Job Profile: Accounts Payable Coordinator

Job Overview

The Accounts Payable (AP) Coordinator serves as the gatekeeper of a cannabis organization's financial outflows, a role of amplified importance in an industry defined by intense regulatory scrutiny and complex supply chains. This position transcends traditional invoice processing; it is a critical control point for ensuring financial accuracy and operational continuity. The AP Coordinator operates at the junction of procurement, operations, and finance, verifying the legitimacy of every expenditure, from agricultural nutrients and specialized extraction equipment to state licensing fees and third-party lab testing services. By executing flawless 3-way matching and maintaining meticulous records within sophisticated ERP systems like SAP, this professional safeguards company assets and ensures the data integrity required for navigating the stringent requirements of IRS tax code 280E and Sarbanes-Oxley (SOX) compliance. Their work directly enables the company to maintain strong vendor relationships, manage cash flow effectively, and withstand the rigors of frequent financial and regulatory audits, thereby protecting the company's license to operate.

A Day in the Life

The day begins by launching the company's ERP system, likely a customized SAP R/3 environment, to review the queue of newly scanned invoices captured by a system like Markview. The initial focus is on high-priority invoices from critical cultivation vendors. An invoice for 500 liters of a proprietary nutrient solution arrives. The AP Coordinator initiates the 3-way matching process. First, the invoice is cross-referenced with the Purchase Order (PO) issued by the Head of Cultivation. The Coordinator verifies that the item codes, quantities, and pricing match the PO precisely. Next, they retrieve the Goods Receipt Note from the inventory system, confirming that the receiving team logged the delivery of all 500 liters at the cultivation facility's loading dock yesterday. With all three documents aligned, the invoice is coded to the correct General Ledger account for 'Cultivation Raw Materials'—a critical step for proper 280E tax treatment—and approved for the next payment run.

Before noon, the focus shifts to resolving discrepancies. An invoice from a packaging supplier for 10,000 child-resistant vape cartridge tubes shows a price that is 5% higher than the master vendor agreement stored in the ERP. The Coordinator places the invoice on hold and contacts the procurement department to validate the pricing. Simultaneously, an email is sent to the packaging supplier's AP contact, attaching a copy of the PO and the relevant section of the contract to request a corrected invoice. This proactive problem-solving prevents overpayment and maintains the integrity of financial records. This detailed approach is a fundamental aspect of continuous improvement, preventing similar issues from recurring by ensuring system data is updated.

The afternoon is dedicated to preparing the weekly payment run. The Coordinator generates a proposed payment list from SAP, prioritizing vendors offering early payment discounts and ensuring critical suppliers are paid on time to avoid supply chain disruptions. The list is exported to Microsoft Excel for review by the Controller. Once approved, the Coordinator prepares the payment batch for processing via ACH, a preferred method due to the banking challenges in the cannabis industry. Each step is documented to create a clear audit trail, a core requirement for SOX compliance. The final hours of the day are spent reconciling vendor statements against the company's AP aging report. A discrepancy is found with a key laboratory testing provider. The Coordinator investigates, tracing the issue back to a missing invoice from two months prior, which was never received. A request for a copy is sent, ensuring the liability is accurately recorded before the month-end close.

This cycle of processing, problem-solving, and verification is central to the role. The AP Coordinator's PC proficiency and mastery of Microsoft Office and the ERP system are essential for navigating these tasks efficiently. Their diligence ensures that the financial backbone of the cannabis operation remains strong, compliant, and ready for the intense scrutiny it faces from auditors, investors, and regulators.

Core Responsibilities & Operational Impact

The Accounts Payable Coordinator's responsibilities are foundational to the financial health and operational stability of the cannabis enterprise, falling into three key domains:

1. Procure-to-Pay Cycle Execution

• Invoice Processing & Validation: Manages the end-to-end processing of hundreds of weekly invoices, from initial receipt and scanning via platforms like Markview to final posting in the ERP system. This includes invoices for plant-touching goods like seeds and clones, as well as ancillary services like security and legal counsel.
• Rigorous 3-Way Matching: Executes the systematic matching of purchase orders, goods receipt confirmations, and vendor invoices to verify the legitimacy of every transaction before payment. This prevents erroneous payments and protects company assets.
• Payment Administration: Prepares and executes timely and accurate payment runs via ACH, wire, or check. Manages payment schedules to optimize cash flow, capture early payment discounts, and maintain positive relationships with a diverse and often highly specialized vendor base.
• Vendor Relations Management: Serves as the primary point of contact for vendor inquiries regarding invoice status and payments. Effectively resolves disputes and discrepancies to ensure an uninterrupted flow of critical supplies and services.

2. Financial Control & Regulatory Compliance

• SOX Compliance & Audit Support: Maintains meticulous, audit-ready records of all transactions, approvals, and communications. Provides critical support during internal and external financial audits by retrieving documentation and explaining processes, demonstrating robust internal controls.
• Accurate Expense Coding: Applies a deep understanding of the company's chart of accounts and the nuances of IRS 280E to correctly code every invoice. This ensures costs are allocated properly between Cost of Goods Sold (COGS) and operating expenses, a distinction with major tax implications.
• Month-End Close Procedures: Plays a key role in the monthly financial close process by ensuring all received invoices are processed, accruing for un-invoiced goods and services, and reconciling the AP sub-ledger to the general ledger.

