Top Reasons Why You Should Automate Accounts Payable
Even though modern technology makes Accounts Payable payment automation simple for a lot of companies, 60 percent of corporations in the US do not know of the many benefits of A/P automation. Leveraging software applications to apply the method in manner that is seamless and trouble-free, the following are our main 5 reasons to automate.
Accounts Payable automation allows A/P to correctly project its outstanding cash requirements, consequently getting rid of uncertainty. With more transparency from A/P automation, awareness into the process allows your A/P department to concentrate on activities and things which will impact your department with value add activities.
Strengthen central controls
A manual A/P process is prone to fraud. You add to the threats of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraudulent activity.
The obsolete manual method is affected with lack of awareness, wherein can result in failing to identify a part of liabilities. This may understate expenditures as well as overstate income, that may lead to accounting and reporting abnormalities and ultimately fraud. A/P automation offers a complete audit trail of each part of the process, and lets management to quickly deal with potential difficulties.
Your suppliers want a more beneficial payment process. More efficient payments result in discounts and savings for you. Whenever you pay your clients with 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, streamlined payments and your A/P Department pivots to a cash 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 and why mistakes happened. In contrast to the manual method, with automation you’ll be able to methodically address and eliminate click here problems check here to boost quality.
A/P payment automation can save you cash, earn you extra profit, lessen the risks of fraudulent activity, provide your operations greater transparency, meet the customers’ needs, and advance the total quality of your A/P processes.