How do I use Purchase Orders in Forwardly?

Purchase Orders in Forwardly help you turn approved purchases into bills and keep everything matched before payment.

If your accounting software is connected, Forwardly automatically imports open Purchase Orders so you can use them when creating bills. You can also link one or more Purchase Orders to a bill, review PO details directly in the Bill Canvas, and validate bill line items against the linked Purchase Order.

How do I create a bill from a Purchase Order?

1. On the left-hand navigation bar, select Pay and then Purchase Orders.
2. Open the Purchase Order you want to use.
3. Click Create Bill.
4. Review the details and save the bill. 

Once saved, the bill is automatically linked to the Purchase Order for easy tracking.

Can I link Purchase Orders while creating a bill?

1. On the left-hand navigation bar, choose Pay and then Bills.
2. Click Create Bill.
3. Select the vendor.
4. If available, choose one or more Purchase Orders.
5. Save the bill.

You can link more than one Purchase Order as long as they belong to the same vendor.

Can I create Purchase Orders in Forwardly?

No. Purchase Orders must be created in your connected accounting software. Once created, they will automatically sync to Forwardly.

Can I edit a Purchase Order in Forwardly?

No. Purchase Order details displayed in Forwardly are read-only. If you need to make changes to a Purchase Order, update it in your connected accounting software; the updated information will sync to Forwardly.

Why don’t I see a Purchase Order?

This usually happens for a few reasons. The Purchase Order may already be fully billed or closed, it may not have synced yet from your accounting software, or your accounting integration may not be connected.

Keep in mind that Forwardly only shows open Purchase Orders with a remaining balance, so once a Purchase Order is fully used or closed, it will no longer appear.

How do I review a linked Purchase Order?

When a Purchase Order is linked to a bill, Forwardly displays the PO details in the Linked Purchase Order section of the Bill Canvas, below the uploaded PDF in the left panel. You can review the PO without leaving the bill page.

The section displays:

• PO Number
• PO Date
• Vendor Name
• Total Amount
• Remaining Balance
• Product/Service
• Quantity
• Rate
• Balance Quantity
• Amount

If multiple Purchase Orders are linked, you can switch between them to review the details of each PO. Purchase Order details displayed in the Bill Canvas are read-only.

How does Forwardly validate a bill against a Purchase Order?

Forwardly provides line-level validation between the bill and the linked Purchase Order, comparing the bill quantity and rate with the remaining quantity and rate available on the PO. Validation updates automatically when you change the item, Purchase Order, quantity, or rate.

If the bill quantity exceeds the Purchase Order quantity: Forwardly displays a warning. For example, if the PO Balance Qty is 2 and the Bill Qty is 4, Forwardly shows +2 above the PO Qty.

If the bill rate exceeds the Purchase Order rate: Forwardly displays a warning. For example, if the PO Rate is $49 and the Bill Rate is $50, Forwardly shows +$1 above the PO Rate.

If the bill rate is lower than the Purchase Order rate: Forwardly displays a warning. For example, if the PO Rate is $50 and the Bill Rate is $45, Forwardly shows -$5 below the PO Rate.

If the bill matches the Purchase Order: No validation warning is shown.

How do I upload a receipt for 3-way matching?

1. Open the bill.
2. Link the applicable Purchase Order.
3. Locate the Linked Receipts section.
4. Upload the receiving receipt or document.
5. Add additional receipts if needed.

You can upload one or more receipts to the same bill. Uploaded receipts are displayed in the left panel and associated with the bill for validation.

What's the difference between 2-way and 3-way matching?

2-way matching compares the Purchase Order and the bill. Forwardly compares the bill line items with the linked Purchase Order to help identify differences in quantity and rate. For example, if a Purchase Order has 5 units remaining and the bill contains 7 units, Forwardly shows the difference so you can review it before creating the bill.

3-way matching adds a receiving receipt to the mix, comparing the Purchase Order, receipt, and bill. This helps validate that the quantity being billed aligns with what was ordered and received. For example:

• Purchase Order: 10 units ordered
• Receipt: 8 units received
• Bill: 10 units billed

The difference can be reviewed as part of the matching process.