Top Reasons to Automate Accounts Payable
Despite the fact that technology makes Accounts Payable payment automation a standard for many companies, 60 percent of businesses in the United States are not aware of the many advantages to A/P automation. Leveraging software programs to utilize the process in manner that is seamless and effortless, listed here are our major five reasons why you should automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash specifications, accordingly removing speculation. With increased transparency from A/P automation, visibility into the system allows your A/P department to give attention to tasks and things that can impact your department with value added actions.
Reinforce internal controls
A manual A/P process is subject to fraudulent activity. You increase the challenges of human oversight, overdue payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that prevent and deter fraud.
The outdated manual process suffers from lack of visibility, wherein can result in failing to identify a part of risks. This could understate expenditures thereby overstate income, that may cause accounting and reporting irregularities and ultimately fraudulent activity. ap solutions A/P automation offers a whole audit trail of each part of the method, and allows management to quickly solve possible difficulties.
Your suppliers would like a more efficient payment process. Easier payments result in special discounts and cost savings for you. When you pay your customers by way of virtual card, which is a single issued credit card for a one-time use, you earn monthly cash rebates. 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 profit generator.
Avoid error, delay, and avoidable costs with an automated A/P process. A/P errors can be very expensive and consume many resources to manually handle. With payment automation, you can see where, when and why issues took place. In contrast to the manual method, with automation you’ll have the ability to systematically address and get rid of problems to increase quality.
A/P payment automation can help you save cash, earn you extra earnings, reduce the risks of fraud, provide your operations more more info transparency, fulfill the customers’ demands, and enrich the overall quality of your A/P processes.