Top Reasons to Automate Accounts Payable
Even though technology has made Accounts Payable payment automation indispensable for a lot of companies, 60 percent of companies in the US are not aware of the countless advantages to A/P automation. Leveraging software applications to utilize the process in manner that is seamless and convenient, the following are our top five reasons why you should automate.
Cash Optimization
Accounts Payable automation enables A/P to correctly project its pending cash requirements, consequently eliminating uncertainty. With greater transparency from A/P automation, awareness into the process allows your A/P department to concentrate on activities and things that will effect your department with value add actions.
Enhance central controls
A manual A/P method is subject to fraudulent activity. You multiply the challenges of human oversight, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraudulent activity.
Increase Awareness
The obsolete manual process is affected with insufficient awareness, wherein can result in failing to recognize a segment of risks. This may understate expenditures as well as overstate revenue, which can trigger accounting and reporting irregularities and ultimately fraud. A/P automation provides a whole audit trail of each and every part of the method, and allows management to rapidly deal with possible problems.
Please Clients
Your suppliers want a more effective payment method. Easier payments result in savings and savings for you. When you pay your customers via virtual credit card, which is a single issued credit card for a one-time use, you will earn monthly cash back incentives. It’s collectively beneficial for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots get more info to a profit generator.
Improve Quality
Prevent error, delay, and pointless costs with an automated get more info A/P process. A/P mistakes are get more info expensive and take many resources to manually remedy. With payment automation, you will see where, when and why errors transpired. Unlike the manual method, with automation you’ll be able to methodically address and reduce mistakes to increase quality.
A/P payment automation will save you cash, earn you extra profit, lessen the risks of fraudulent activity, bring your operations increased transparency, fulfill your customers’ demands, and enhance the total quality of your A/P processes.