Top Reasons to Automate Accounts Payable
Even though modern technology makes Accounts Payable payment automation indispensable for a number of organizations, 60 percent of businesses in the US do not know of the numerous benefits associated with A/P automation. Leveraging software applications to utilize the process in manner that is seamless and trouble-free, listed here are our top 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to accurately project its pending cash requirements, accordingly eliminating uncertainty. With greater transparency from A/P automation, visibility into the process allows your A/P department to give attention to tasks and things that can effect your department with value add activities.
Strengthen internal controls
A manual A/P method is susceptible to fraud. You multiply the threats of human oversight, late payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraudulent activity.
Maximize Exposure
The obsolete manual process is affected with lack of visibility, in which can result in failing to realize a portion of liabilities. This may understate expenditures and check here therefore overstate revenue, which could cause accounting and reporting malfunctions and ultimately fraud. A/P automation delivers an entire audit trail of each and every step in the method, and makes it possible for management to quickly fix possible complications.
Satisfy Clients
Your suppliers would like a more beneficial payment method. Easier payments result in special discounts and savings for you. If you pay your clients with virtual credit card, which is an individual issued card for a one-time use, accounts payable solutions you earn monthly cash back incentives. It’s jointly good for Accounts Payable get more info and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Enhance Quality
Avoid error, delay, and needless costs with an automated A/P process. A/P problems are costly and consume many resources to manually correct. With payment automation, you can see where, when and why issues happened. Unlike the manual procedure, with automation you’ll be in a position to systematically address and get rid of mistakes to increase quality.
A/P payment automation will save you cash, earn you extra profit, lessen the risks of fraud, bring your operations greater transparency, meet the customers’ needs, and improve the overall quality of your A/P processes.