Top Reasons to Automate Accounts Payable
Even though tech has made Accounts Payable payment automation indispensable for numerous companies, 60 % of companies in the USA are unaware of the many benefits of A/P automation. Leveraging software to implement the method in manner that is seamless and effortless, listed here are our main 5 reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash specifications, consequently eliminating speculation. With increased transparency from A/P automation, awareness into the system allows your A/P department to focus on tasks and things which will impact your department with value add activities.
Strengthen central controls
A manual A/P method is subject to fraudulent activity. You add to the risks of human oversight, late payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraudulent activity.
The outdated manual method suffers from insufficient visibility, by which can result in neglecting to acknowledge a segment of risks. This can understate operating expenses and therefore overstate revenue, which could lead to accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation provides an entire audit trail of each part of the process, and permits management to promptly handle possible issues.
Your suppliers prefer a more effective payment process. More efficient payments result in special offers and savings for you. Whenever you pay your clients with virtual credit card, which is a single issued card for a one-time use, you receive monthly cash back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and check here needless costs with an automated A/P process. A/P mistakes can be very expensive and take many resources to manually solve. With payment automation, you will see where, when get more info and why problems took place. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and reduce issues to boost quality.
A/P payment automation will save you cash, earn you additional cash, lessen the risks of fraudulent activity, get your operations more transparency, satisfy the customers’ demands, and improve the overall quality of your A/P processes.