Procurement Case Studies » Consolidated Invoicing & Credit Terms to Ease Cashflow
Consolidated Invoicing & Credit Terms to Ease Cashflow
· 5 min read
Representative scenario — a growing SME
In this representative scenario, a growing SME consolidated its buying onto Lapasar Mall and replaced dozens of individual supplier invoices with a single monthly statement on credit terms. Fewer invoices cut accounts-payable effort, and credit terms give the business breathing room on cashflow — published platform capabilities.
This is a representative scenario illustrating how consolidated invoicing and credit terms apply to a growing SME — not an audited account of a named customer. It follows a business whose finance team was drowning in small supplier invoices.
The challenge
A growing SME paid dozens of suppliers, each on its own invoice, terms and due date. The finance team spent significant time matching, approving and paying a constant stream of small invoices, and the irregular due dates made cashflow hard to plan.
Paying many suppliers upfront or on short terms also put avoidable pressure on working capital during a period of growth.
The solution
The SME consolidated buying onto a Lapasar Mall account with one monthly consolidated invoice on credit terms. Instead of dozens of invoices and due dates, finance reconciles a single statement and pays on predictable terms.
Because purchasing and invoicing sit on one platform, every line on the statement is already matched to an order — removing most of the manual reconciliation.
Implementation
The highest-frequency purchasing was moved onto the account first, so the largest share of invoices collapsed into the consolidated statement quickly. Credit terms were set up to suit the business's cashflow cycle.
Finance shifted from processing a stream of ad-hoc invoices to reconciling one statement per cycle, and remaining specialist suppliers were left in place where consolidation did not fit.
Targeted outcomes
Targeted outcomes, consistent with the platform's public ROI assumptions: far fewer invoices to process, sharply reduced accounts-payable effort, more predictable payment dates, and easier cashflow planning from consolidated credit terms.
Key takeaways
- Consolidated invoicing turns dozens of small invoices into one reconciled statement.
- Credit terms on consolidated buying give a growing business real cashflow breathing room.
- Line-level order matching removes most manual AP reconciliation when buying and invoicing share one platform.
Results at a glance
- Supplier invoices: Dozens → one monthly statement
- AP effort: High → sharply reduced
- Payment dates: Irregular → predictable
- Cashflow: Pressured → eased by credit terms
Targeted savings
Target: major AP process-cost savings, plus 3–6% on consolidated spend
Fewer invoices cut accounts-payable effort, while consolidated negotiated pricing saves at the rate our public ROI calculator assumes. Targets, not audited results.
Illustrative timeline
- Weeks 1–2 — Set up account & terms: Open the consolidated account and agree credit terms suited to cashflow.
- Weeks 3–4 — Move high-frequency buying: Shift the most frequent purchasing onto the account first.
- Weeks 5–8 — Switch AP to statements: Reconcile one monthly statement instead of many invoices.
- Ongoing — Plan cashflow on terms: Use predictable due dates to plan working capital.
Key takeaways
- Consolidated invoicing turns dozens of small invoices into one reconciled statement.
- Credit terms on consolidated buying give a growing business real cashflow breathing room.
- Line-level order matching removes most manual AP reconciliation when buying and invoicing share one platform.
Frequently Asked Questions
How does consolidated invoicing work?
Instead of a separate invoice per supplier, purchases across the account are billed on a single periodic statement — typically monthly. Each line is already matched to an order, so finance reconciles and pays one document instead of many.
Are the outcomes here audited results?
No. This is a representative scenario. Outcome figures are targets consistent with our public ROI model, not audited results from a named client.
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