Managing Accounts Payable (AP) manually can be frustrating. From obtaining billing approvals from managers to paying vendors in a timely manner, there are many challenges that AP teams often face. As a controller, it is helpful to know what tasks are causing delays and how you can make improvements to support the AP team and work better. Here are the 5 common AP challenges you should know:
Save money instead of throwing it away
Processing invoices manually can cost your business more. The cost of processing one invoice can be In some cases, this may be more than the amount of the invoice itself. An AP automation solution can save costs of approximately 80% by cutting the cost of processing a single invoice to $5 or less.
Mitigation of errors
AP errors may occur while entering data or encoding manually, items may be wrongly encoded, or the spreadsheet formula may be broken. Fixing these bugs can cost AP teams time and business money. It may even harm your relationship with the seller and lead to late fees and interest charges. The automatic solution will replace the manual steps so that your AP team can prevent such errors. Some solutions use artificial intelligence to capture invoice details, which greatly reduces the scope for errors and fraud.