You will need good collaboration with your IT department to get your organization's payment system to recognize the difference between those vendors that accept procurement card payments and those that will still need to receive checks. IT will also need to configure the system to generate compliance reports.
* You need to make sure that you have a strong general ledger person in your finance department who can help set up your accounts correctly and help manage and control the frequency of your payments.
* Vendors that provide you with capital may object to accepting your procurement card as doing so would result in a large deduction from a sale. Unlike vendors selling you supplies, this objection is reasonable because of the considerable financial hit that the vendor would take. If a vendor sells you capital and supplies, work with the vendor to pay for supplies on the procurement card and keep capital off of it, Felix says.
Note: Before you pursue this type of procurement card program, keep in mind one major caveat. "You can't do this rebate program unless your finance department knows that it can pay the bills in full, on time, all of the time," Felix says. "If you don't pay on time, all of the time, this is a credit card, so you're not going to get revenue, you're going to get charged interest.