July 6, 2017 – Thursday — Xero made the official announcement for Xero Connect, a whole new integration which will automate the flow of supplier invoices and improve billing experience between big and small enterprises.
What is Xero Connect?
Xero Connect is an integration which allows large enterprises to send invoices directly to the small business’s Xero account via a secure integration with the supplier’s billing system. After the invoice approval process, bills will automatically be matched with Xero when payment is made.
The Initiative’s Purpose
Trent Innes, Australia’s Managing Director for Xero shared his thoughts on this new integration, stating that the main purpose of this initiative is to help small businesses, especially in delivering supplier invoices:
“Small businesses spend an enormous amount of time on compliance. Xero Connect is all about trying to streamline some of the processes and allow enterprise organisations to deliver some of their invoices directly to a small business owner digitally. The whole idea behind it that the data is far more accurate and it’s far more timely.”
Xero Connect Works in 4 Easy Steps
1. You should first connect to your Xero account via the supplier’s online portal.
2. Select your preferences, this includes default account codes.
3. The supplier invoice flows automatically into Xero as a draft bill awaiting for approval. A PDF copy of the bill can also be attached.
4. When the invoice is paid, payment will appear in Xero and is matched to the bill for easier reconciliation.
Xero Connect Partners
As of now, the first two corporations that were announced to join Xero Connect are both Caltex and Reese. Innes also said that they’re approaching other large organizations that could join this integration:
“What we did was, we had a look within our systems and saw who the largest organisations were that our small business customers engaged with,”
He even added:
“So we had a look at that data and approached them to see if they were interested in helping make the lives of small businesses easier. Obviously, Caltex and Reece were which was fantastic.”
“Now that we’ve launched we’re starting to see people approaching us and we’ll continue to approach others as well.”
Check out this blog to learn more information about Xero Connect, and visit this website to experience the benefits of using this new integration of connecting your Reece trade account or Caltex StarCard account with Xero.