Freight & Parcel
There are no infallible payment systems, despite tight controls and sophisticated financial applications and processes. Billions of corporate dollars are lost each year to supplier overpayments. Industry benchmarks indicate that 5.2% of vendor invoices, and nearly 2% of payments to vendors contain errors.
Your disbursement process is good, but is it perfect?
Given the extremely competitive environment and economic challenges today, self funding and high ROI initiatives are necessary. Zero dollar investment and virtually no client time or resources are needed to attain significant returns. Following are the primary steps of our AP Audits:
Identify & Analyze: RCI consultants systematically compare the source documents that relate to each transaction with the invoice and payment. Our goal, of course, is to identify inconsistencies that indicate potential overpayments.
Verify & Document: Recapture consultants initiate their own internal verification to confirm potential overpayments. Once verification is obtained, the prospective overpayment is presented to the vendor for confirmation.
Recovery/Collection: Often the most challenging phase- our engagement is not complete until our client has received complete reimbursement from the vendor or taxing authority. This means we are completely responsible for all collections until our client has use of funds.
Educate: The final engagement report also includes observations as well as detailed recommendations for changes in policies, practices and controls to reduce your exposure to future overpayments.
One of the most complicated and overlooked aspects of corporate finance are detailed and accurate sales/use tax accounting procedures. Many companies don’t have a solid process either defined or followed to ensure proper taxability assessment of purchases.
Our clients have learned that improving knowledge and competency in the area of sales/use taxes can produce tremendous recoveries and ongoing savings. In the vast majority of cases, Recapture clients receive significant refunds and credits from undergoing a Sales & Use Tax review- sometimes called a “reverse sales tax audit.” It’s not about beating the system or avoiding taxes, it’s about getting it right.
Customs Brokers for all US companies shipping products into Canada are mandated to pay the “GROSS” amount of GST/HST tax on the price of their products when they clear the border. The Canadian Revenue Agency offers exemptions and adjustments to 15 areas of expenditure from which GST/HST refunds can be extracted related to your sales. These exemptions, (Input Tax Credits) are hidden in your closed A/P vendor files. Even if you deliver your products through a Canadian Subsidiary, the same exemptions are in play.
If your company files your GST/HST returns on a monthly schedule with the Canadian Revenue Agency, the 4-year recovery savings potential could be hundreds of thousands of dollars.
Why not find out what your savings potential is, request a FREE estimate today.
Parcel carriers such as FedEx and UPS generally provide consistent and reliable services that many businesses depend on everyday. Parcel logistics is complicated, and along with complex pricing and invoicing it can be confusing. Like people, companies do make mistakes. Recouping parcel costs is not about placing blame – it is about holding your carrier accountable to their guarantees.
Carrier’s offer incentive discounts, rebates, and Guaranteed Service Refunds (GSR). But how do you take best advantage of these avenues to reduce costs? Thousands of weekly invoices, payment terms, complicated rate structures and incomplete shipping information make it difficult to take advantage of these avenues to reduce costs. You have a 15 day window of opportunity to identify and submit a claim with your carrier to qualify for recovery of any over payments.
Recapture Consulting can help you leverage your parcel spend, claim all available refunds, and optimize your shipping choices through continuous, automated, pre-payment invoice auditing. Parcel audit and reporting services offer no-risk contingency fees, vendor optimization, and significant cost recovery savings.
Virtually every line of every invoice is automatically verified based on your custom contract rates and terms to hold your carriers accountable. Any available credits or refunds will be recaptured for you, there is nothing for you to do or worry about- just save money from every weekly billing.
On average we can save our clients 2 – 5% on their weekly billing from FedEx and/or UPS.
We analyze your previous 48 months of GST filing information and Canadian A/P spreadsheet data to identify over payments
95% of our work is done offsite and requires none of your staff’s time
It will take us approximately 3 – 6 weeks (all off site) to complete our analysis of the data
We will spend 2 – 4 days at your location to review specific vendor files that we have identified in our analysis
Our auditors do not need anything other than a desk to work from and access to the specific vendor files which they will pull and then replace
Off site, we will prepare all documentation required by the Canadian Revenue Agency to support the adjustment that will be submitted with your next GST/HST return
Want to know how much you can save on Canadian Taxes?
Request your estimate of SAVINGS TODAY
"It is a pleasure to recommend Recapture Consulting’s audit service to recover shipping charges from FedEx and UPS when they do not meet their guaranteed delivery schedule. We have been a client since 2008 and you have saved us thousands of dollars...recovered almost 3% of our total billing during this time."
- Candace Erhardt, Accounts Payable Supervisor, WenCor