Top Reasons to Automate Accounts Payable
While technology makes Accounts Payable payment automation simple for a lot of businesses, 60 percent of companies in the US do not know of the numerous advantages to A/P automation. Leveraging software to apply the method in manner that is seamless and convenient, here are our top five reasons to automate.
Accounts Payable automation enables A/P to correctly project its pending cash specifications, therefore removing guesswork. With increased transparency from A/P automation, visibility into the process allows your A/P department to deal with activities and things that can impact your department with value add actions.
Reinforce internal controls
A manual A/P method is vulnerable to fraud. You raise the challenges of human error, late payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that put a stop to and deter fraud.
The outdated manual practice is affected with insufficient visibility, wherein can result in neglecting to acknowledge a portion of risks. This can understate expenses thereby overstate income, that may contribute to accounting and reporting abnormalities and ultimately fraudulent activity. A/P here automation provides a whole audit trail of every part of the method, and enables management to swiftly handle potential complications.
Your suppliers want a more beneficial payment method. Easier payments result in discounts and cost savings for you. If you pay your clients with virtual credit card, which is an individual issued credit card for a one-time use, you will earn monthly cash back incentives. It’s mutually good for Accounts Payable and Accounts Receivable. Your get more info customers experience more efficient, streamlined payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are costly and take many resources to manually solve. With payment automation, you can see where, when and why faults happened. Unlike the manual procedure, with automation you’ll be in a position to systematically address and reduce mistakes to boost quality.
A/P payment automation can help you save cash, earn you additional profit, reduce the risks of fraudulent activity, get your operations greater transparency, satisfy your customers’ needs, and enrich the total quality of your A/P processes.