Accounts Payable Invoice Processing For Restaurants
As a restaurant manager, you are likely playing a seemingly never-ending game of catch-up. In addition to trying to provide a quality experience and ensuring guest satisfaction, you also have to deal with issues that usually occur at the worst possible times – such as missing a payment to a liquor or food vendor, inaccurate food costs, duplicate invoices, inventory problems and more.
If you are part of the management team (or you are the management team) at a restaurant, especially chains that have several locations, you may be searching for a simpler solution. After all, the process of handling all the accounts payable invoice processing can be tedious and daunting at the least.
Learn more about this process and why it may be time to think about automation solutions, like the ones offered by Sourcery, here.
The Purchase Order (PO)
This is what is prepared by a company to properly communicate and document what your restaurant is ordering from a vendor – each vendor receives one of these. Paper versions of this will come with multiple copies and be given to several people. In addition to including what is ordered, the PO also includes:
- The date of the PO
- The PO number
- Name of the company/vendor name
- Contact person
- Description/quantity/prices of items
This is the documentation presented when the goods have been received. Some vendors delivering food and liquor have moved to automates systems, which means it will be delivered electronically. It is important to compare this information with what is included in the purchase order mentioned above.
The food or liquor delivered will be highlighted on the vendor invoice, too. This is sent to your accounts payable for processing, and once it is verified according to your other reports, you will send payment.
The Three-Way Match
The three-way match is used to make sure everything is accurate. The three forms included in this are:
- The company purchase order: This is what your restaurant ordered and how much it cost
- The company receiving report: This is what your restaurant actually received from the vendor
- The vendor invoice: This is how much the vendor billed your restaurant
After it is determined that the information reconciles, then you can enter the invoice from your vendor into Accounts Payable. However, keep in mind, if you were using automation software, all of this comparison could be handled with ease, automatically. In fact, you could know right away if something was missing from your food or liquor order for the restaurant, and not have to report the issue later on. Also, it would help you save both time and money, regarding making sure all of your inventory was accounted for.
Using Automation Software
If your restaurant makes the decision to integrate automation software for accounts payable processes, such as Sourcery, you will find the entire process can be simplified significantly. You won’t have to worry about keeping track of three pieces of paperwork, or how to handle the process if vendors are sending their reports electronically and you don’t have the document readily available to handle the comparison.
GetSourcery.com offers viable accounting solutions for restaurants of all sizes and types, helping to streamline the accounts payable process while ensuring restaurant managers don’t miss payments and have delays in getting the items needed to serve guests daily. In addition to providing all the benefits mentioned, the automation software also offers a one-click pay section, as well as searchable digital invoicing. In the long run, your business will run much more smoothly with this software in place.