What is a Sales Order?
A sales order is the temporary order document recording the planned sale of merchandise or services to a customer in the future, such as for custom items or an item currently out of stock. The items listed on a sales order can be quickly transferred to a sales receipt when the final sale is made. The seller-generated document that authorizes the sale of the specified item(s), issued after receipt of a customer’s purchase order. A sales order usually implies that there will be no additional labor or material cost incurred for the sale, except where it is used to initiate a production process.
Also referred to as the SO.« Back to Glossary Index