Automation is the new norm. Business processes, no matter how complex now have a technological substitute. If you want to stay relevant in this age, you must be willing to embrace technology.
All business owners seek to simplify complex processes. If you are reading this piece, my guess is that you are in that boat.
Business is a market of money, to make money, you have to spend money. Account payable represents the sum total of money a business owes its suppliers and business stakeholders.
Products to be sold have to be purchased. After delivery and possession of purchased products, administrative cost and other expenses are incurred in the remaining business processes leading to profit or loss for the business.
When dealing with other businesses, an invoice serves to qualify payment. The invoice or purchase order in some cases clearly shows the goods being purchased, the quantity and the effective price.
When a business receives an invoice from its vendor, internal processes are initiated to ensure purchases and expense control. This process involves verifying, cross-referencing, reconciling and approval of such purchase or expense.
For most businesses, this process is initiated by a lower ranking employee who would require the approval of a senior employee before payment is affected. This process ensures control and checks fraud.
However, like all manual processes, the burden of paperwork is both cumbersome and time-consuming, not forgetting how easy it is for figures to be manipulated.
Enough of the lecture already! Here are the top 4 reasons you should automate your account payable system and utilize invoice approval software.
4 Reasons You’d Automate Your Account Payable System
1. Escape Complications
Automated systems are back-end powered, thus eliminating complications. With an automated account payable system, you don’t have to bother about losing a transaction history.
Reference to similar transactions is as easy as a click. All the complications associated with paperwork powered payable system are the very motivation behind software equivalents.
2. Cut down approval time
Before an invoice or expense is approved for payment, the signing parties need to be physically present to verify approval and sign off.
In some cases, an invoice or expense would require the collaboration of different departments in the business. A paperwork system would need the physical presence and signatures of all departments involved.
Save your company some lag time and reduce bottlenecks by embracing the use of invoice approval software. With this, the need for physical presence is eliminated, the collaboration made easier and the entire system seamless.
3. Process overview and control made simple
With an automated account payable system every member of your team is a player on the field, with you as the center referee. And yes, you are not left without the watchful eyes of your assisting referees – the automated system.
At a glance, you can see the entire process flow as they occur or have occurred. Approvals can be traced, invoices called up and control strengthened. Fraud is near impossible, as it has to be a collective effort to happen.
4. Make more time for important ‘stuff’
The advantage of automation is the opportunity for more time for more important tasks. It is the desire of every business owner to have as much time as possible to cater for urgent tasks that may arise. An automated system offers the guarantee of proper time utilization leading to the attainment of set goals.
With an automated account payable system, you can finally focus on other core business efforts without having to worry much about the efficiency of your payables. This is the future we prayed for.
Think of it, you finally have the time to attend those partnership meetings, seal more deals, have more time for family and be assured of a seamless back end that leaves your vendors happy and your business alive.
5. Everyone an expert, every invoice a conversation.
Conversations have left the mouth to keypads. With an automated system for your invoice needs, every task is a conversation between departments, employees, and management.
Being automated implies that the necessary expertise has been embedded into the system, all that is required is uploads, approvals and payments is affected. Yes, you read that right. You may need a professional to set it up, but after anyone can keep the system running.
Save yourself and business the cost and time. Gain the chance to focus on the more important stuff – business growth. Have software run your invoices and watch your products arrive in record time, thus increasing your turnover ratio. Business boom is inevitable. Welcome to the future, go techie!
More Read:
- Top 7 Best Accounting Software For Small Businesses in 2019
- 5 Ways Automated Software is Improving Workplace Efficiency
Author: Cathy Carter
