Purchase Contracts

You use the Purchase Contracts application to maintain purchase contracts with outside vendors. On the contract, you can specify items or services provided and their costs, shipping and handling, expected delivery times, financial terms, and vendor information.

You can create the following types of purchase contracts:

Blanket contract - A blanket contract is an agreement to spend a predetermined amount with the specified vendor over a period of time.
Price contract - A price contract specifies that items or services purchased from the specified vendor over a period of time are provided at an agreed-upon price.
Purchase contract - A purchase contract is an agreement to purchase items or services at an agreed-upon price with a vendor. To create this type of contract, you must have a purchase order that does not specify a maximum amount.

Before you can approve a purchase contract, you must have at least one authorized site.