Budgeting and Accounting for E-Invoicing and Invoice Discounting [PRO]


While a range of solution providers in the purchase-to-pay (P2P) and trade financing areas are offering greater flexibility on pricing models (e.g., supplier-funded vs. buyer-funded, programs-based discount uptake/adoption/transaction fees, etc.), there’s the broader question of how one can think about budgeting and accounting for investment. Of course, such a question is also linked to where a program “sits” in a company. Here, the question of centralization matters. Yet is there a “best” model when it comes to budgeting for e-invoicing, P2P or related initiatives? Spend Matters experience, especially from an overall adoption perspective, suggests that a centralized approach with centralized payment is often the best place to start rather than having individual business units drive the initiative and funding.

But whether this model makes sense over time will depend on the structure and capabilities of each organization – not to mention the willingness of a corporate central structure to fund initiatives on an ongoing basis. This Spend Matters PRO takes a look at this issue – read on…

For full access to this PRO content: