Why is subcontractor invoicing such a problem for agencies
Agencies rarely deliver projects alone. Most work is spread across freelancers, consultants, and subcontractors. Each collaborator sends their own invoice, often in different formats and currencies. What starts as one client project quickly becomes a web of invoices, emails, and payment deadlines.
The hidden cost is the time and energy spent reconciling it all. Instead of focusing on client work, agency founders get trapped in admin.
What is multi party invoicing
Multi party invoicing is when one project involves multiple contributors, each sending their own invoice. For example:
- A design studio working with a freelance copywriter and a developer
- A marketing agency subcontracting a photographer and a video editor
- A consultancy engaging several fractional specialists
Each contributor needs to be paid, and each has their own terms, bank details, and invoice format.
How do agencies currently manage subcontractor payments
Most agencies try to make sense of the chaos with spreadsheets, manual consolidations, and endless emails. Payments are then made one by one, often across borders and currencies. This creates:
- Payment delays that frustrate collaborators
- Errors and compliance risks
- Wasted hours reconciling who has been paid and who has not
The process is clunky and slows down both delivery and growth.
Is there a tool to split and consolidate invoices automatically
Yes. Rafiki OS is built for agencies managing multiple subcontractors. Its smart invoicing logic lets you:
- Add sub invoices when bringing in external collaborators
- Merge and split invoices into one client facing document
- Consolidate payments across multiple currencies
- Settle everything in a single routed payment
This replaces ten separate invoices and payments with one clean workflow.
How can fixing invoicing help agencies scale faster
When agencies spend less time on admin, they can scale with confidence. Simplified invoicing delivers:
- Faster payouts, which keep freelancers and subcontractors motivated
- Fewer errors, which reduce compliance and financial risk
- More bandwidth to focus on client growth rather than paperwork
Efficient invoicing is not just a back office upgrade. It is a growth enabler.
Conclusion
Agencies thrive on collaboration, but traditional invoicing systems make collaboration harder than it should be. Multi party invoicing is broken, and the hidden cost is holding agencies back.
Rafiki OS solves the problem with smart invoicing tools that split, merge, and consolidate payments globally. Agencies can now manage subcontractors, clients, and projects without the invoicing chaos.
FAQs
What is multi party invoicing
Multi party invoicing is when multiple freelancers or subcontractors contribute to one project, each issuing their own invoice.
How do agencies pay multiple subcontractors across borders
Most agencies rely on spreadsheets and manual payments, which is time consuming. Rafiki OS automates the process with consolidated invoicing.
Can invoices be merged and split in one payment
Yes. Rafiki OS allows agencies to merge and split invoices and then settle everything in a single multi currency payment.