Finance News & Insights

Why A/P should be wary of split invoices

Split invoices can be more than an inconvenience for your A/P department, they can be a red flag that something’s not right with a vendor.

That’s why the experts over at The Accounts Payable Channel are urging employers to have A/P take a closer look at any split bills.

When vendors break down larger bills into a number of smaller charges, it makes it easier to sneak in fees that weren’t agreed upon. And smaller invoices probably don’t require the same level of approval as big-ticket items.

Of course, the mast majority of your vendors probably have a perfectly legitimate reason for sending invoices this way.

But it’s just good business to put A/P on the lookout. If they do see a vendor that suddenly starts sending split invoices, have them find out what the business reason is.



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  • Anne

    When invoices are split, it is because the boss has asked us to do that. They don’t have to go through the same rigorous approval process, if it’s under a certain amount. That’s the only way our customers can do an upgrade at their business. We don’t tack on any more fees or charges. The main invoice is split in 2 or three smaller invoices, depending on the amount of the original invoice.

    We have a bid that was approved and that’s the invoice amount we bill, whether it’s 2, 3, or 5 split invoices. The approved bid amount is the only amount that’s billed.