Ordering from shortages: purchase orders, receiving goods and billing

A purchase order is a commitment, not a cost: nothing is posted when you raise one. Stock and its cost move when goods arrive, and the supplier's bill completes the picture. Bala keeps the three steps apart so your books show exactly what has arrived and what you still owe for.

From shortages to orders

• •On Production, open the Shortages tab.
• •Tick the lines to order and set To order for each (At last cost shows the expected price).
• •Items with a preferred supplier go to that supplier; for the rest, choose who to order from.
• •Press Create purchase orders. One order is raised per supplier.

Lines already on order show On order; tick the confirmation if you really mean to order more.

Raising an order by hand

• •Open Purchases › Purchase orders and press Raise an order.
• •Choose Who you're ordering from, the Order date and Your reference.
• •Add lines: a Stock item, or Not stock (free text) with What is being ordered; Qty and Unit price. Add line for each.
• •Press Raise order, then Mark sent once it has gone to the supplier.

Receiving goods

• •Open the order and press Receive goods.
• •Under Arrived now, enter what came on each line — deliveries can come in parts.
• •For items that track lots, fill in Lot (or leave Automatic) and Expiry.
• •Set Received on and press Receive goods. Stock and its average cost move now; the goods sit in the books as goods received, not yet invoiced.

Recording the supplier's bill — or several

• •When the supplier's bill arrives, press Bill it on the order.
• •Enter the quantity this bill covers on each line, the net and the VAT as on the bill. Currency defaults to the order.
• •Press Record the bill. This is the moment the cost enters the books.
• •A supplier who bills in parts is fine: record each bill as it comes. The order shows Partly billed until everything received is billed.

If something will not arrive, choose It is not coming — close the order; otherwise Still coming — keep the order open.

Goods received, not yet billed

Purchase orders shows Goods received, not yet billed: what has arrived and is waiting for a supplier's bill, with the total compared to the ledger (2210). "Agrees with the ledger." is what you want; if it says Out by, something was posted to 2210 by hand — worth a look.

Common mistakes

• •Recording the supplier's bill under Bills directly for goods on an order. Record it from the order so the received goods are matched and not counted twice.
• •Receiving the whole order when only part arrived. Receive what arrived; the rest stays open.