The process of paying an invoice is a routine yet crucial aspect of business operations. Ensuring timely and accurate payments not only maintains healthy supplier relationships but also reflects on a company's reliability and financial health. This guide will walk you through the traditional method of invoice payments, its downsides, and how Kloo simplifies the entire process.
In the conventional approach, invoice payment involves several manual steps. First, an invoice is received, verified for accuracy, and then processed for payment. Often, this requires manual data entry into accounting systems, paper checks to be written, or online banking details to be painstakingly entered.
This method can be fraught with delays and inefficiencies. For instance, the UK government's Payment Practices Reports show that among the five biggest retailers in the UK, 25% of invoices take 61 days or more to be paid. This lag not only strains supplier relationships but also impacts cash flow and financial forecasting.
Before an invoice can be paid, it must be properly processed. Kloo simplifies this with its cutting-edge use of Optical Character Recognition (OCR) and Artificial Intelligence (AI). Here's how:
Once processed, the next step is the payment of the invoice. Kloo's payment features include:
Navigating the traditional invoice payment process can be cumbersome, often leading to significant delays as reflected in the statistic that a quarter of invoices among major UK retailers take over two months to be paid.
With Kloo, businesses can overcome these challenges and ensure that invoices are paid promptly and efficiently. Kloo’s suite of payment features is designed to streamline the payment process, from automated approvals to instant payments, all the while ensuring that businesses can maintain favourable terms with their suppliers.