The Importance of an Efficient AP Automation System
Technology is increasingly playing a part in how business is run. For SMEs, the use of cloud-based platforms and apps enabled affordable and agile improvements. Integrated platforms can automate processes and eliminate errors in manual and paper-based tasks.
As most SME's finance teams know all too well, a manual accounts payable (AP) process can be tedious, error-prone and cause costly mistakes. Working through piles of paper invoices, individually contacting relevant approvers and mailing checks is not only slow, but it also opens the company up to fraud and makes audits painful.
Why invest in AP automation
There are many reasons to automate AP. The main benefits include:
Reduce errors, process time and admin costs
Allow process scalability, digitise processes and increase productivity
Optimise working capital and more efficient cash flow management
Control spending and eliminate duplicate payments
Match invoices to purchase orders
Safeguard your financial data, ensure data quality and reporting
Improve document management, compliance and automate the audit process
Further benefits include avoiding emails and manual approvals, tracking pending bills, implementing accountability and handling multi-level approvals. This will translate into more accurate financial statements, tangible ROI, and a faster, more efficient way to handle this back-end financial process.
By eliminating manual processes and stacks of paper, AP automation can improve your relationships with suppliers and partners while saving time, money and improving cash flow.
Main Apps and Solutions for AP automation
There’s a wide range of AP solutions available. Each solution provides slightly different features and approaches to invoice management.
The main features will include:
Invoice scanning and OCR
Approval workflows
Coding & GL classifications
Automated checks to identify errors or potential fraud
Accounting, payment and banking integrations
The most used platforms for AP automation include three main areas:
Bills and Invoice receipt
Matching and Workflows
Archive and Audit
Below are a few examples of platforms with some (or all) of these features:
Hubdoc · Dext Prepare · EzzyBills · Lightyear · Bill.com · ApprovalMax · Spendesk · DocuWare
Selecting the right app for your company
Before signing up for a new solution, you should research and observe a few aspects:
Pricing - does the platform offers flexible and scalable pricing?
Ease of use - what training and change management impact will be involved in the new system?
Implementation - what are the timeframe, costs and complexity of the implementation process?
Technical features for compliance and fraud prevention - What features are included in the new system? Do you need to combine/integrate multiple platforms?
Updates - How frequently is the software updated/improved, and what are the costs involved?
Integrations - What are the options and costs o integrations and external connections? Is the system tied to a specific platform or ERP system?
Customised configurations - Can you configure features such as workflows, add users, customise access and permissions?
Support - When are support services available and what happens if your AP team needs help outside of business hours?
How can hbp help?
Whether you’ve already decided on your automation system, or need help to define what are the next steps, the halkin technology team is ready to take your business to the next level. The halkin teams are experienced professionals with the vision to guide and help you create an automation roadmap. Having worked across many industries and with almost every accounting software, we can support you during the whole journey and ensure minimal disruption to the business. We are ready to take your business to the next level. Book a free chat with one of our specialists to discuss a strategy to automate your accounting and financial processes.
