Top Reasons to Automate Accounts Payable
Although technology makes Accounts Payable payment automation a standard for numerous companies, 60 % of businesses in the US are unaware of the countless advantages of A/P automation. Leveraging software to apply the process in manner that is seamless and trouble-free, listed here are our major 5 reasons to automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash specifications, consequently removing speculation. With more transparency from A/P automation, awareness into the system allows your A/P department to concentrate on activities and priorities which will impact your department with value add activities.
Reinforce central controls
A manual A/P process is vulnerable to fraud. You multiply the threats of human oversight, overdue payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and discourage fraudulent activity.
The obsolete manual practice is affected with lack of visibility, in which can result in failing to acknowledge a part of risks. This could understate expenses and therefore ap solutions overstate revenue, that may trigger accounting and reporting malfunctions and ultimately fraud. A/P automation delivers an entire audit trail of each and every step in the method, and allows management to promptly deal with potential troubles.
Your suppliers would like a more effective payment method. Easier payments result in savings and savings for you. If you pay your customers with here virtual card, which is an individual issued card for a one-time use, you will earn monthly cash rebates. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Avoid error, delay, and unnecessary costs with an automated A/P process. A/P mistakes are costly and use up many resources to manually fix. With payment automation, you will see where, when and why errors happened. In contrast to the manual method, with automation you’ll be in a position to methodically address and get rid of mistakes to increase quality.
A/P payment automation can save you cash, earn you extra profit, lessen the risks of fraud, bring your operations more transparency, satisfy the customers’ needs, and enrich the overall quality of your A/P processes.