In this competitive world, business organisation puts lot of effort in controlling the cost and takes optimum use of resources available with them, one of such limited resource is Finance, entrepreneurs have to be circumspect of using the finances most of the time. The two areas in the financial system where a large chunk of funds is always involved are Accounting Receivable & Accounts Payable. In order to manage those areas, business organisations need higher business intelligence, better controls and low cost of processing. A vigorous and systematic receivable & payable process can help business organisation in making or receiving payments efficiently, cost-effective and accurate, which in turn supports in lowering the cost of operations.
RJV being headed by senior Chartered Accountants and a team of highly skilled professionals are experienced, we have tailor made solutions for business organisations operating in different industries. Our receivable/payable processing system are flexible, cost efficient, reliable, authentic and quick to implement which have been transformed through integration of multiple technologies.
Outline of our accounts payable system:
- The requests for payment are accepted after assuring the following steps:
- Receipt of processed invoice from Purchase department.
- Evidence regarding receipt of goods/services by indenting department and warehouse.
- Receipt of goods as per purchase order.
- The payment request is as per the purchase/work order.
- The respective department gets alert in case there is a discrepancy in any of the following:
- Issuance of Purchase order without budget or signature of sanctioning authority
- Non receipt of documents from receiving department or supplier which was supposed to be received with goods, e.g testing reports etc.
- Receipt of goods by un-authorised department
- Variation in the description of goods as mentioned in the purchase order & invoice.
- Arithmetical error in the invoice.
- Taxation matter where input tax credit could be at stake.
- Validating suppliers bank account details with the records.
- In case any attractive cash discount is available, the same is recommended to the concerned department.
- Preparation of payment advice as per the processed invoices and payment made as per the agreed mode.
- Acknowledgement is received from the supplier and forwarded to respective departments as well.
- Maintenance of records for accounts which will be due in near future for financial planning.
- Preparation of vendor account statements and reconciling with books of accounts.
- Preparation of age wise balances of the amount due to vendors in order to take constructive decisions regarding old amounts which are not required to pay or waived off.
- Sending vendors monthly/quarterly/yearly account statements to cross verify and provide acknowledgement of the same.
Benefits of outsourcing Accounts Payable process :
- Profit maximisation — The first and foremost benefit of outsourced accounts payable is that it helps to enhance the working capital of the business and ensures its optimal use.
- Reduce Processing Costs — With the help of Accounts payable automation, you can easily reduce the cost of processing. It helps in minimizing the total time required to complete the transaction.
- Access Invoice Documents via the Web — It allows you to access the invoice online, making it convenient for you to access it from any corner of the world.
- Avoid Late Payment Fees and Penalties — Reminders and scheduling facility keep you up to date about your future payments and gives you the freedom from late payment penalties.
- Never Miss an Early Payment Discount — Simultaneously, it rewards you the benefits of early payments by updating you about the profits of early payment, if any.
- Avoid Duplicate Payment — Outsourcing accounts is done by experienced professionals which mitigates the possibilities of duplicate payments.
- Eliminate the Need for Paper Invoice Storage —It becomes substantially easier with the help of accounts payable software, a paperless accounts payable system which maximizes efficiency and effectiveness.
- Improve Consolidation — It streamlines the complete accounts payable system, making it accurate and ensures high quality standards.
Outline of our accounts receivable system:
- Creation of invoice on the basis of sales order and goods despatch or service rendered documents.
- Uploading electronic invoice into the client system, once the invoice gets approved, sending invoice to the buyer.
- Sharing payment details with the buyer/service receiver.
- Reconciling the bank statements with buyer account.
- Escalating alerts regarding short payments, if any.
- Following up for amount receivable.
- Preparation of age wise balance to be received in near future, sending soft reminders to the clients.
- Itemizing advances or deposits received, besides receipts.
- Preparing and sending account statements of buyers.
- Preparing projected cash flow by using the invoices raised and to be raised in future.
Benefits of outsourcing Accounts Receivable process:
- Realisation of funds on time.
- Preventing any bed debt in receivables outstanding.
- Reduction in overhead cost
- Unapplied credit elimination
- Fraud curtailment
- Strong customer relationship
- Frequently monitoring and scanning customers for credit risks
- Lending to customers with satisfactory credit rating