Processing Invoices

Learn how to receive, reconcile, and approve vendor invoices

Overview

SubBase streamlines invoice processing by automatically extracting data from vendor invoices, matching them to purchase orders, and routing them for approval. This guide covers the complete invoice workflow from receipt to approval.

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The Invoice Workflow

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Step 1: Receiving Invoices

Invoices can enter SubBase in several ways:

Invoice Inbox (Recommended)

The Invoice Inbox automatically captures invoices sent to your company’s SubBase email address:

1. Vendors email invoices to your dedicated SubBase inbox
2. PDFs are automatically extracted using AI/OCR
3. Invoice data appears ready for reconciliation

Share your SubBase invoice email address with vendors to streamline invoice receipt.

Manual Upload

To upload an invoice manually:

1. Go to Invoices

   Navigate to Invoices from the main menu.

2. Click Upload

   Click Upload Invoice and select the PDF file.

3. Select Vendor

   Choose the vendor this invoice is from.

4. Process

   SubBase extracts the invoice data automatically.

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Step 2: AI-Powered Extraction

When an invoice is received, SubBase’s AI automatically extracts:

• Invoice Number – The vendor’s invoice identifier
• Invoice Date – When the invoice was issued
• Due Date – Payment due date
• Total Amount – The invoice total
• Line Items – Individual charges with descriptions and amounts

Reviewing Extracted Data

After extraction:

1. Open the invoice to review extracted data
2. Verify the invoice number, dates, and amounts
3. Correct any extraction errors
4. Line items are highlighted for matching

Always verify extracted data before approving. AI extraction is highly accurate but not perfect.

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Step 3: Invoice Reconciliation

Reconciliation matches invoice line items to your purchase orders and deliveries. This ensures you’re only paying for what you ordered and received.

Automatic Matching

SubBase attempts to match invoices automatically:

• Matches by PO number if included on invoice
• Matches line items to order materials
• Highlights discrepancies for review

Manual Matching

For invoices that don’t auto-match:

1. Select Purchase Order

   Choose the PO this invoice relates to from the dropdown.

2. Match Line Items

   Link each invoice line to the corresponding order material.

3. Verify Quantities

   Ensure invoiced quantities match what was delivered.

4. Check Pricing

   Confirm unit prices match the purchase order.

Handling Discrepancies

Common discrepancies and how to handle them:

Discrepancy	Action
Price differs from PO	Review and approve if valid, or flag for vendor discussion
Quantity exceeds PO	Verify delivery records before approving overage
Unknown materials	Match to PO manually or create as non-PO invoice
Missing PO reference	Search for matching PO by vendor and date range

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Step 4: Review and Approve

Once reconciled, invoices move through your approval workflow:

Invoice States

State	Description
Unreviewed	Invoice received, awaiting review
Approved	Verified and ready for payment
Rejected	Invoice disputed or incorrect
Posted	Synced to accounting system (ERP)

Approving an Invoice

1. Review Details

   Verify vendor, amounts, and all matched line items.

2. Check Attachments

   Ensure supporting documents (delivery tickets, etc.) are attached.

3. Approve

   Click Approve to mark the invoice ready for payment.

Rejecting an Invoice

If an invoice has issues:

1. Click Reject
2. Add a reason for rejection
3. The invoice is flagged for follow-up with the vendor

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Step 5: Posting to ERP

If your company uses an ERP integration (QuickBooks, Sage, Foundation, etc.):

1. Approved Invoices Queue

   Approved invoices appear in the posting queue.

2. Review for Posting

   Verify cost codes and GL accounts are correct.

3. Post

   Click Post to ERP to sync the invoice to your accounting system.

The invoice status changes to Posted once successfully synced.

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Invoice Inbox Management

Filtering Invoices

Use filters to find invoices quickly:

• Status – Filter by Unreviewed, Approved, Rejected, Posted
• Vendor – Show invoices from a specific vendor
• Project – Filter by project
• Date Range – Invoices received within a period
• Amount – Filter by invoice amount

Bulk Actions

For efficiency, you can:

• Select multiple invoices for batch approval
• Assign invoices to team members for review
• Export invoice lists to CSV

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Best Practices

Review Daily

Process invoices regularly to avoid backlogs and late payments.

Match to POs

Always reconcile invoices to purchase orders for accurate cost tracking.

Verify Before Approving

Double-check extracted data and pricing before approval.

Attach Documentation

Link delivery tickets and other supporting docs to invoices.

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Related Guides

Creating a Purchase Order

Create orders that invoices will be matched against.

Tracking Deliveries

Receive deliveries to support invoice verification.

ERP Integrations

Configure invoice syncing with your accounting system.