Final answer:
Invoices should be processed regularly, with a recommended frequency of at least once a week, to maintain accuracy and effective communication, as well as to monitor expenses and cash flow closely.
Step-by-step explanation:
Processing invoices for shippers is essential to maintaining a smooth flow of business operations. Although the frequency can vary depending on the size of your business and volume of transactions, a consistent and regular schedule should be established. As suggested through an example scenario, vigilance is critical; Noel’s attention to an equipment bill possibly prevented a $250,000 overpayment. Such awareness underscores why routine checks are necessary.
Invoices should be processed frequently enough to ensure accuracy, maintain good relations with suppliers, and manage cash flow effectively. Best practices recommend processing invoices at least once a week. This helps to monitor your expenses, as seen in the exercise where tracking all transactions for seven days gives insight into where your money goes, including payments to the “Merchants of Cool” and those for transportation necessities.
It is critical to save all receipts and make notes of transactions to maintain thorough records of all expenditures, thus facilitating an accurate and effective invoice processing system. A regular invoice processing system not only enables better tracking but also expedites dispute resolution, as Noel’s quick communication through Slack and email with their accounting department highlights the importance of responsive and efficient communication channels in the case of discrepancies or errors. Keeping up with invoices prevents overpayments and financial discrepancies in business operations.