Top Reasons to Automate Accounts Payable
Although tech has made Accounts Payable payment automation indispensable for many businesses, 60 % of businesses in the USA do not know of the countless benefits associated with A/P automation. Leveraging software applications to utilize the process in manner that is seamless and convenient, here are our best 5 reasons to automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash requirements, therefore getting rid of speculation. With increased transparency from A/P automation, awareness into the process allows your A/P department to give attention to tasks and priorities which will impact your department with value add actions.
Enhance central controls
A manual A/P method is susceptible to fraudulent activity. You add to the risks of human oversight, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraudulent activity.
The outdated manual process is affected with lack of awareness, by which can result in neglecting to recognize a part of liabilities. This may understate expenditures and therefore overstate revenue, which could lead to accounting and reporting abnormalities and ultimately fraud. A/P automation delivers a whole audit trail of every part of the process, and allows management to swiftly fix possible difficulties.
Your suppliers would like a more efficient payment method. Easier payments result in deals and cost savings for you. When you pay your customers with virtual card, which is a single issued card for a one-time use, you receive monthly cash back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors can be very expensive and use up many resources to manually website solve. With payment automation, you can see where, when and why problems transpired. Contrary to the manual procedure, with automation you’ll be in a position to methodically address and reduce issues to boost quality.
A/P payment automation will save you cash, earn you additional profit, decrease the risks of fraud, bring your operations greater transparency, satisfy the check here customers’ demands, and enrich the overall quality of your A/P processes.