Profit Recovery develops and manages cost-reduction solutions for Fortune 1000 companies, law firms, private equity firms and other enterprises. Its spend management, supplier management and procurement strategies have produced more than $3 billion in client savings to date. The company provides a range of business expense reduction services, including savings assessments, vendor compliance and review, and unclaimed input tax benefits reviews.
A profit recovery firm conducts a rigorous review of a company’s accounts payable disbursements in order to uncover funds that may be due back to the enterprise for duplicate payments, overpayments, missed credits and deductions and other errors. The firm then, for a fee, attempts to recover the funds.
Any business that has significant variations in its accounts payable data files and has experienced recent systems changes or acquisitions should consider a profit recovery audit. These types of changes can introduce anomalies into the accounts payable system that increase the chance of duplicate and overpayments occurring, but may not be detected during a regular account receivables review. In addition, any business that frequently pays its suppliers using a purchase order system should consider a profit recovery audit. The elimination of PO paper and the use of automated invoice processing tools can greatly reduce the number of credits to recover as well as fees paid.