Step 9: Share invoice and payment instructions with the vendor<\/strong><\/p>\n\n\n\nDo not assume the vendor knows how to invoice your business.<\/p>\n\n\n\n
Send a short onboarding note explaining where to send invoices, what format to follow, whether a purchase order number is required, which GSTIN to use, what tax details to mention, whether HSN\/SAC codes are needed, what supporting documents to attach, whom to contact for payment queries, and why invoices may get rejected.<\/p>\n\n\n\n
This one step can prevent months of invoice delays and back-and-forth.<\/p>\n\n\n\n
Step 10: Process the first transaction carefully<\/strong><\/p>\n\n\n\nThe first invoice from a new vendor is the best test of your onboarding quality.<\/p>\n\n\n\n
Check whether the invoice came through the correct channel, mentions the right vendor name, has the correct GSTIN and PAN, matches the purchase order or agreement, applies taxes correctly, follows the right TDS treatment, uses the agreed payment terms, and has all required approvals.<\/p>\n\n\n\n
If the first transaction goes smoothly, future transactions are likely to be easier.<\/p>\n\n\n\n
Step 11: Review the vendor after onboarding<\/strong><\/p>\n\n\n\nVendor onboarding does not end after the first payment.<\/p>\n\n\n\n
Review the vendor after 30, 60, or 90 days, depending on the vendor type. Check whether invoices were submitted correctly, payments were processed smoothly, delivery or service expectations were met, and if any documents or details need correction.<\/p>\n\n\n\n
Vendor data also needs periodic review because bank details, GST status, MSME status, contracts, and contact details can change over time.<\/p>\n\n\n\n