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hey guys steve chase here im going to share with you how to create purchase orders in quickbooks online and then convert them to bills all right so the first step would be to create a purchase order youd go to the plus news sign and select purchase order this is certainly the quick and easy way to go about doing it a purchase order is going to require a vendor so select the vendor and any information that you had in the vendor setup would pre-populate including the email second thing that youll do is fill out anything that you like like the purchase date order a po number that youd like to have here this will pre-populate based on the last one that you did and then well need to choose either a category or an item so a category basically the difference is a category is going to be your entire chart of accounts okay thats fine but if you wanted to get items that will eventually show up on an invoice for customers you would need to go to the items and select the product list so it