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Updated: Sep 9, 2022

When working with freelancers and vendors, it’s important to match your invoices to work orders and master services agreements/contracts.

When working with vendors, including freelancers and independent contractors, it’s important to match your invoices to work orders and master services agreements (or contracts). Here’s why.

Invoice Matching

Invoices should always be connected to work orders (WOs) or purchase orders (POs). Linking invoices and WOs helps to verify the accuracy of invoices and enables timely payment. For example, the hours billed on an invoice by a freelancer may exceed the maximum amount specified in the WO. With Liquid’s automatic verification, this discrepancy between invoice and WO would be automatically reviewed and flagged.

Connecting invoices and WOs / POs also provides an audit trail for your company and can be used by the accounts payable team to prevent fraudulent invoices and duplicate payments.

Work Order and Contract Matching

Work Orders (WOs) or Statements of Work (SOWs) should always be connected to the governing contract or master services agreement (MSA). The MSA defines the legal terms between the parties to the agreement and controls the terms for all associated WOs / SOWs. The connection between your WO and contract is essential in case of any disputes or discrepancies. With Liquid, you can establish different approver roles and approval workflows for your contracts, work orders, and invoices. Approval workflows streamline work and help protect companies from potential legal and compliance risks.

Ready to simplify managing your independent contractors, freelancers, and vendors? Try Liquid today!



1 min read

Q: Why does matching invoices, work orders, and contracts matter?

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