Companies which receive a large number of incoming invoices centrally or decentrally every day need a good overview. A central invoice ledger gives you the necessary control.
What an invoice ledger should be able to do
There is an accounting obligation in companies making commercial transactions and outline the position of assets in these accounts in accordance with the principles of proper accounting. This is laid down in the respective accounting laws in many countries in one way or the other, think of the German Commercial Code (HGB) § 238 (1) for example.
A well-done invoice ledger is therefore an important part of the accounting system in question. All incoming invoices are automatically entered into a central invoice ledger offering:
- Possibility of research (e.g. when requested by the supplier).
- Central monitoring according to cash discount and invoice due dates
- Ease of support of monthly, quarterly and annual financial business reviews
- Central view of the processing status of all invoices
5 good reasons for an invoice ledger
A well-done invoice ledger offers the user many advantages
- Compliance – Without invoice ledger the documentation necessary for legal compliance is practically very difficult
- Automation – The Invoice Ledger tracks the current steps of invoice processing from the receipt of the invoice document to the final booking. The invoice ledger is filled automatically and allows a comprehensive search over the entire invoice inventory.
- Archiving – Incoming invoices are archived centrally in an audit-proof way.
- Transparency – Search the electronic invoice book to find invoices quickly and easily. The invoice ledger creates a transparent overview of all invoices with information on the invoice amount.
- Service for Line of Business departments – This makes it easy to find the relevant documents when there is an enquiry and to point out any checks still to be carried out.
Examples of use for SAP by the SEEBURGER Invoice Ledger
While SAP doesn’t provide an option to address this need, SEEBURGER does offer an integrated Invoice Ledger for SAP as part of its Purchase-to-Pay solution.
Through this the accounting department can thus obtain an up-to-date overview of the current processes at any time. Suitable selection criteria are used to identify processes at an early stage that could reach a critical state.
Such a selection could, for example, be the display of all transactions for which the payment deadline will be reached within the next 5 days.
Companies which receive and process a large number of incoming invoices centrally or decentrally on a daily basis retain an overview and control through a central invoice ledger.
The greater the transparency you have about the invoices in the invoice receipt ledger, the faster you can react on individual transactions and carry out certain evaluations:
- Determine due dates and cash discounts
- Prioritize incoming invoices
- Processing of short-term failures
- Determine the status of invoices and the responsible employees
Monthly closing can therefore be carried out more quickly because the invoice ledger shows exactly which invoice from the old month has not yet been posted and what the cause is. If extra reserves for larger invoice amounts were previously created before month-end closing, you can now use the invoice ledger to see immediately whether the relevant invoice has already been booked and, if necessary, whether the reserve can be waived.
The invoice ledger integrated in the SEEBURGER Purchase-to-Pay solution thus represents an important component of the aforementioned accounting for SAP users.
The invoice ledger of the SEEBURGER Purchase-to-Pay solution offers the user all these advantages in addition to the plain documentation. Available only in German!
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Written by: Rolf HolickiRolf Holicki, Director BU E-Invoicing, SAP&Web Process, is responsible for the SAP/WEB applications. He has more than 25 years of experience in e-invoicing, SAP, Workflow and business process automation. Rolf Holicki has been with SEEBURGER since 2005.