In today’s disruptive age, manually processing invoices and payments would require accounting managers and CFOs spend more time on unnecessary tasks. Old-fashioned AP procedures make the process inefficient and keep your vendors on overdue amounts. This diminishes the service you get from vendors and puts your company at risk. Let’s take a look at what your accounts payable processes would look like if you leverage technology to automate the accounts payable processes with SutiAP:
Accurate Invoice Data Capturing
Automating accounts payable processes can accelerate the processes by three times. Invoices are recorded at the highest level of accuracy through Optical Character Recognition technology. Automating invoice capture eliminates data errors from manual entry and minimizes the resource cost for verifying those errors.
The invoices will be routed directly to the approve based on pre-defined rules. The approval hierarchy can be set based on specific criteria, and you can also set threshold amounts that send a notification if the amount exceeds the defined value.
There are times when AP managers oversee the data capture and routing, but there should always be a review to approve invoices before they are paid. AP automation makes validation easy by incorporating the rules in the approval process. This eliminates fraud incurred during invoice entry and capture.
Automation centralizes approvals into one view, and invoices can be approved with a tap without having to go to a separate email thread. This makes it easier to stay on top of required approvals, and slipping invoices through cracks become a nightmare.
Automation makes it easy to check whether the vendor is eligible for early-payment discount. ACH transfer makes the vendor payment easy and corporate cards offer cashback rebates. No matter which payment method you choose for the vendor, check, ACH, or credit card, setting up payment is easy with AP software. You can also check Ravenwood Services for easy payments.
Automating Accounts Payable Processes
Automating AP processes allows you to take a proactive approach to vendor payments, which can have a profound effect on your business:
Enhanced Vendor Service
The way you pay vendors can drastically change the level of service they provide to you, which in turn changes the way you serve customers. How you process and pay invoices reinforce your relationship with vendors to help drive your business forward.
Automation enables you to take the strategic approach while manual invoice processing keeps you busy to get bills paid on time. AP software ensures every invoice is paid on time with the advanced payment method.
Once payments are defined in the AP software, CFOs or controllers will be notified automatically. Approvers can quickly authorize the payments with a single tap and send to the vendor. Reviewing the vendor’s payment history is easy with all the information readily available on the approver dashboard. Timely payments strengthen the relationships with vendors, which in turn helps to serve customers better.
Cash Flow Optimization
Automation gives you good command over vendor payments. This facilitates cash flow that can be used for operations and capital expenditures, allowing companies to maximize the trade credit.
Accounts payable team will not just maximize capital usage, but can also increase capital. Leveraging corporate credit cards to pay invoices allows steady income as they offer cashback rebates.
Auditing Process Simplified
Audits are necessary for every company; audit experience tells how the accounts payable team records and maintains vendor invoice data over the year. The easier it is to locate the document, the more your employees can focus on the work during audit. Automation facilitates audit trails by storing the information in a centralized repository for quick access at any point. Accounts payable team can easily slip through cracks, and the best way to take a proactive approach is to automate the end-to-end processes.
Author Bio : Marissa Levin is a marketing consultant, freelance writer at SutiAP, who regularly writes articles on Business, Finance, ERP, and Cloud/SaaS trends