Scrubbing accounts payable

What is Scrubbing Accounts Payable?

Scrubbing accounts payable refers to the clean up of the vendor master file in a company’s accounting software. When scrubbing accounts payable, you are eliminating duplicate entries in the vendor master file, so that there are no duplicate records for the same supplier . It also means that you delete inactive suppliers from the file. It is useful to schedule an accounts payable scrubbing at least once a year, so that the vendor master file contains the most up-to-date information.

Advantages of Scrubbing Accounts Payable

There are several advantages to scrubbing accounts payable, which are as follows:

Minimizes duplicate records . By scrubbing accounts payable, you are reducing the risk of having different records for the same supplier, each with potentially different payment terms, addresses, and so forth.
Streamlines record keeping . Scrubbing accounts payable allows you to more easily organize your record keeping for each supplier.
Generates volume discounts . Scrubbing accounts payable centralizes purchases under fewer accounts, making it easier to demand volume discounts from suppliers (which would otherwise be dispersed across multiple vendor records).