Top Reasons Why You Should Automate Accounts Payable
Although technology has made Accounts Payable payment automation a standard for numerous businesses, 60 % of organizations in the US are not aware of the numerous advantages of A/P automation. Leveraging software applications to utilize the process in manner that is seamless and trouble-free, here are our top five reasons why you should automate.
Accounts Payable automation lets A/P to accurately project its outstanding cash specifications, consequently removing estimation. With increased transparency from A/P automation, visibility into the process allows your A/P department to give attention to tasks and priorities that will effect your department with value added actions.
Reinforce internal controls
A manual A/P process is subject to fraudulent activity. You add to the risks of human oversight, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraud.
The outdated manual practice suffers from insufficient visibility, in which can result in failing to identify a part of liabilities. This may get more info understate expenditures and therefore overstate earnings, which can contribute to accounting and reporting malfunctions and here ultimately fraudulent activity. A/P automation offers an entire audit trail of every step in the method, and permits management to quickly correct potential complications.
Your suppliers want a more beneficial payment process. More efficient payments result in discounts and savings for you. When you pay your customers by way of virtual credit card, which is an individual issued credit card for a one-time use, you earn monthly cash rebates. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and unneeded costs with an automated A/P process. A/P problems are costly and take many resources to manually read more fix. With payment automation, you will see where, when and why problems occurred. Unlike the manual procedure, with automation you’ll be able to methodically address and eliminate errors to boost quality.
A/P payment automation will save you cash, earn you extra revenue, lessen the risks of fraud, provide your operations more transparency, meet the customers’ demands, and enhance the overall quality of your A/P processes.