Top Reasons Why You Should Automate Accounts Payable
Even though tech has made Accounts Payable payment automation a standard for a lot of businesses, 60 percent of businesses in the US are unaware of the many advantages to A/P automation. Leveraging software programs to utilize the method in manner that is seamless and convenient, listed here are our best 5 reasons why you should automate.
Accounts Payable automation enables A/P to correctly project its outstanding cash specifications, consequently eliminating speculation. With better transparency from A/P automation, visibility into the system allows your A/P department to concentrate on activities and priorities that will impact your department with value added activities.
Strengthen central controls
A manual A/P process is prone to fraudulent activity. You increase the risks of human oversight, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and discourage fraudulent activity.
The obsolete manual practice is affected with insufficient visibility, wherein can result in neglecting to realize a part of risks. This can understate expenses as well as overstate revenue, that may contribute to accounting and reporting abnormalities and ultimately fraud. A/P automation provides a whole audit trail of each part of the process, and makes it possible for management to promptly correct possible issues.
Your vendors would like a more effective payment process. More efficient payments result in deals and savings for you. If you pay your clients via virtual credit card, which is a single issued card for a one-time use, you generate monthly cash rebates. website It’s mutually accounts payable automation good check here for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Avoid error, delay, and avoidable costs with an automated A/P process. A/P errors are costly and consume many resources to manually resolve. With payment automation, you will see where, when and why errors happened. In contrast to the manual method, with automation you’ll have the ability to systematically address and get rid of problems to improve quality.
A/P payment automation can save you cash, earn you additional earnings, lessen the risks of fraudulent activity, get your operations greater transparency, satisfy the customers’ needs, and improve the total quality of your A/P processes.