orders letters

complete details about order letters

1. ORDER LETTERS An order letter, also known as a purchase order or PO. The objective is to provide the vendor with detailed instructions for fulfilling an order. It also serves as a legal record of the transaction and consequently, should be written with care. Order letter is written by buyer for placing order after receiving quotation of product from the seller.

2. Points to be remembered while writing order letter Your intentions need to be clear and concise , attention to detail is crucial. DETERMINING SCOPE OF LETTER – The scope should include only the information needed to fulfill the order. The vendor does not need to know why you are placing the order, what it is going to be used for or for whom it is intended. The vendor only needs to know when you expect delivery and how you intend to pay the bill. The scope of an order letter should provide only that information relevant to accomplishing the objective of making a purchase: what the item is, the terms of the purchase and any specific shipping instructions. It provides the reader with an exact description of what is expected.

3. Important information that order letter must contain 1.Remember that all relevant information should be given in an order letter. 2. It is more business-like-and certainly it helps to prevent orders being misread-to tabulate the items required. As a guide to the paragraphing of an order letter you should include: Such letters contain three major categories of information: 1. Information about the items being ordered; 2. Information relating to shipping; and 3. Information relating to payment.

4. 1. Information about the items being ordered : An order letter must contain full particulars of goods ordered. Such information include the followings: Product name Brand name Quantity Catalog number Model number Color Size Weight Unit price

5. Information relating to shipping- Desired receipt date; Desired shipping location; and Mode of shipping (rail, road, or waterways). Information relating to payment- Mode of payment (cash, cheque , draft). NOTE - The above stated factors are usually included in order letter . However, the buyer can include any other instruction or element if he thinks necessary.

6. Sample letter Colors World Pvt. Ltd. 9 , Juhi Guashala , ( DETAILS OF SENDER) Kidwai Nagar, Kanpur. (MP/DC/ 21) (REFRENCE NO.) 27 th November, 2006 (DATE) Sales Manager, (DETAILS OF SELLER) International Corporation Ltd, Jln . Rafflesia no. 23 , Delhi. Sub: Order for various paints (SUBJECT) Dear Sir, (SALUTATION) Thank you for your quotation and the price list. We are glad to place our first order with you for the following items: S. NO. Description Quantity Weight Unit price Amount 1. Enamels paint 25 Tins 100 1bs 1000 25,000 2 . Synthetic paint 20 Tins 2001bs 2000 40,000 We request you to send the goods within 10 days through your “Motor” van as the carriage inward is supposed to be borne by you. We will make payment of Rs. 65,000 through check as soon as we will get dilevery of the products . Yours faithfully , (SUBSCRIPTION) Harshit Gupta (NAME & SIGNATURE) Purchase Manager, (DESIGNATION) Color world Pvt. Ltd.

7. How to write order letter A. Opening Paragraph - We have received your letter of ….(date) and should be glad if you would accept our order for the following goods. - We are obliged to your quotation/letter of …(date) and should be glad if you would accept our order for the following goods. - We thank you for your letter of … (date) and enclose our official order for the following goods. - We have received your quotation of … (date) and please send me the following goods as soon as possible. - We have received your letter are satisfactory, please arrange to deliver the following goods as quickly as possible.

8. B. Describing Method of Payment - We shall pay for the goods by bankers transfer on receipt of your pro-forma invoice. Pro-forma invoice is invoice that give detail of goods being tend and it sent to the customer in advance of the goods themselves. - We shall open a letter of credit as soon as we receive your pro-forma invoice - We shall pay for the goods by banker’s transfer within 20 days from the date of delivery.

9. C. Closing Paragraph - We would be grateful for your prompt delivery as the goods are urgently needed. - We look forward to receiving your advice of delivery by return - Please kindly acknowledge this order and confirm that you will be able to deliver the goods by the end of this year.

10. THANK YOU