Top Reasons Why You Should Automate Accounts Payable
While modern technology makes Accounts Payable payment automation simple for numerous corporations, 60 % of businesses in the USA are unaware of the numerous benefits of A/P automation. Leveraging software applications to apply the process in manner that is seamless and easy, the following are our major five reasons why you should automate.
Accounts Payable automation enables A/P to correctly project its outstanding cash specifications, accordingly removing guess work. With better transparency from A/P automation, visibility into the process allows your A/P department to focus on tasks and things that will impact your department with value added actions.
Reinforce internal controls
A manual A/P process is prone to fraud. You multiply the challenges of human error, overdue payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that reduce and deter fraudulent activity.
The obsolete manual process is affected with insufficient visibility, in which can result in failing to identify a portion of liabilities. This can understate operating expenses thereby overstate income, that may contribute to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation offers a whole audit trail of each and every part of the process, and lets management to swiftly resolve potential complications.
Your vendors want a more efficient payment method. More efficient payments result in deals and savings for you. Whenever you pay your customers website via virtual credit card, which is get more info an individual issued credit card for a one-time use, you generate monthly cash rebates. It’s equally beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, seamless payments and your A/P Department pivots to a profit generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are costly and here consume many resources to manually correct. With payment automation, you will see where, when and why mistakes happened. Unlike the manual process, with automation you’ll be able to systematically address and eliminate errors to enhance quality.
A/P payment automation can save you cash, earn you additional income, lessen the risks of fraudulent activity, provide your operations greater transparency, satisfy your customers’ needs, and advance the overall quality of your A/P processes.