Top Reasons Why You Should Automate Accounts Payable
While technology has made Accounts Payable payment automation indispensable for numerous businesses, 60 % of companies in the United States are unaware of the many benefits associated with A/P automation. Leveraging software to apply the method in manner that is seamless and effortless, the following are our main 5 reasons why you should automate.
Cash Optimization
Accounts Payable automation lets A/P to accurately project its pending cash specifications, accordingly removing guess work. With better transparency from A/P automation, awareness into the system allows your A/P department to concentrate on tasks and priorities that can effect your department with value add activities.
Improve central controls
A manual A/P process is prone to fraud. You multiply the threats of human oversight, overdue payments, missing invoices, and the dreaded rush invoices. An automated A/P process embeds controls that put a stop to and deter fraud.
Improve Awareness
The outdated manual process suffers from insufficient awareness, through which can result in neglecting to recognize a segment of liabilities. This can understate operating expenses and therefore overstate earnings, which can lead to accounting and reporting abnormalities and ultimately fraudulent activity. A/P automation offers a whole audit trail of each step in the method, and enables management to quickly fix potential complications.
Please Clients
Your vendors prefer a more beneficial payment process. Easier payments result in savings and cost savings for you. When you pay your customers by means of virtual credit card, which is a single issued credit card for a one-time use, you receive monthly cash rebates. It’s equally beneficial for Accounts Payable and Accounts Receivable. Your customers experience more efficient, streamlined payments and your A/P Department pivots to a here cash generator.
Enhance Quality
Avoid error, delay, and unnecessary costs with an automated A/P process. A/P mistakes are costly and use up many resources to manually fix. With payment automation, you see where, when and why mistakes transpired. Unlike the manual process, with automation you’ll have the ability to methodically address and reduce errors to enhance quality.
A/P payment automation can save you cash, earn you additional profit, decrease the risks of fraud, get your operations more transparency, meet the customers’ needs, and improve the total quality of your A/P processes.