The lack of proper information stored at a centralised location is one of the prime reasons for duplicate payments in Accounts Payable. Do you want to reduce the duplicate payments so far as the bill’s payable are concerned? It would help to have an accurate master data portal (Vendor Master Data) to eliminate payment inaccuracies. We are the leading bookkeeping and accounting company in Dubai and have the most secured VMD system for our clients, reducing 100% data inaccuracies and account delinquencies. We ensure your bookkeeping and accounting will keep the best track of all the product details, service level agreements, quality standards, delivery timelines, and payment information details in a single place. Hence the chance of errors for accounts payable is significantly reduced or seems to be nil!
Business owners experience duplicate payments, a significant menace in Accounts Payable. It can happen even if a master data portal leverages them. If you are one of them, you should at least comprehend once with this content! We are the qualified & experienced accounting experts at Escrow Consulting Group, providing you with a guide that helps you avoid duplicate payments in your bills payable or accounts payable process. Please have a look:
Review, Consolidate & Validate the Master Data Regularly: Around 30% of the duplicate payments happen due to inaccuracy found in Vendor Master Data. It may be the origin of the same vendors. In addition, it poses the risk of duplicate payments or several other fee-related issues—resulting in lost cycle time and money and damaging vendor relationships. The first step any business can take to curtail duplicate payments is thoroughly reviewing the VMD. If you feel it is voluminous and extensive, you can start with a list of highly infrequent suppliers for faster verification and check the payments. Remove the irrelevant information, and trace the duplicate vendors to deactivate them. Conducting a business review at least once a year is suggested to ensure clean data. Businesses can also take the help of our offshore accounting services to stream their data review process.
Ensure Consistent Data Standards: Removing the needless data is a significant part of the master data management system. It ensures consistent data standards, better accounts payment rules and generating invoices. At Escrow Consulting Group, we maintain standard documents and provide a refresher for new employees to reinforce the fundamentals of Vendor Data Management. In addition, it ensures consistency is maintained across the duplicate payments in bills payable.
Verify Tax Information: Always ask for relevant documents from the vendors before starting a business relationship. For example, the Tax Identification Numbers and other required information while filing corporate taxes will ensure the company is genuine. You can even contact the taxation department or use the government’s tools to double verify your vendor.
Separation of duties & Background verification: Verifying the tax information is not enough to reduce or eliminate duplicate payments. Before adding your vendor to your listings and paying them, you must perform a necessary background check on them. Do the proper bill tracking before releasing the payment. Always bifurcate the responsibilities carried out by the accounting team. It will minimise the risk of fraud. Never make a single person responsible for making all the vendor payments. It is not at all a good idea is never a good idea.
Regular staff training: Track inconsistencies in accounts payables like purchase order inconsistencies, multiple addresses, more & inconsistent invoices, vendors with similar names, and invoices. Adopting the best accounting practices enables reducing fraud or eliminating discrepancies. We are experts in doing it all with utmost accuracy. We consistently train our account & bookkeeping resources to identify the red flags effectively before processing further in your payable process. Business owners seek our help as we specialise in accounts payable or bills payable services.
How can Outsourced Bookkeeping help?
At Escrow Consulting Group, our outsourced accounting & bookkeeping team starts with a thorough audit to remove data inconsistencies, anomalies, and unusual patterns. Then, we guide you through the data format standardisation for optimising your master data management system. Our accounting experts, under our expert guidance, identify the red flags to ensure a secure account payable. For our outsourcing bookkeeping and accounting companies in Dubai, you can contact us at: https://escrowconsultinggroup.com/.