Top Reasons Why You Should Automate Accounts Payable
Despite the fact that technology makes Accounts Payable payment automation simple for many companies, 60 % of companies in the US are not aware of the numerous benefits of A/P automation. Leveraging software programs to implement the process in manner that is seamless and easy, here are our best 5 reasons to automate.
Accounts Payable automation lets A/P to correctly project its pending cash specifications, consequently removing uncertainty. With greater transparency from A/P automation, awareness into the system allows your A/P department to give attention to tasks and priorities that will effect your department with value added actions.
Reinforce internal controls
A manual A/P process is prone to fraud. You multiply the issues of human error, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraudulent activity.
The outdated manual process is affected with lack of awareness, wherein can result in failing to realize a portion of risks. This can understate expenditures as well as overstate earnings, that may trigger accounting and reporting irregularities and ultimately fraudulent activity. A/P automation provides an entire audit trail of every step in the method, and here allows management to swiftly solve possible troubles.
Your vendors prefer a more efficient payment method. More efficient payments result in discounts and savings for you. When you pay your clients via virtual card, which is an individual issued card for a one-time use, you receive monthly cash back incentives. It’s jointly good for Accounts Payable and Accounts Receivable. Your clients experience more efficient, seamless payments and your A/P Department pivots to a revenue generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are expensive and use up many resources to manually clear up. With payment automation, you can see where, when check here and why errors occurred. Contrary to the manual procedure, with automation you’ll be able to methodically address and eliminate problems to improve quality.
A/P payment automation can save you cash, earn you additional revenue, decrease the risks of fraudulent activity, bring your operations better transparency, meet the customers’ needs, and boost the total quality of your A/P processes.