Gain Instant Visibility into Cash Flow with Accounts Payable Automation

Business owners have an endless list of responsibilities as they are responsible for their company’s success. One of the most critical duties is maintaining good fiscal health for the business, starting with cash flow.

Cash flow – the net balance of cash moving into and out of a business at a specific point in time¹ – plays a significant role in determining whether a business will flourish or fail. When companies fail for financial reasons, poor cash flow is to blame 82% of the time².

Poor cash flow is often the result of several factors, including not paying attention to expenses, uncertainty about future cash flow³, poor financial planning, unexpected expenses, low profits, and over investments⁴. These factors also determine if a business will have positive or negative cash flow.

Cash flow is complex and fluid; thus, finance leaders must always consider new ways to improve visibility within their organization. If not, they risk potentially causing irreparable damage to a business because of the inability to pay suppliers, late or unpaid debt repayments, the inability to buy new inventory, unpaid staff wages, and lost sales⁵. The quickest way to gain visibility into your organization’s finances is with Accounts Payable (AP) Automation. Paymerang’s best-in-class Invoice Automation solution uses artificial intelligence to capture, read and route invoices, giving your team a fail-safe electronic paper trail.

Automating enables you to electronically capture invoices, route approval, and post to the General Ledger. Additionally, enhanced visibility means that electronic workflows allow instant access to all invoices and approval statuses. Having control over the complete invoice process keeps you in control. It gives you greater insight into your company’s financial state as putting in the G/L code allows you to compare the approval amount to your overall budget.

Effectively managing cash flow provides exceptional benefits for your company, such as never running out of cash, paying your staff on time, having peace of mind, avoiding overspending, and ultimately growing your business⁶. Additionally, effectively managing cash flow results in positive internal and external relationships.

Managing and improving cash flow on your own seems overwhelming—but partnering with a premier finance automation provider enables increased cash flow visibility. Implementing Paymerang’s Invoice Automation solution is simple and gives organizations peace of mind knowing they have the tools to manage cash flow effectively.

Sources

¹Harvard Business School Online: Cash flow VS. Profit: What’s the Difference?

²Preferred CEO: Cash Flow: The Reason 82% of Small Businesses Fail

³PNC Insights: 4 Biggest Causes of Cash Flow Problems

⁴Ordermentum: The Top 10 Causes of Poor Cash Flow and how to Fix Them

⁵Experian: 5 Ways that Poor Cash Flow Can Damage your Business – and How to Prevent It

⁶Ordermentum: The Benefits of Good Cash Flow Management