Top Reasons Why You Should Automate Accounts Payable
Although tech makes Accounts Payable payment automation simple for a number of corporations, 60 percent of businesses in the United States are unaware of the numerous advantages to A/P automation. Leveraging software applications to apply the process in manner that is seamless and easy, the following are our major 5 reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash specifications, accordingly eliminating speculation. With increased transparency from A/P automation, awareness into the process allows your A/P department to deal with activities and things that can effect your department with value added actions.
Strengthen internal controls
A manual A/P process is subject to fraud. You increase the threats of human error, late payments, lost 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The outdated manual process is affected with insufficient awareness, in which can result in neglecting to realize a portion of risks. This may understate expenses and therefore overstate income, which could trigger accounting and reporting malfunctions and ultimately fraud. A/P automation provides a complete audit trail of each and every part of the process, and permits management to promptly solve potential complications.
Your suppliers prefer a more efficient payment process. More efficient payments result in discounts and cost savings for you. Whenever you pay your customers via virtual credit card, which is an individual issued card for a one-time use, you generate monthly cash back incentives. It’s equally beneficial for Accounts Payable and Accounts Receivable. Your clients experience more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Avoid error, delay, and unnecessary costs with an automated A/P process. A/P problems may be very costly and take many resources to manually resolve. With payment automation, you see where, when and why issues transpired. Unlike the manual procedure, with automation you’ll be able to methodically address and get rid of mistakes to improve quality.
A/P payment automation will save you cash, earn you additional revenue, lessen the risks of fraudulent activity, bring get more info your operations increased transparency, satisfy your customers’ demands, and improve the overall quality of your A/P processes.