Top Reasons Why You Should Automate Accounts Payable
While technology has made Accounts Payable payment automation a standard for numerous corporations, 60 % of corporations in the US do not know of the many benefits of A/P automation. Leveraging software applications to implement the method in manner that is seamless and convenient, here are our best 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation enables A/P to correctly project its pending cash requirements, therefore getting rid of guesswork. With more transparency from A/P automation, awareness into the process allows your A/P department to focus on tasks and priorities that will effect your department with value add activities.
Enhance internal controls
A manual A/P method is vulnerable to fraud. You raise the issues of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that put a stop to and deter fraudulent activity.
Capitalize on Visibility
The obsolete manual process is affected with lack of awareness, wherein can result in failing to identify a part of liabilities. This may understate expenses as well as overstate income, which could lead to accounting and reporting abnormalities and ultimately fraud. A/P automation offers a complete audit trail of each part of the method, and permits management to promptly handle possible difficulties.
Please Clients
Your suppliers want a more effective payment process. More efficient payments result in discounts and savings for you. Whenever you pay your clients via 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, seamless payments and your A/P Department pivots to a profit generator.
Enhance Quality
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P mistakes can be very expensive and take many resources read more to manually solve. With payment automation, you can see where, when and why problems took place. In contrast to the manual method, with automation you’ll be in check here a position 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 fraudulent activity, get your operations more transparency, fulfill your customers’ demands, and enrich the overall quality of your A/P processes.