Top Reasons Why You Should Automate Accounts Payable
Although tech makes Accounts Payable payment automation simple for a number of organizations, 60 % of businesses in the United States do not know of the many advantages to A/P automation. Leveraging software to implement the method in manner that is seamless and convenient, listed here are our major 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation enables A/P to correctly project its outstanding cash requirements, accordingly removing guess work. With increased transparency from A/P automation, awareness into the system allows your A/P department to concentrate on activities and priorities that can effect your department with value add activities.
Improve central controls
A manual A/P method is prone to fraud. You add to the risks of human oversight, late payments, lost invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and discourage fraud.
Optimize Awareness
The obsolete manual method suffers from insufficient visibility, by which can result in neglecting to realize a segment of risks. This could understate operating expenses and therefore overstate revenue, that may lead to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation provides more info a whole audit trail of every step in the process, and makes it possible for management to quickly deal with potential complications.
Satisfy Clients
Your vendors would like a more effective payment process. Easier payments result in special offers and savings for you. Whenever you pay your clients with virtual card, which is a single issued card for a one-time use, you receive read more monthly cash back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Improve Quality
Avoid error, delay, and avoidable costs with an automated A/P process. A/P errors are expensive and consume many resources to manually solve. With payment automation, you will see where, when and why problems took place. Unlike the manual method, with automation you’ll be in a position to methodically address and get rid of errors to improve quality.
A/P payment automation can save you cash, earn you additional income, reduce the risks of fraud, bring your operations greater transparency, satisfy the customers’ needs, and boost the total quality of your A/P processes.