Top Reasons to Automate Accounts Payable
Despite the fact that tech makes Accounts Payable payment automation simple for many organizations, 60 percent of businesses in the United States are not aware of the countless advantages of A/P automation. Leveraging software applications to apply the process in manner that is seamless and effortless, here are our main five reasons why you should automate.
Accounts Payable automation enables A/P to correctly project its outstanding cash requirements, consequently eliminating speculation. With better transparency from A/P automation, visibility into the system allows your A/P department to focus on activities and things that can effect your department with value added activities.
Enhance central controls
A manual A/P process is prone to fraud. You add to the issues of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraud.
The outdated manual process is affected with insufficient visibility, in which can result in failing to acknowledge a segment of risks. This may understate expenses as well as overstate earnings, that may cause accounting and reporting irregularities and ultimately fraudulent activity. A/P automation delivers a whole audit trail of every part of the method, and permits management to promptly fix possible troubles.
Your vendors would like a more efficient payment method. Easier payments result in discounts and savings for you. If you pay your clients by way of virtual credit card, which is an individual issued credit card read more for a one-time use, you receive monthly cash back incentives. It’s jointly good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, seamless 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 mistakes may be very costly and consume many resources to manually solve. With payment automation, you can see where, when and why problems took place. Contrary to the manual method, with automation you’ll have the ability click here to systematically address and eliminate errors to increase quality.
A/P payment automation can help you save cash, earn you extra revenue, lessen the risks of fraud, bring your operations greater transparency, satisfy the customers’ needs, and enhance the total quality of your A/P processes.