Procurement Company

Procurement companies can help organizations regain control over sales tax collection from vendors. Currently, vendors may have different tax rates that are out of your control and could be unfavorable. They may also miss reporting taxes when they're due. This creates a burden on your system and teams to catch and correct these errors. By using a procurement company, they buy from your vendor tax-free and resell it to your organization with the correct tax due. This gives you full control over the tax and the product still gets shipped directly to you. The benefits of using a procurement company for all your vendors are clear. So you've likely heard of procurement companies before, but what can they really do for your organization? Let's start with how things are now. When you make a purchase, your vendors are in control of your sales tax collection, meaning the tax rates may be out of your control and could be unfavorable. Sometimes they miss reporting taxes when they're actually due. You've got to stop them from collecting tax that you do not owe, plus pay any tax you owe that they fail to collect. Catching these is a burden on your system and your teams. Maybe you've already invested in systems to prevent this, but it's still a mess. Now let's look at the transaction again if you're using a procurement company instead. The procurement company buys from your vendor tax-free, reselling it to your organization with a correct tax due, giving you full control of the tax, and the product still gets shipped directly to you. Apply that to all your vendors and the benefits are obvious.