Top Reasons Why You Should Automate Accounts Payable
Despite the fact that modern technology makes Accounts Payable payment automation a standard for many organizations, 60 % of organizations in the USA are not aware of the many benefits associated with A/P automation. Leveraging software programs to apply the method in manner that is seamless and effortless, the following are our top 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation enables A/P to accurately project its pending cash requirements, accordingly getting rid of uncertainty. With increased transparency from A/P automation, awareness into the system allows your A/P department to deal with activities and things that will effect your department with value added actions.
Reinforce central controls
A manual A/P method is subject to fraud. You increase the pitfalls of human oversight, late payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that stop and deter fraudulent activity.
Maximize Awareness
The outdated manual practice is affected with lack of awareness, through which can result in neglecting to recognize a part of liabilities. This can understate operating expenses thereby overstate income, that may trigger accounting and reporting irregularities and ultimately fraudulent activity. A/P automation provides a total audit trail of each and every step in the method, and permits management to quickly correct potential complications.
Please Customers
Your vendors want a more efficient payment method. Easier payments result in special discounts and cost click here savings for you. If you pay your clients by means of virtual card, which is a single issued credit card for a one-time here use, you will earn monthly cash back incentives. It’s mutually beneficial for Accounts Payable and Accounts Receivable. Your customers benefit from more efficient, streamlined payments and your A/P Department pivots to a revenue generator.
Improve Quality
Prevent error, delay, and pointless costs with an automated A/P process. A/P errors are expensive and take many resources to manually fix. With payment automation, you see where, when and why issues transpired. Contrary to the manual process, with automation you’ll be able to methodically address and reduce problems to enhance quality.
A/P payment automation can save you cash, earn you additional profit, decrease the risks of fraud, get your operations increased transparency, satisfy your customers’ demands, and improve the overall quality of your A/P get more info processes.