Top Reasons Why You Should Automate Accounts Payable
Even though tech makes Accounts Payable payment automation a standard for many organizations, 60 % of businesses in the United States are not aware of the many benefits of A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, the following are our top five reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to accurately project its outstanding cash specifications, accordingly eliminating estimation. With increased transparency from A/P automation, visibility into the system allows your A/P department to give attention to activities and priorities that can impact your department with value added actions.
Improve internal controls
A manual A/P method is at risk of fraud. You increase the pitfalls of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that prevent and discourage fraud.
Increase Awareness
The outdated manual method is affected with lack check here of awareness, wherein can result in failing to identify a portion of liabilities. This may understate expenditures as well as overstate income, that may cause accounting and reporting abnormalities and ultimately fraud. A/P automation produces a complete audit trail of each part of the process, and lets management to quickly deal with possible difficulties.
Please Customers
Your suppliers prefer a more effective payment process. Easier payments result in discounts 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 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 cash generator.
Enhance Quality
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are expensive and use up many resources to manually resolve. With payment automation, you can see where, when and why mistakes happened. In contrast to the manual method, with automation you’ll be in a position to methodically address and reduce problems to increase quality.
A/P payment automation will save you ap solutions cash, earn you additional profit, decrease the risks of fraudulent activity, get your operations increased transparency, meet your customers’ needs, and advance the total quality of your A/P processes.