Top Reasons to Automate Accounts Payable
Although technology has made Accounts Payable payment automation simple for many corporations, 60 percent of businesses in the US are unaware of the numerous advantages to A/P automation. Leveraging software to implement the process in manner that is seamless and trouble-free, listed here are our main 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to accurately project its outstanding cash requirements, accordingly removing estimation. With better transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and priorities that will impact your department with value add actions.
Enhance central controls
A manual A/P process is prone to fraud. You add to the threats of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraud.
Maximize Awareness
The outdated manual process suffers from lack of awareness, by which can result in neglecting to realize a segment of liabilities. This could understate operating expenses as well as overstate income, which can cause accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation delivers a total audit trail of each step in the process, and enables management to promptly deal with potential difficulties.
Satisfy Clients
Your vendors prefer a more efficient payment method. More efficient payments result in deals and savings for you. Whenever you pay your customers via virtual credit card, which is a single issued credit card for a one-time use, you receive monthly cash rebates. It’s jointly beneficial for Accounts Payable and Accounts Receivable. here Your clients experience more efficient, streamlined payments and your A/P Department pivots to a cash generator.
Improve Quality
Avoid error, delay, and unneeded costs with an automated A/P process. A/P errors may be very costly and use up many resources to manually remedy. With payment automation, you will see where, when and why mistakes occurred. Contrary to the manual process, with automation you’ll be able to methodically address and reduce errors to enhance quality.
A/P payment automation can help you save cash, earn you additional earnings, lessen the risks of fraud, provide your operations greater transparency, fulfill your customers’ needs, and enrich the overall quality of your A/P processes.