A company that sells products or needs supplies on a regular basis must have a purchasing unit or point of contact. The person in charge of this process is called a purchasing agent. Before ordering inventory for a business, it is important to understand the basics of the ordering and purchasing process.


Create Agreement

Submit Purchase Order

Pay Invoice

The distribution company receives and processes the purchaser's purchase order. After shipping the items to the purchaser, the distributor then issues an invoice to request payment. The invoice contains the purchase order number, account number, address of the purchaser, a description of the items shipped and the total amount due. The invoice also lists the date of issuance and the terms (such as net 30, due within 30 days) so that the purchaser can submit payment on time.