3. System & Process Improvement

• ERP System Integrity: Manages vendor master data within the ERP system (e.g., SAP), ensuring all information, including banking details and tax identification numbers, is accurate and up-to-date to prevent payment failures and fraud.
• Continuous Improvement Initiatives: Proactively identifies bottlenecks and inefficiencies in the accounts payable workflow. Recommends and helps implement process improvements, such as enhancing automated invoice matching rules or developing clearer PO submission guidelines for other departments.
• Data Reporting & Analysis: Utilizes the ERP system and Microsoft Office tools, particularly Excel, to generate reports on AP aging, payment cycle times, and invoice volumes. This data provides management with insights into spending patterns and operational efficiency.

Strategic Impact Analysis

The Accounts Payable Coordinator's performance has a direct and measurable impact on the company's financial and operational success:

Chain of Command & Key Stakeholders

Reports To: This position typically reports to the Accounts Payable Manager or the Corporate Controller, ensuring direct oversight from leadership responsible for financial controls and reporting.

Similar Roles: This role shares functional responsibilities with titles such as Procure-to-Pay Specialist, Expense Administrator, or Financial Operations Coordinator. These titles similarly emphasize the management of the entire lifecycle of a transaction, from purchase initiation to final payment. In larger organizations, this role may be known as a Vendor Management Coordinator or a Compliance Accounting Clerk, reflecting a specialization in either vendor relationships or the adherence to strict financial regulations. The position is a cornerstone of the accounting team, acting as a critical link between the company's operational activities and its financial records.

Works Closely With: The AP Coordinator is a highly collaborative role, working daily with the Procurement Department to resolve PO and pricing issues, with Facility and Department Managers across cultivation, manufacturing, and retail to confirm receipt of goods and services, and with the General Ledger Accounting Team to ensure a smooth month-end close.

Technology, Tools & Systems

Mastery of specific financial technologies is crucial for efficiency and compliance in this role:

• Enterprise Resource Planning (ERP) Systems: Deep proficiency in a major ERP platform, such as SAP or its SAP R/3 iteration, is fundamental. This is the central system for managing vendors, posting invoices, and processing payments.
• Automated Invoice Management Systems: Experience with solutions like Markview or similar platforms that use Optical Character Recognition (OCR) to scan invoices, automate data entry, and manage digital approval workflows.
• Payment Processing Platforms: Expertise in navigating corporate online banking portals for setting up and executing ACH and wire transfers, as well as managing payment templates and security protocols.
• Productivity and Data Analysis Tools: Advanced PC proficiency, especially with Microsoft Office Suite. Microsoft Excel is used daily for tasks like vendor statement reconciliations, payment batch reviews, and ad-hoc data analysis.

The Ideal Candidate Profile

Transferable Skills

Professionals with experience in high-volume, regulated environments are exceptionally well-suited for this role:

• Manufacturing & Consumer Packaged Goods (CPG): Direct experience with complex 3-way matching for raw materials, high-volume invoice processing, and managing a diverse supplier base provides an ideal foundation.
• Multi-Site Retail or Hospitality: Expertise in managing payables for numerous locations with decentralized purchasing and receiving is highly relevant to multi-state cannabis operators (MSOs) with multiple dispensaries and cultivation sites.
• Pharmaceutical or Biotechnology: A background in industries with strict documentation standards, SOX compliance requirements, and rigorous audit processes translates seamlessly to the financial landscape of cannabis.
• Agriculture or Food Production: Knowledge of agricultural supply chains, vendor contracts for perishable goods, and the accounting for raw material inventories is a significant asset.

Critical Competencies

The role demands a specific set of professional attributes for success:

• Unwavering Attention to Detail: The ability to identify minute discrepancies in large volumes of data is essential, as small errors in invoice processing can have significant financial and compliance consequences.
• Systematic Problem-Solving: A logical and persistent approach to investigating and resolving issues, from simple invoice mismatches to complex vendor account disputes.
• Commitment to Continuous Improvement: A proactive mindset focused on identifying inefficiencies and contributing to the development of more streamlined and robust financial processes.
• High Level of Integrity: The ability to handle sensitive financial information with discretion and professionalism, upholding the strict ethical standards required in a compliance-focused role.

Top 3 Influential Entities for the Role

The operational context for this role is shaped by the rules and guidance of these key bodies:

• Internal Revenue Service (IRS): The IRS, through Section 280E of the tax code, is the most influential entity. This rule prohibits cannabis businesses from deducting ordinary business expenses, forcing a strict and defensible classification of costs into Cost of Goods Sold (COGS). The AP Coordinator is on the front lines of applying this critical distinction.
• Securities and Exchange Commission (SEC) & PCAOB: For publicly traded cannabis companies, the regulations set forth by the SEC, particularly the Sarbanes-Oxley Act (SOX), dictate the need for strong internal controls over financial reporting. The AP process is a primary focus area for SOX auditors, making the Coordinator's adherence to procedure paramount.
• Financial Crimes Enforcement Network (FinCEN): While not a direct regulator of the company, FinCEN's guidance to financial institutions shapes the banking environment for cannabis. The intense scrutiny banks apply to cannabis-related transactions means that AP departments must maintain exceptionally clean and transparent records to support their company's banking relationships.

Acronyms & Terminology