Filling in the Gaps
- Companies are looking beyond traditional spend categories and targeting non-traditional suppliers for purchasing card payments. Some companies are capturing higher rebates and paying vendors more quickly by using purchasing cards to pay for temporary employment services, utilities, employee drug screening, on-premise security services, legal service providers, advertising and modeling agencies.
- Companies using single-use accounts report results such as more efficient A/P processing, improved fraud protection, increased working capital and larger financial rebates.
- Single-use account rebates can be significant. Some companies are earning 1 percent on their larger, indirect purchases.
- Participating suppliers can be paid 15 to 20 days earlier through single-use accounts, improving the company's days payable outstanding.