Top Reasons to Automate Accounts Payable
Although tech has made Accounts Payable payment automation a standard for numerous organizations, 60 % of companies in the US do not know of the countless advantages of A/P automation. Leveraging software to apply the process in manner that is seamless and convenient, here are our major 5 reasons to automate.
Accounts Payable automation allows A/P to accurately project its pending cash requirements, therefore getting rid of estimation. With greater transparency from A/P automation, visibility into the system allows your A/P department to focus on tasks and things that can effect your department with value add activities.
Strengthen internal controls
A manual A/P method is prone to fraud. You multiply the issues of human error, late payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraud.
The outdated manual process suffers from insufficient awareness, in which can result in neglecting to identify a part of risks. This can click here understate operating expenses thereby overstate income, which could lead to accounting and reporting abnormalities and ultimately fraud. A/P automation produces a total audit trail of each and every step in the process, and makes it possible for management to swiftly deal with potential complications.
Your suppliers want a more effective payment process. Easier payments result in deals and cost savings for you. If you pay your clients via virtual credit card, which is an individual issued credit card for a one-time use, you receive monthly cash rebates. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and more info pointless costs with an automated A/P process. A/P problems may be very costly and take many resources to manually correct. With payment automation, you will see where, when and why faults took place. Unlike the manual procedure, with automation you’ll have the ability to systematically address and reduce problems to enhance quality.
A/P payment automation can save you cash, earn you extra income, lessen the risks of fraud, provide your operations more transparency, satisfy your customers’ demands, and advance the total quality of your A/P processes.