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We Bought Dext and We Are Still Retyping Supplier Invoices. Why?

Why supplier invoices still get retyped into Xero or QuickBooks after buying a capture app, and how we automate invoice processing around the gaps.

Updated 4 min readBy SpiderHunts Technologies

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Quick answer — TL;DR

Capture apps read the header of an invoice well but often leave line coding, tracking categories and job allocation to a person, which is where the retyping comes back. We build the missing layer: rules and a lookup against your own history that code each line, check it against the order or job, and post it to Xero or QuickBooks through the API, with anything uncertain sent to a short review queue.

The pile that never quite goes away

You signed up to a receipt and invoice capture app because someone was typing supplier invoices into Xero by hand. It helped. The supplier name, date and total now come through on their own. And yet your bookkeeper still spends a good part of the week in front of two screens, one with the PDF and one with the bill, fixing things.

The work that is left is the fiddly part. A builders' merchant invoice with fourteen lines needs splitting across three jobs. A utility bill needs the VAT separating because part of it is reclaimable and part is not. A subscription arrives in dollars. The app pulled the total correctly and then posted everything to one account code, so a person opens it, deletes the line and types it out again properly.

Why the capture app did not finish the job

Capture tools are built to be general. They read what is printed on the page. What they cannot know is what your business does with that information: which job a delivery belongs to, which cost centre a hire invoice goes to, which lines are rechargeable to a client.

That knowledge lives in two places. Partly in your bookkeeper's head, and partly in your own history, because the same supplier has been coded the same way hundreds of times already. Neither of those is being used, so each invoice is treated as if it were the first one ever seen from that supplier.

What the app handlesWhat still falls to a person
Supplier, date, invoice number, totalSplitting lines across jobs, projects or tracking categories
Header-level VATMixed VAT rates on one invoice, partial reclaim
Attaching the PDFChecking the price against what was ordered or quoted
Default account per supplierExceptions to that default, which are frequent for some suppliers

What the retyping is really costing

The obvious cost is time, and it tends to land on the person you least want doing data entry: an experienced bookkeeper or the finance manager. The less obvious cost is accuracy. When line coding is done in a hurry at the end of the week, job costing reports drift, a rechargeable cost never gets recharged, and nobody notices until a job's margin looks strange months later.

There is also a delay cost. Invoices sit in the capture inbox waiting for someone to have time to fix the coding, so your payables figure in Xero is always a bit behind reality, and cash planning is done on incomplete numbers.

How we close the gap

We do not usually replace your capture app. We build the step that comes after it, so the invoice reaches Xero or QuickBooks already coded the way your team would have coded it.

  1. Intake: invoices arrive from the capture app, a dedicated inbox or both. We keep the original PDF linked to every record.
  2. Line extraction: where the header is not enough, we read the individual lines, quantities and unit prices using a document model such as those from OpenAI or Anthropic Claude, with the output forced into a fixed structure.
  3. Coding from your history: we look at how each supplier and product description has been coded before in your ledger and propose the same account, tracking category and job. New patterns are flagged rather than guessed.
  4. Checks: prices against the purchase order or quote where one exists, VAT arithmetic, duplicate invoice numbers, and bank details that have changed since the last invoice.
  5. Posting: clean invoices go to Xero or QuickBooks as draft or awaiting-approval bills through the official API, with the PDF attached.
  6. Exception queue: anything that fails a check or has low confidence lands in a short list with the reason shown, so a person deals with the hard ones only.

Every decision the system makes is logged with the reason, so if your accountant asks why a line went to a particular code, the answer is there.

What your week looks like afterwards

Your bookkeeper stops being a typist and becomes a reviewer. Instead of opening every invoice, they work through a list of the ones that genuinely need judgement, each with the problem already named. Routine suppliers flow through without anyone touching them.

Job costing becomes something you can trust mid-month instead of after a clean-up, and rechargeable costs get flagged at the point the invoice arrives rather than being remembered, or not, at billing time.

Signs this is your situation

  • You already pay for a capture app and still edit most bills before approving them.
  • Some suppliers send long multi-line invoices that need splitting across jobs or projects.
  • Your bookkeeper keeps a private list of which supplier goes to which code.
  • Job or project costs in Xero or QuickBooks are only reliable after month end.
  • Rechargeable costs sometimes never make it onto a client invoice.

FAQ

Frequently asked questions

The questions readers ask us after this guide.

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Do we have to stop using Dext, Hubdoc or AutoEntry?

Usually not. We often build on top of what you already have and take over from the point where it stops being useful. If your current tool is causing more problems than it solves, we will say so.

What happens when it codes a line wrongly?

Low-confidence lines are not posted; they go to the review queue. When a person corrects something, that correction feeds the coding history so the same mistake is less likely to repeat.

Does it work with QuickBooks as well as Xero?

Yes. Both have APIs that accept bills with line items, tracking or class information and attachments. Sage and some other packages can be connected too, depending on their API.

What drives the cost of building this?

Mainly the number of suppliers with unusual layouts, how many checks you want (purchase orders, quotes, job lookups) and how many systems it has to talk to. A short conversation about your invoices is the quickest way to scope it.

What do you need from us to start?

A sample of real invoices including the awkward ones, read access to your ledger history, and time with whoever codes invoices today to understand the rules they carry in their head.

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