A Buyer order is a commercial document and first official offer issued by a Wholesaler to a
seller, indicating types, quantities, and agreed prices for products or services. Acceptance of a
Wholesale order by a seller forms a contract between the Wholesale and seller, so no contract exists
until the Wholesale order is accepted. It is used to control the purchasing of products and services
from external suppliers.
What is the Purpose Of Order?
Wholesale orders are typically used when a buyer wants to resale the order purchased by seller to retailers.
This means the seller delivers or ships the buyer items prior to payment, with the buyer
order serving as its risk protection. Along with legal protection, Buyer orders are significant in
both inventory management and payment tracking. Wholesale orders help seller compare ordered inventory
to inventory shipped and on hand for accuracy. They also allow the wholesale to track when payments
have been made on specific orders. Buyers hold copies of orders they place to monitor timely receipt of the items.
See Also: Wholesale Invoice | Wholesale Return