Approved vendors

Approved vendors

An approved vendor list restricts an expense type to suppliers you have chosen. It is how negotiated rates, preferred suppliers and tax-compliant invoicing get enforced at the point of claiming rather than argued about afterwards.

Where: Expenses › Vendors You need: the expense settings right

When to use one

You wantDo
Spend to go through negotiated suppliersApproved vendors on that expense type
A ceiling on what can be spentA limit on the expense type
Tax details captured on every claimReceipt requirements on the type

Approved vendors answer who may be paid, not how much. The two are usually used together — a preferred hotel chain and a nightly rate cap.

What a vendor record holds

FieldPurpose
VendorThe supplier name
CodeYour internal reference for them
TIN numberTheir tax identification number
AddressTheir registered address
LimitA limit associated with the vendor

Recording the TIN and address is what makes this more than a convenience list: it is the supplier information your finance team needs for input tax and for the accounting record, captured once rather than re-keyed from every receipt.

How to set it up

  1. Open Expenses › Vendors and add each supplier with their code, TIN and address.
  2. Open the relevant expense type and enable approved vendors.
  3. Select the vendors permitted for that type.
  4. Submit one test claim to confirm the restriction behaves as you expect.

What Happens Next

  • Claims against that type are restricted to the listed vendors.
  • Vendor details are available on the claim rather than being transcribed from a receipt.
  • Removing a vendor affects future claims; it does not revisit claims already approved.

Tips

  • Only restrict types where the supplier genuinely matters — hotels, travel agents, medical providers. Applying a vendor list to a general type produces rejected claims for legitimate spending.
  • Keep TINs current. A wrong TIN is discovered at tax filing, months later, across many claims at once.
  • Review the list when contracts change. A supplier you no longer have terms with should come off, and a new one needs adding before people are asked to use them.
  • Tell employees which suppliers are approved before they book, not when their claim is rejected.
  • Retire rather than delete vendors that have been claimed against, so history still makes sense.

Troubleshooting / FAQ

Q: An employee cannot submit a claim for a legitimate supplier. That expense type is restricted to approved vendors and the supplier is not on the list. Add them, or use a type that is not restricted.

Q: Do vendor limits replace the expense type's limits? No. Both apply — the type's limits govern the claim, the vendor record carries its own.

Q: We changed a vendor's TIN. Do past claims update? No. Claims hold the details as they were.

Q: Can one vendor be approved for several expense types? Yes — the vendor list is company-wide and each type selects from it.

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