Top Reasons to Automate Accounts Payable
Although tech makes Accounts Payable payment automation indispensable for many businesses, 60 percent of companies in the USA are not aware of the countless benefits of A/P automation. Leveraging software programs to apply the process in manner that is seamless and trouble-free, here are our top five reasons why you should automate.
Accounts Payable automation lets A/P to correctly project its pending cash requirements, therefore getting rid of speculation. With more transparency from A/P automation, awareness into the process allows your A/P department to focus on activities and things that can effect your department with value add activities.
Reinforce internal controls
A manual A/P method is prone to fraud. You add to the challenges of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
The obsolete manual method is affected with lack of visibility, wherein can result in neglecting to identify a segment of liabilities. This may understate expenses as well as overstate revenue, which could lead to accounting and reporting malfunctions and ultimately fraud. A/P automation provides a whole audit trail of each and every step in the process, and enables management to quickly solve possible issues.
Your vendors prefer a more efficient payment method. Easier payments result in discount rates and savings for you. When you pay your clients with virtual credit card, which is a single issued credit card for a one-time use, you earn monthly cash back incentives. It’s collectively good for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, seamless payments and your A/P Department pivots to a income generator.
Prevent error, delay, and pointless costs with an automated A/P process. A/P problems may be very costly and take many resources to manually fix. With payment automation, you can see where, when and why errors took place. In contrast to the manual process, with automation you’ll click here have the ability to methodically address and eliminate issues to increase quality.
A/P payment automation can save you cash, earn you extra earnings, lessen the risks of fraud, provide your operations greater transparency, fulfill the customers’ needs, and improve the overall quality of your A/P processes.