Reporting

Invoice processing is a set of actions that includes receiving, scrutinizing, validating, and paying supplier invoices. Companies should have a clear and formal process, although many businesses either lack the tools to create one, or don't feel that it's important enough.

Without a clear structure and system, invoice processing creates confusion and frustration for employees who don't know the rules. This leads to extra effort for finance teams, who have to educate team members and deal with lots of human error.

Because it deals with money leaving the business, accounts payable may not seem like a priority. It's more important to get paid by clients. But for this reason, any time and energy wasted on purchase orders and procurement are squandered resources. You only have so many people hours in the business, and poor business processes mean you deploy these resources inefficiently.

Instead, put this effort in the hands of AP automation software and keep your teams focused on value-adding work. Great SaaS payable solutions exist and were built specifically to make companies more effective.

Accounts payable is the process of a company paying its suppliers. Accounts receivable is essentially the opposite of this - the procedures that ensure a company receives payment from clients and debtors.

Outstanding receivables are the invoices and debts waiting to be paid to a company. Good cash management systems help a company collect payment on time and without added administrative hassle.

Note: Spendesk helps companies with AP automation, but does not offer accounts receivable software.

Purchase orders are part of a dedicated company procurement process. When an employee needs to purchase goods or services, they complete a purchase order (request form) and submit it to the procurement or finance team. Purchasing managers can then compare vendors, check prices, and ensure that the transaction makes sense for the business.

Purchase orders are often a slow, manual process. But new procurement management software lets companies digitize these, to move more quickly.