Do your invoices look like this?
We’ve removed the names to protect the innocent, but this is an actual invoice from a large property management company.
Note the steps taken to fully process this invoice:
- Print out the invoice
- Manually enter GL account numbers and Lot ID numbers
- Assign the value of each product on the invoice to those GL account numbers and Lot IDs
- Check that the entries match the invoice and that everything adds up
- Initial to sign off
- Scan the marked up invoice and upload it to your computer
- Email the marked-up invoice to the accounts payable department
- Accounts payable downloads the marked-up invoice
- Accounts payable manually enters the data written on the scanned invoice into their accounting software
That’s a 9 step process for a $67.31 invoice. How long does it take the team to go through these steps and cut the check? Keep in mind, this is just one invoice. Some properties literally have dozens of invoices each month, all of which need to be printed, manually coded, scanned, emailed….you get the idea.
Invoice processing has to be easier, right?
- Property management company uploads their chart of accounts at the admin level
- Product categories in the supplier marketplace are mapped to the appropriate general ledger codes (e.g. copy paper is mapped to office supplies)
- Property managers and maintenance staff buy MRO supplies, office supplies, pool chemicals, and paint at significant discounts through the supplier marketplace
- As each item is purchased, it is automatically assigned to the preset general ledger account number for the product category (Yes, the default can be quickly edited)
- Accounts payable/bookkeeping personnel receive the purchase reports electronically showing the details of each purchase with the assigned general ledger account. Report is uploaded or integrated via an API to the property management accounting system.
What previously was a 9 step process has been reduced to 3. eProcurement automates invoice processing and reduces errors since the invoice data is no longer keyed in manually. Additionally, the community managers and maintenance staff spend less time with paperwork and more time maintaining the property.
eProcurement stores all the data of purchases accurately and assigns it to the right place for reporting, eliminating paper clutter. Ready to kill the paper trail in your property management company? Click HERE to get started today.