time for performance. A purchase order might be followed up with a written contract that further clarifies the relationship and expectations of the agreement.

This template, in particular, can be used for mentioning the name of the contractor who is taking over the project. It allows a person to provide the total cost of all the goods purchased by the buyer as a cost sheet to the client.

What do you Include in a Construction Purchase Order?

A well-drafted purchase order is a balancing act. One one hand, it should provide enough detailed information to ensure you get what you ordered. On the other hand, POs should be simple, standardized, and streamlined.

A few of the most important things to include are:

  • Description of the product or materials
  • Quantity
  • Price
  • Payment terms
  • Shipment method/dates
  • Order reference number

Any other information can be added. As we said: It’s a balancing act.

Once a purchase order is sent out and accepted by the counter party, it becomes a legally binding contract. Don’t send out a purchase order unless it’s been carefully reviewed. 

Are Purchase Orders the Same as Invoices?

No! In fact, purchase orders and invoices sort-of mirror each other.

Purchase orders are drafted and sent by buyers which indicates a request for purchase. Conversely, an invoice is sent by the seller once the materials are delivered. Invoices will indicate payment terms and deadlines if payment hasn’t been made yet. Both are legally binding and contain similar information, but don’t mix up this terminology.

Purchase orders detail the contract terms of the sale, while invoices confirm the transaction.

Benefits of Using Construction Purchase Orders

Purchase orders are a great way to provide a record of purchase agreements in case a dispute arises later. Consider purchase orders as a written trail of breadcrumbs.

Depending on the size of your project, there may be hundreds of different purchase orders from different vendors. With clearly detailed purchase orders, contractors and subs not only provide detailed instructions to their vendors, but also a provide solid means of auditing should things go awry.

Keeping organized documentation of every purchase can also reduce the possibility of duplicate orders. The ability to consolidate all purchase information leads to better tracking of payments and expenses, which leads to projects being completed under budget and on schedule. For this, we recommend using a purchase order tracker. You can use purchase order tracker template by Excel Downloads for easy start.

Download and use Construction Purchase Order Free Template

To use this construction purchase order free excel template, you should have Microsoft Office/ Microsoft Excel installed in your system.

After installing Excel or Spreadsheet, download the zip file of this template, extract the template using WinRAR or 7Zip decompressing software. Once extracted, you can open the file using Excel and start entering data or customizing the template.

Click the button below to Download Construction Purchase Order Excel Template

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