Sage AP Automation Pays it Forward with Rapid ROI

Companies that automate their AP processes can achieve an ROI of 300% in the first year alone. Few, if any, other business technologies can claim a success rate like that. Are you considering implementing an AP automation solution? If so, Sage AP Automation is one to consider. Here’s an introduction to Sage AP Automation, how it works, and the benefits it brings that lead to a rapid and rewarding return on your investment.

Join us for a webinar on 4/23 presented by Quadient: Soothing Your AP Pain with Sage AP Automation

What Is Sage AP Automation

Sage AP Automation is a cloud-based solution that automates and streamlines accounts payable processes. It’s part of the broader suite of Sage financial and accounting software products, which aim to simplify financial operations, reduce manual tasks, and improve efficiency and accuracy in financial reporting.

Sage AP Automation seamlessly integrates with Sage 100, Sage Intacct, and other ERP systems, providing a smooth flow of financial data across the organization. This integration supports real-time data sharing, ensures that financial records are always current, and provides a unified view of the company’s financial health.

How It Works

Sage AP Automation streamlines and automates the accounts payable process, significantly reducing manual efforts and enhancing business efficiency. Here’s an overview of how it works, step by step:

It Starts with the Invoice Receipt

  • Automated Invoice Capture: Sage AP Automation begins with the automated capture of invoices. Invoices can arrive in various formats, such as paper, email, or electronic. The system uses Optical Character Recognition (OCR) technology to automatically capture and extract data from these invoices, regardless of their format.

It Performs Data Extraction and Verification

  • Data Extraction: After capturing the invoice, the system extracts key information such as vendor details, invoice number, date, and line-item details.
  • Verification: The extracted data is then verified for accuracy. The system checks the invoice details against purchase orders and receipt information in the ERP system to ensure consistency and accuracy.

Next Comes Approval Routing

  • Customizable Workflows: The system automatically routes the invoices to the appropriate personnel for approval based on your predefined rules and workflows. These workflows can be customized to match the company’s internal controls and approval hierarchy.
  • Electronic Approvals: Approvers receive notifications to review and approve invoices directly within the system. They can approve, reject, or request additional information, all from a centralized interface.

Then Comes Payment Processing

  • Electronic Payments: Once an invoice is approved, Sage AP Automation facilitates the payment process. It supports various payment methods, including ACH, wire transfers, and checks. The system can also schedule payments based on vendor terms and conditions to optimize cash flow.
  • Payment Reconciliation: After payments are made, the system automatically updates the company’s financial records and reconciles payments with bank statements, ensuring accuracy in financial reporting.

And All Along, There’s Reporting and Analytics

  • Real-time Visibility: Sage AP Automation provides comprehensive visibility into the AP process. Users can track the status of invoices, view pending approvals, and monitor payment schedules.
  • Analytics and Reporting: The system offers robust reporting tools that allow businesses to analyze their spending patterns, identify opportunities for cost savings, and ensure compliance with internal policies and external regulations.

Benefits of Sage AP Automation

By automating the accounts payable process, your businesses can achieve:

  • Efficiency and Productivity: 47% of businesses cite lengthy invoice and payment approval times as a hurdle facing AP teams. Automating the accounts payable process significantly reduces the time and effort involved in processing invoices and making payments. This efficiency gain allows finance teams to focus on more strategic tasks.
  • Cost Savings: Automating invoicing processes can cost 40-90% less than manual, paper-based processes. Businesses can save on operational costs associated with paper-based processes and manual labor by reducing manual tasks and streamlining the payment process.
  • Accuracy and Compliance: The average invoice exception rate (when an invoice is flagged for intervention) is a disappointing 5%. Automated invoice processing reduces the risk of human error and helps ensure that payments are accurate and comply with internal policies and external regulations.
  • Improved Vendor Relationships: The average AP department spends 5% of its time handling supplier inquiries. Faster processing and payment times can lead to better relationships with vendors and suppliers. As well as potentially leading to more favorable terms and conditions.
  • Enhanced Financial Control: Research shows that organizations save between 6% and 12% on every dollar of spend placed under procurement’s control. The visibility and control over the accounts payable process are significantly improved. As a results businesses are better able to manage their cash flow and make informed financial decisions.

Get Ready for the ROI

Sage AP Automation transforms the traditionally time-consuming and error-prone accounts payable process into a streamlined, efficient, and highly accurate operation. As a result, your business can focus more on strategic financial management and less on administrative tasks.

It’s designed for small- to medium-sized businesses but can scale to meet the needs of larger enterprises. Plus, because it’s cloud-based it’s accessible from anywhere, making it a flexible solution for businesses with remote or distributed teams.

Reach out to our team to learn more about Sage AP Automation and register for our webinar: Soothing Your AP Pain with Sage AP Automation