The value of a Broniec audit is not only in the financial recoveries, but in the root cause analysis, best practices, and process improvement recommendations can help enhance accuracy, efficiency and compliance.

The Broniec Audit identifies payment discrepancies across 16 categories, including duplicate and erroneous payments, open credits, sales & use tax, purchasing card, freight, debit balance, unclaimed property recovery, escheatment prevention, rebates, and pricing.

An AP transaction file for the audit period, vendor masterfile listing, and access to invoice documentation. Vendor agreements are required for pricing and contract reviews.

Broniec’s comprehensive AP audit is performed on a contingency basis. This means there is no fee until a recovery is made, making it a no-cost self-funding project for the client.

On the average, expect around 4 to 8 weeks. The audit timeline varies depending on the audit scope, annual vendor spend, availability and quality of data, as well as access to ERP systems and invoice documentation.

The frequency of AP audits can vary based on the organization’s size, complexity and changes impacting the purchase to pay process. Typically, audits are recommended on an annual basis.

AP Audits are not mandatory, however highly recommended. Some industries, particularly those that are heavily regulated, like government or healthcare, external AP audits may be part of their standard operating process. An AP audit can contribute to Sarbanes-Oxley Act (SOX) compliance, which requires public companies to have their internal controls audited by an external auditor.

Neglecting routine AP audits can lead to financial inaccuracies and losses, increased risk of fraud, compliance issues, and inefficiencies, leading to costly implications.

AP audits help ensure financial accuracy, detect and prevent costly overpayment errors and strengthen internal controls and improve the overall financial management within an organization. Additionally, AP Audits can reduce risk of fraud.

An accounts payable (AP) recovery audit is a systematic review of an organization’s accounts payable processes, transactions, and internal controls to ensure accuracy, compliance, and efficiency. The audit identifies and recovers overpayment, improving cash flow.