Invoice No.

Free Purchase Order Template for Software Companies

Software companies invest heavily in SaaS tools, cloud infrastructure, and specialist services. Purchase orders formalise these commitments, support SLA management, and ensure spend is properly tracked against engineering and product budgets.

Receipt numberIssue & due dateItemised chargesTax readyPDF downloadNo signup

Currency

Live Preview

Stackform Software Ltd
PURCHASE ORDER
#PO-001
Supplier
CloudBase Infrastructure
Issue Date
05/07/2026
DescriptionQtyRateAmount
Cloud server infrastructure: 3-month committed use, 8 vCPU1€1,800.00€1,800.00
Design software licence: team plan, annual1€960.00€960.00
Security audit: penetration test, web application1€3,500.00€3,500.00
Subtotal€6,260.00
Total€6,260.00

Thank you for your order.

What should a software company put on a purchase order?

A software company issues a purchase order to vendors to authorise cloud services, tools, and IT infrastructure before they are provisioned. List each service with the term, the seat or usage count, and the agreed price, plus the project it is for. The PO gives the vendor an approved order, and the invoice that follows references its number.

Typical line items

  • Cloud infrastructure (committed use)
  • SaaS and software licences (by seat)
  • Security or audit services
  • Development tools and resources
  • Project or cost centre code
  • Subscription term and renewal date
  • Agreed price per seat or service
  • Vendor contact and account details

How the work is charged

Software services are priced per seat, per committed-use term, or per project at agreed vendor rates. The purchase order records each figure so the vendor's invoice can be matched against approved costs.

Payment terms and deposits

Vendor terms vary from net 30 to annual upfront on subscriptions. The PO authorises spend up to its total, and the supplier should reference the PO number on the invoice.

Tax and compliance

Where sales tax or VAT applies, show it separately with the supplier's registration number. Cross-border digital services can be taxed differently in places, so confirm what applies to the order.

Frequently asked questions

Should a software company issue POs for SaaS subscriptions?

For subscriptions above a budget threshold, a PO is good practice, especially for annual commitments. It ensures finance visibility and helps with contract renewal tracking.

What should a software company PO include for cloud services?

Include the service name, service tier or specification, commitment period, agreed monthly or annual price, payment terms, and any SLA commitments referenced from the supplier's documentation.

How do software companies track third-party development spend?

Issue a PO per engagement referencing the statement of work or contract. This ties expenditure to deliverables and supports clean cost allocation between products or projects.

Related purchase order templates

Read the complete purchase order guide to see what a purchase order needs and how it leads to an invoice.

Back to Purchase Order Generator →