Top Reasons to Automate Accounts Payable
Although technology has made Accounts Payable payment automation a standard for a number of corporations, 60 % of companies in the United States are not aware of the numerous advantages of A/P automation. Leveraging software to utilize the method in manner that is seamless and effortless, the following are our top 5 reasons to automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash specifications, therefore eliminating guesswork. With better transparency from A/P automation, visibility into the process allows your A/P department to concentrate on activities and things that can effect your department with value added activities.
Reinforce internal controls
A manual A/P process is prone to fraud. You multiply the issues of human error, overdue 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 obsolete manual process is affected with lack of awareness, through which can result in neglecting to acknowledge a segment of risks. This could understate expenses as well as overstate income, which could lead to accounting and reporting abnormalities and ultimately fraud. A/P automation produces a total audit trail of each and every part of the process, and lets management to quickly correct potential troubles.
Your suppliers prefer a more effective payment method. Easier payments result in discount rates and savings for you. Whenever you pay your clients with virtual credit card, which is an individual here issued credit card for a one-time use, you will earn monthly cash back incentives. It’s jointly good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined 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 use up many resources to manually clear up. With payment automation, you see where, when and why issues took place. In contrast to the manual process, with automation you’ll be able to methodically address and reduce problems to get more info enhance quality.
A/P payment automation can save you cash, earn you extra earnings, lessen the risks of fraud, provide your operations increased transparency, satisfy your customers’ needs, and improve the overall quality of your A/P processes.