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Company name on invoices

Acquired company name on supplier invoices received

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We acquired a new company and merged them into our existing company. We contacted suppliers prior to the change to advise that the company we acquired would no longer exist from a set date so they should invoice us going forward. A couple of suppliers are still sending invoices in the old company name which now does not exist and are making it difficult to allow the change.

Even though the invoice is made out to the old company can we still process these if absolutely necessary whilst we wait for them to update their systems?

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By Accountant A
21st Aug 2019 17:49

davegriffin1-AT-hotmail.com wrote:

A couple of suppliers are still sending invoices in the old company name which now does not exist and are making it difficult to allow the change.

So they don't want to be paid or don't want you as a customer?!

Write and tell them!

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RLI
By lionofludesch
21st Aug 2019 17:59

I'd send the invoices back and point out that the company no longer exists. "The addressee company has no knowledge of these supplies."

Depends how tough you want to be but my experience is that it soon dawns on them.

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By JoF
21st Aug 2019 18:10

Ditto what they said.

Paying them just means they will never change.

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Accountants & Tax Advisors
By Gladstone
22nd Aug 2019 11:41

I would pay them assuming both companies are in the same vat group with a note to suppliers to change the details (rather than not settling the invoice). In most cases this is simply the case of administration gaps where our communication didn't reach the right people to do the required changes.

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Replying to Gladstone:
By Duggimon
22nd Aug 2019 14:44

Your assumption is flawed though, there is no "both" companies, the one to whom the problem invoices are addressed does not exist.

Send the invoices back, tell them you can't pay them, it creates a number of potential issues for you and the invoices shouldn't have been issued in the first place without the change you gave them plenty of notice for being implemented.

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By [email protected]
23rd Aug 2019 11:18

I appreciate the best option would be not to pay the invoice until they change the name but some of these are utility suppliers so we need to pay them to keep the lights on. Also some payments were already taken by DD.

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Replying to [email protected]:
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By Bobbo
23rd Aug 2019 14:23

For the utilities companies in particular, could you just advise them that A Ltd (incorrect name) moved out of the premises on date xx/xx/xxxx and B Ltd (correct name) moved in.

They should then close the account for A Ltd and open one for B Ltd and you will have the correct name on invoices.

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By paul.benny
23rd Aug 2019 12:43

It's a common enough occurrence - companies change names. Changes of ownership, reorganisation, insolvency can all result in a change of legal entity while the underlying business continues.

Completely agree that you should ensure that suppliers update their invoicing details. But there is rarely any doubt that 'you' are the customer and have ordered and received the goods or services in question.

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By LostinSuspense
29th Aug 2019 11:22

Has the company you bought actually shut down and been struck off at Companies House or is it dormant (pending being closed down)?

If it has been struck-off, people tend to update records quicker when you tell them you don't have to pay their invoice because that company doesn't exist.

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