Top Reasons to Automate Accounts Payable
Even though tech makes Accounts Payable payment automation a standard for a number of companies, 60 % of businesses in the USA are not aware of the countless benefits associated with A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, here are our major five reasons to automate.
Accounts Payable automation lets A/P to accurately project its pending cash specifications, consequently removing estimation. With increased transparency from A/P automation, visibility into the system allows your A/P department to deal with tasks and priorities that will impact your department with value added actions.
Reinforce internal controls
A manual A/P process is subject to fraud. You add to the risks of human oversight, late payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraudulent activity.
The outdated manual process is affected with insufficient awareness, wherein can result in neglecting to acknowledge a portion of risks. This may understate expenses as well as overstate revenue, that may lead to accounting and reporting malfunctions and ultimately fraud. A/P automation offers a complete audit trail of each part of the process, and makes it possible for management to swiftly deal with possible troubles.
Your vendors want a more effective payment method. Easier payments result in special discounts and savings for you. If you pay your clients via virtual card, which is a single issued credit card for a one-time use, you earn monthly cash back incentives. It’s mutually good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined 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 errors may be very check here costly and consume many resources to manually solve. With payment automation, you will see where, when and why issues transpired. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and get rid of problems to improve quality.
A/P payment automation can help you save cash, earn you extra earnings, lessen the risks of fraudulent activity, provide your operations increased transparency, satisfy your customers’ needs, and improve the total quality of your A/P processes.