What happens when employees use company money for purchases in Xero?

When employees use company money for purchases in Xero, they can submit an expense claim against the company bank account. This process is convenient because it allows employees to record and categorize their expenses quickly and accurately without the need for invoicing. Submitting an expense claim ensures that employees can be reimbursed for their out-of-pocket expenses or that the company can keep track of expenditures made on its behalf.

In Xero, the expense claim function is designed to streamline the reimbursement process and ensure that all expenses are documented properly, facilitating better cash flow management and financial tracking for the organization. The tools provided in Xero allow for easy attachment of receipts and other necessary documentation, ensuring that validations are in place for the purchasing activities carried out by the employees.