Accounts payable (AP) is an account within the general ledger that represents a company’s obligation to pay off a short-term debt to its creditors or suppliers. We can also say that “AP” is the business department or division of the company that is responsible for making payments owed by the company to suppliers and other creditors.
Every entity needs an accounts payable department and its structure depends upon the size of business. Accounts payable department based on the no. of invoices, payments, vendors etc. and to manage the department, employees, capital investment, operational cost etc. have to incur by the management. Nestor consulting provides best accounts payable services to our clients with competitive price.
key benefits of outsourcing
- Low processing cost
- Real time Invoice Status
- Timely payments of Invoice
- Systematic Records of all transactions
Overview of our Accounts Payable Process
- Creation of vendor ledger
- Updation of Accounting system through Invoices, purchase order, Receipts memo etc.
- Invoice Processing through verification of all the checks and then entered into the system.
- Give alerts on any mismatching in Invoice
- Resolution of issue through follow up from client or supplier
- Reconciliation of Supplier Account Statements
- Timely Disbursement of supplier payments after approval of client
- Give alert before the due date of any invoice
- Recommendation of early payment of supplier invoice where cash discounts are available
- Preparation of debit or credit note wherever required
- Maintain of account payable record
- Preparation of Vendor Account Statements
- Analysis of outstanding payable
- Handling of vendor query
Workflow of Accounts Payable Process
- Vendor Creation
- Invoice Receive from Supplier
- Scrutiny of Invoice with various checks point
- Recording of Invoice in to the system
- Update the Vendor Ledger
- Payment approval from client
- Payment of Supplier
- Submission of Accounts payable Report to client