Top Reasons to Automate Accounts Payable
While tech has made Accounts Payable payment automation simple for numerous corporations, 60 percent of businesses in the US are unaware of the countless benefits of A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, here are our major 5 reasons to automate.
Accounts Payable automation allows A/P to accurately project its outstanding cash requirements, consequently eliminating guesswork. With greater transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and things that can impact your department with value added actions.
Improve internal controls
A manual A/P process is susceptible to fraudulent activity. You multiply the risks of human oversight, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and discourage fraud.
The outdated manual process is affected with lack of visibility, by which can result in failing to acknowledge a segment of liabilities. This may understate expenses as well as overstate revenue, that may contribute to accounting and reporting abnormalities and ultimately fraud. A/P automation delivers an entire audit trail of each step in the method, and permits management to promptly fix possible difficulties.
Your suppliers want a more beneficial payment method. More efficient payments result in savings and cost savings for you. When you pay your clients via virtual card, which is an individual issued card for a one-time use, you earn monthly cash rebates. It’s mutually beneficial 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 needless costs with an automated A/P get more info process. A/P errors can be very expensive and take many resources to read more manually correct. With payment automation, you can see where, when and why faults occurred. In contrast to the manual procedure, with automation you’ll have the ability to systematically address and get rid of issues to boost quality.
A/P payment automation can save you cash, earn you additional earnings, reduce the risks of fraud, provide your operations greater transparency, fulfill your customers’ demands, and advance the total quality of your A/P processes.