How to Manage Accounts Payable Effectively
Running a restaurant involves quite a few moving parts. While the customer is often the focus for many restaurant owners, there are situations when it’s the back office that is holding you back from growing.
Having the best accounts payable management processes in place can help ensure that suppliers and creditors are always paid in a timely manner and that you don’t lose time trying to fix mistakes. Also, when you begin using the right accounts payment system in your restaurant, it will help free up the capital on your balance sheet, opening up an array of new opportunities. Another benefit of a quality accounts payable system for your restaurant is that you can avoid expensive mistakes. These take both resources and time to fix, which may divert your staff from other, more important tasks.
Additionally, if your payments are delayed to your suppliers, then it can result in missed food or drink shipments, delayed vendor payments for linens and cleaning, and more. All of this can negatively affect your restaurant business, but it can be avoided by utilizing the right accounts payable solution.
With the right accounts payable management system and procedures in place for your restaurant, you can even reach higher levels of success.
There are several ways that you can begin to improve your accounts payable management, such as:
Realize How Important Accounts Payable Are
There are some restaurants that downplay how important this is. However, if you don’t pay your vendors and suppliers, you won’t have the items needed to sell or take care of your customers. When you realize that the proper AP management system is in place, it can help improve the efficiency of your restaurant and help you save money. All this will lead to a much higher likelihood for success.
Monitor Key Metrics
With an effective accounts payable process in place, you will be able to easily trace vendor terms, agreements, and clauses, to ensure everyone is living up to their designated duties. You can also keep scorecards to know which of your vendors are doing well and have the ability to analyze the information received about invoices, payments sent, products, services and more. By keeping track of this information about your restaurant, it will ensure you can manage your cash flow much more efficiently and address any problems with your vendors, or your accounts payable processes.
Make Processes Transparent
When you have your accounts payable system in place, you can make it easy for every relevant person in your restaurant — at the front and back ends — to access information about payment terms, vendors, discounts, payments and a wide array of other information from any device, with superior security in place. While an automated system can help reduce redundant invoices, as well as other problems, when you are able to track information in real time, completely securely and keep things related to your restaurant, you will have more eyes on your data, which can help you find errors before they begin to cost your restaurant money.
Utilizing Automation for Your Accounts Payable
If you are ready to automate your restaurant’s accounts payable process, then you should consider the services offered by GetSourcery.com. This automation software gives you the ability to take control of your restaurant’s accounts payable and provides a number of useful features, such as a one-click vendor pay option and searchable digital invoicing.