Accounts Payable

Accounts Payable (AP) is the money a property management company owes to vendors, suppliers, and contractors for goods and services already received. In multifamily operations, AP also refers to the process or team that receives invoices, codes expenses, routes approvals, pays vendors, and records those payments. Common AP expenses include maintenance work, utilities, landscaping, insurance, taxes, and supplies.

A multifamily community receives an invoice from a plumbing contractor after an emergency repair. The AP team verifies the work was completed, codes the invoice to the correct property and expense category, gets the required approval, and schedules payment before the due date.

AP affects cash flow, vendor relationships, owner reporting, and audit readiness. Clear AP controls help operations leaders reduce payment errors, prevent duplicate or unauthorized payments, track property-level expenses accurately, and support timely financial reporting across a portfolio.