Top Reasons Why You Should Automate Accounts Payable
Even though tech has made Accounts Payable payment automation indispensable for a number of organizations, 60 percent of businesses in the United States are unaware of the countless advantages of A/P automation. Leveraging software programs to implement the method in manner that is seamless and easy, the following are our top 5 reasons why you should automate.
Accounts Payable automation lets A/P to correctly project its outstanding cash requirements, consequently getting rid of estimation. With more transparency from A/P automation, visibility into the system allows your A/P department to deal with activities and things which will impact your department with value added activities.
Reinforce internal controls
A manual A/P process is vulnerable to fraud. You add to the pitfalls of human error, late payments, lost invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and discourage fraudulent activity.
The obsolete manual practice is affected with lack of visibility, through which can result in neglecting to recognize a part of risks. This can understate expenses as well as overstate earnings, which can lead to accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation offers a total audit trail of each and every step in the process, and permits management to swiftly resolve potential difficulties.
Your suppliers would like a more efficient payment method. Easier payments result in special offers and savings for you. If you pay your clients by way of virtual card, which is a single issued card for a one-time use, you earn monthly cash back incentives. It’s mutually good for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and unneeded costs with an automated A/P process. A/P errors can be very expensive and use up many resources to manually handle. With payment automation, you can see where, when and why errors happened. In contrast to the manual procedure, with automation you’ll be able to systematically address and get rid of issues to improve quality.
A/P payment automation can help you save cash, earn you additional cash, decrease the risks of fraud, provide your operations increased transparency, satisfy your customers’ demands, and boost the total quality of your click here A/P processes.