Top Reasons to Automate Accounts Payable
Even though technology makes Accounts Payable payment automation a standard for numerous companies, 60 percent of companies in the US are not aware of the many advantages to A/P automation. Leveraging software to implement the method in manner that is seamless and easy, here are our major five reasons why you should automate.
Accounts Payable automation enables A/P to correctly project its outstanding cash requirements, therefore removing estimation. With better transparency from A/P automation, awareness into the system allows your A/P department to concentrate on activities and priorities that can impact your department with value add activities.
Reinforce central controls
A manual A/P process is susceptible to fraud. You raise the risks of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraud.
The obsolete manual practice is affected with lack of visibility, in which can result in neglecting to realize a portion of risks. This can understate operating expenses and therefore overstate revenue, that may contribute to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation provides an entire audit trail of every part of the method, and allows management to promptly resolve potential issues.
Your suppliers want a more beneficial payment method. More efficient payments result in special discounts and savings for you. Whenever you pay your clients with virtual card, which is a single read more issued card for a one-time use, you generate monthly cash rebates. It’s mutually good for Accounts Payable and Accounts Receivable. Your clients experience more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and needless costs with an automated A/P process. A/P mistakes may be very costly and take many resources to manually correct. With payment automation, you see where, when and why errors happened. Contrary to the manual procedure, with automation you’ll be in a position to systematically address and eliminate errors to improve quality.
A/P payment automation can save you cash, earn you extra cash, lessen the risks of fraud, bring your operations greater transparency, meet the customers’ demands, and click here boost the overall quality of your A/P processes.