---
title: "Accounts Payable Procedures"
sidebarTitle: "Overview"
description: "How the AP department moves an invoice from vendor setup through payment — and where each supporting SOP fits in that flow."
icon: "file-invoice-dollar"
---

> **For AI agents:** the complete documentation index is at [llms.txt](/llms.txt). Append `.md` to any page URL for its markdown version.

The Accounts Payable department owns four stages of work: setting up vendor master data, processing invoices, running payments, and reporting 1099 activity. This page maps the flow and points to the SOP for each stage.

## The AP flow

```
Vendor master data → Invoice processing → Payment processing → 1099 reporting
```

Each stage depends on the one before it. A vendor set up without a Type ID can't be filtered into a payment run; an invoice approved without a vendor mapping won't export into Intacct. Most AP problems trace back to incomplete vendor master data.

## Stage 1 — Vendor master data

Before a vendor can be paid, the vendor record must be complete enough to support both payment selection and 1099 reporting.

<Columns cols={2}>
  <Card title="Add a vendor in Sage Intacct" icon="user-plus" href="/internal/sops/accounting/ap/adding-a-vendor">
    The full vendor setup procedure, including the 1099 fields and the W-9 request workflow.
  </Card>
  <Card title="Enable ACH for a vendor" icon="money-bill-transfer" href="/internal/sops/accounting/ap/ach-vendor-setup">
    Turn on ACH payments for an existing vendor and generate the ACH file for the bank.
  </Card>
</Columns>

## Stage 2 — Invoice processing

Any bill that arrives with an invoice image should be created through an invoice capture platform rather than entered by hand. Bills that would never have an image — rent, guaranteed payments — are entered directly in Intacct.

<Columns cols={2}>
  <Card title="MarginEdge invoice processing" icon="receipt" href="/internal/sops/accounting/ap/marginedge-invoice-processing">
    The review, coding, approval, and export cycle for restaurant invoices.
  </Card>
  <Card title="Day-to-day AP in Sage Intacct" icon="table-list" href="/internal/sops/accounting/ap/intacct-ap-transactions">
    Creating bills and recurring entries, selecting invoices for payment, voiding checks, and posting adjustments.
  </Card>
</Columns>

## Stage 3 — Payment processing

Payment method drives which procedure applies. Two of these carry formal policy weight.

| Payment method | Procedure | Status |
|---|---|---|
| Check | [Day-to-day AP in Sage Intacct](/internal/sops/accounting/ap/intacct-ap-transactions) | Procedure |
| Check (physical handling) | [Stuffing and mailing checks](/internal/sops/accounting/ap/stuffing-checks) | Procedure |
| Check (fraud control) | [Positive pay file policy](/internal/sops/accounting/ap/positive-pay-file-policy) | **Policy** |
| ACH via Intacct | [Enable ACH for a vendor](/internal/sops/accounting/ap/ach-vendor-setup) | Procedure |
| Bank file / NACHA | [Bank (NACHA) file payment processing policy](/internal/sops/accounting/ap/nacha-bank-file-policy) | **Policy** |
| ACH via Plate IQ | [Plate IQ ACH enrollment](/internal/sops/accounting/ap/plate-iq-ach-setup) | Procedure |

<Warning>
  Vendor banking information is the highest-risk data the AP team handles. Never update banking details from an emailed request alone — the [NACHA policy](/internal/sops/accounting/ap/nacha-bank-file-policy) requires a callback to the vendor, ideally confirmed by someone other than the person who submitted the change.
</Warning>

## Stage 4 — 1099 reporting

<Note>
  There is no 1099 process SOP. The `4. 1099 Process` folder in the source SharePoint library is empty, even though the [vendor setup SOP](/internal/sops/accounting/ap/adding-a-vendor) refers to the W-9 Mail Merger workbook and to a `What is a 1099 Transaction.docx` reference that lives in a different folder. Writing this SOP is an open gap.
</Note>

Until that SOP exists, the operative rules from vendor setup are:

1. Identify potential 1099 vendors at setup time, before the first payment.
2. Request a W-9 and attach it to the vendor record in Intacct.
3. Add the vendor to `W9 Mail Merger.xlsx` (SharePoint → Accounting Team → Accounting Documents → 1099 Reporting), completing columns A through H.
4. Note the date and method of the request in the vendor's **1099 Comment** field.

## Client-specific processes

Some clients run AP differently enough to warrant their own documentation. The source library holds per-client spreadsheets for Rose Restaurants and Urban Roots, and the MarginEdge SOP is written specifically for The Charter Oak Group. See [Supporting materials](/internal/sops/accounting/supporting-materials) for the full inventory.