Top Reasons to Automate Accounts Payable
Although modern technology makes Accounts Payable payment automation simple for many companies, 60 percent of businesses in the United States are not aware of the many benefits of A/P automation. Leveraging software applications to implement the method in manner that is seamless and effortless, the following are our major 5 reasons to automate.
Accounts Payable automation lets A/P to accurately project its outstanding cash requirements, therefore eliminating estimation. With better transparency from A/P automation, awareness into the process allows your A/P department to concentrate on tasks and things which will effect your department with value added actions.
Improve central controls
A manual A/P method is susceptible to fraudulent activity. You add to the pitfalls of human error, late payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraud.
The obsolete manual process is affected with insufficient awareness, by which can result in failing to acknowledge a part of risks. This may understate operating expenses as well as overstate earnings, which could trigger accounting and reporting malfunctions and website ultimately fraud. A/P automation provides a complete audit trail of each and every part of the process, and enables click here management to quickly solve potential troubles.
Your vendors prefer a more beneficial payment method. More efficient payments result in discounts and savings for you. If you pay your customers by way of virtual credit card, which is an individual issued card for a one-time use, you will earn monthly cash rebates. It’s jointly beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless 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 errors may be very costly and consume many resources to manually clear up. With payment automation, you can see where, when and why problems transpired. Contrary to the manual procedure, with automation you’ll be able to methodically address and reduce issues to boost quality.
A/P payment automation will save you cash, earn you additional cash, lessen the risks of fraud, bring your operations greater transparency, satisfy the customers’ demands, and enrich the total quality of your A/P processes.