Invoice reconciliation for Xero, done automatically
Every payment in your Xero bank feed should have an invoice behind it. PaperHound checks that they do — automatically matching each payment to its supplier invoice, and flagging the ones where the document is missing. No more finding out at year-end that a £310 payment has no paperwork.
Payments arrive. Invoices don't always follow.
An invoice can go missing in three ways, and every one ends the same: a payment sits in your ledger with no document behind it.
Emailed invoices get buried in an inbox.
Portal-only invoices need someone to log in and download them.
Silent invoices never announce themselves at all — you only notice when you reconcile the bank statement, if you remember.
At an HMRC or VAT review, a missing invoice isn't an inconvenience. It's a liability. Reconciliation is how you prove nothing's missing.
Every payment, matched to its invoice
PaperHound starts from the one signal that can never be missed — the payment itself. If money moved, an invoice must exist.
Reads your Xero bank feed — every transaction, automatically.
Matches each payment to its supplier invoice — by amount, supplier, and date.
Flags what's missing — a clear list of payments with no document behind them.
Finds and attaches the invoice — locates the matching invoice in email and attaches it in Xero.
The result is a running answer to the only question that matters at audit: is anything missing?
Document-first tools wait. PaperHound goes looking.
Dext and AutoEntry wait for an invoice to arrive, then file it. (Xero retired Hubdoc, the free option, in May 2026.) That works — until an invoice never arrives. Nobody else solves the "you paid something and don't even know an invoice exists" gap.
PaperHound is built the other way round. It starts from the payment, so a missing invoice can't hide. That's the difference between capturing the invoices you happen to receive and proving every payment is accounted for.
See how that compares in practice: PaperHound vs Dext →
Ready when HMRC asks
Every invoice must be retained for a potential HMRC tax review or VAT enquiry. PaperHound gives you a provable, always-current reconciliation: here are the payments, here are their invoices, here's what still needs chasing. Nothing missing when the auditor asks.
Read more on compliance: What HMRC actually requires from your business invoices →
Frequently asked questions
What is invoice reconciliation?
Matching each payment in your accounts to the supplier invoice that justifies it, so every transaction has a document behind it.
Does PaperHound work with Xero?
Yes — it reads your Xero bank feed directly and attaches invoices back into Xero. QuickBooks support is planned.
What happens when an invoice is missing?
PaperHound flags the payment, searches your email for the matching invoice, and attaches it. If it can't be found, you get a clear to-chase list.
Is this the same as receipt capture?
No. Receipt capture waits for a document to arrive. PaperHound starts from the payment and works backwards, so missing invoices can't slip through.
Ready to prove nothing's missing? Join the PaperHound waitlist.