An AI vendor statement reconciliation agent reads a vendor statement and your ledger for the same vendor and lines up invoices, credits and payments on both sides.
A vendor statement arrives by email or portal.
The agent extracts invoices, credits and payments from it.
Each line is compared with the vendor's ledger account.
Differences are sorted into missing, extra or amount mismatches.
The clerk contacts the vendor or fixes the ledger.
The agreed balance and open items are noted.
It sorts differences into categories such as invoices you have not recorded, payments they have not applied, and amounts that disagree.
It prepares a short summary and a draft query for your AP team to review before anything goes back to the vendor.
Vendor statements are the supplier's version of the truth, and they often disagree with yours. Reconciling them is routine detective work that most teams only do for the largest vendors.
PDFs, spreadsheets and email bodies each need reading before they can be compared.
A bill sent to the wrong person never reaches payables, and only the statement shows it.
Cash may sit on account at the vendor against the wrong invoice.
Vendors forget to net credit notes, or you forget to record them.
Without help, teams reconcile only the biggest suppliers and miss problems elsewhere.
The agent extracts each line from the vendor statement with its date, reference, amount and type.
It retrieves your open and recently paid items for that vendor over the same period.
Items are paired on reference and amount, and near matches are shown with the difference called out.
Unmatched items on either side are labelled, such as not in ledger, not on statement or amount differs.
The agent prepares a list of queries and a draft message for your team to edit and send.
Bring a small sample and watch Flo work through it.
| Aspect | By hand | With the agent |
|---|---|---|
| Reading statements | Staff re-key statement lines to compare them. | Agent extracts lines from the statement into a comparable form. |
| Finding gaps | Hunting for the missing invoice takes searches across systems. | Missing, extra and mismatched lines are listed separately. |
| Vendor contact | Queries are written from scratch each time. | Agent drafts a query listing the items in question for the clerk. |
| Timing | Reconciliation happens when the vendor complains. | Each statement is compared when it arrives. |
| Audit trail | Agreed balances are stored in email threads. | Agreed outcome and remaining differences are logged per vendor. |
| If | Then | Who decides |
|---|---|---|
| Statement lists an invoice not in the ledger | Mark as possibly unrecorded and search for a received copy | AP clerk |
| Ledger holds an invoice the statement omits | Mark as possibly not yet recognised by vendor | AP clerk |
| Amounts differ on a shared invoice | List both amounts and the gap | AP clerk |
| Statement shows a payment we recorded | Confirm the match by date and amount | AP clerk |
| Statement shows a credit not in the ledger | Flag it for entry or challenge | AP lead |
| Statement balance differs after all matching | Report the remaining difference with its causes | Accountant |
The agent matches on amount and date and marks the pairing as probable. The clerk confirms with the vendor if unsure.
Lines are grouped by entity before comparison. The AP lead confirms which entity each belongs to.
The agent marks unreadable lines instead of guessing. The clerk asks the vendor for a clean copy.
It is shown as disputed with the dispute reference. The AP lead decides what to tell the vendor.
Talk it through with the team. We will map it to your steps and show where a person stays in control.
Begin with vendors that send regular statements and have many invoices.
Check the agent's difference list against your own reconciliation.
Let the agent draft vendor queries which clerks edit and send.
Expand to the wider vendor base and agree how often to reconcile.
Use it to see whether queries are being answered. Slow resolution with one vendor may point to a contact or process issue there.
Quick answers to what people ask most about vendor statement reconciliation.
Book a demoIt is the comparison of a supplier's statement of account with your payables ledger to confirm both sides agree on what is owed. Differences are investigated and corrected.
It finds invoices missing from your ledger, payments the vendor has not applied, credits not netted, and lines where the amounts disagree.
It drafts the query. Your AP team reviews and sends it, and handles the reply.
It can read statements in common formats, including PDF and spreadsheets. Poor scans may need a person to check the extracted lines.
Payment reconciliation is the process of confirming that each payment made matches the invoices it was meant to settle and the entry on the bank statement.
→ERP sync is the process of keeping records in your finance system, such as vendors, purchase orders, bills and payments, consistent with those in the tools where they are created.
→NetSuite reconciliation is the process of checking that bills, payments, credits and balances recorded in NetSuite agree with bank activity, subledgers and source documents.
→Integration health monitoring is the ongoing check that data connections between business systems are running, current and accurate.
→Bring a small sample of real items. We will show what Flo handles on its own and where it hands over to your team.
