Accounts Payable (Procure to Pay)
A
7 Problems faced by companies related to their Accounts payable function:
- Regular complain of user/purchase department about delay in payment of vendors.
- Biased behaviour towards vendors or user department while releasing payment
- Error of judgment while deducting TDS on vendor payments resulting in interest and penalty
- No real time status about pending bills
- No real time tracking of bills which are yet to be posted in Accounting Software
- Incorrect provisioning at the month end which leads to incorrect profitability
- Cases of double payments to vendor
B
Benefits experienced by our clients
- Complete objectivity while processing of payments as per agreed credit period or SLA’s
- Real time access to status of pending payments which leads to better understanding between user department and accounts department.
- Full availment of applicable tax credits i.e. Input service tax or Input VAT
- Correct accounting as per cost/profit centers leading to correct profitability
- Timely preparation of Financial MIS which hugely depends on
C
Scope of our services
- Checking of documents received on various parameters i.e. P.O. terms, Service tax Credit etc. through a checklist
- Correct deduction of withholding tax i.e. TDS, Work Contract Tax
- Bill wise recording in the accounting software along with detailed narration.
- Profit/Cost center wise recording of expenses
- Processing of bills for payment as per agreed credit period based on complete documentation.
- Generation of various reports i.e. Aging Schedule, Bill wise outstanding report.
- Employ checks and balances to ensure internal control.
- Contractual staff payment and taxation compliance there on.
- Updation of masters relating to accounts payable.
- Keeping track of validity of agreements.
- Preparation of audit schedules and other desired details
D
Reports related to Accounts Payable
- Ageing schedule
- Real-time access to pending bills along with reasons
- Master provisioning report for making and reversal of provisions
- Bill wise outstanding report of vendors
- Report about vendors whose agreement/contract are about to expire
To see how Blue Consulting can help you in your Accounts Payable process, get in touch with us at bdm@blueconsulting.co.in or call us at 0120-4113075 or Click here.
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