Introduction: In the fast-paced world of business, efficiency is the name of the game. Managing accounts payable (AP) can be a time-consuming task, but with the right tools, you can transform your financial workflows. In this guide, we’ll explore how borderless, a leader in global payments, can help you automate your AP processes, saving you time and resources.

What is AP Automation?

Accounts Payable (AP) automation is a transformative approach to handling financial transactions within a business. In today’s digital era, businesses, especially marketplaces and those in the gig economy, face the challenge of processing a large number of payouts efficiently. AP automation leverages technology to streamline and automate the various steps involved in the accounts payable process, from invoice receipt to payment.

Opportunity Costs

Managing accounts payable comes with its own set of challenges, from manual data entry to the risk of errors. The global transaction value of the B2B payments market totaled over $88 trillion in 2022. These transactions cost businesses, in fact, in North America alone, businesses spend an estimated $187 billion annually on accounts payable processing in direct processing and labor costs alone.

Understanding the Challenges

While the advantages of automation are substantial, there are certain challenges that may arise during its implementation, including:

1. Cost of Implementation

The upfront investment in AP automation software can be a concern for some businesses. However, there are tools that can get you started with minimal investment until you reach a higher point in your budgeting. The cost is often outweighed by the operational savings generated through AP automation.

2. Resistance to Change

Employees may exhibit resistance to adopting automation or altering established workflows. You can choose a workflow that fits with current operations or overcoming this resistance involves informing them about the benefits of these changes and providing adequate training on the new software.

3. System Downtime and Technical Issues

Like any technological implementation, AP automation systems are not immune to downtime and technical glitches. These issues can potentially lead to delays in payment processing. Establishing a robust contingency plan, coupled with routine system maintenance and data backups, is essential to mitigate these risks.

4. Non-Compatible Systems

The interaction between individual systems or software components may pose a challenge. AP automation relies on the seamless flow of credible data between systems. Any disruption in this flow can lead to downstream problems. To ensure the proper functioning of automation, data must move seamlessly within a well-integrated tech stack.

How To Choose The Right AP Automation

Choosing the right AP automation software can be daunting, but breaking it down to key considerations makes the process more manageable.

1. Key Functionalities

Look for software that covers essential functions like easy contact information upload, seamless invoice processing, multiple payment options for your target countries, and easy integration with your existing workflow and accounting tools. Identify manual tasks in your current workflow that you want to automate, making the selection process more straightforward.

2. Data Integrity, Security, and Compliance

Ensure the chosen software prioritizes data security and compliance. While AP automation reduces fraud risks, opt for software with strong security measures and is SOC2 compliant. It should maintain data integrity by preserving historical data without unauthorized changes.

3. Scalability

Consider scalability to align the software with your business’s growth. Anticipate future needs and choose software that can accommodate them such as payment processing in bulk, max number of payments per file or API call, coverage, speed and cost. Automate processes early to avoid issues and simplify data management as your business expands.

Discover how borderless addresses these pain points and provides a solution that streamlines your AP workflow.

The borderless Advantage

Looking to automate contractor, seller and freelancer payouts? borderless is a global payouts solution that fits seamlessly into an AP workflow. Explore how our platform integrates seamlessly into your existing systems, providing a user-friendly experience for managing local and cross-border payments.

Global Coverage: Pay to 120+ countries and 90+ currencies.

Compliance Automated: Leverage our global on-boarding & KYC process to screen you and your vendors.

Easy Data Collection or Data Upload: Use @handles to pay anyone without the need to collect banking details or upload CSV to add contacts.

Multiple Payout Methods: Pay to bank accounts, cards and third party wallets like PayPal.

Reduce Costs : borderless has local yet global infrastructure utilizing efficient rails and passing those savings on to you.

Reduce Admin Work With Bulk Payments: Make single payments or bulk payments up to 2,500 payments in a single file CSV upload or API call reducing manual entries and errors.

Manage All Payments In One Place: Our easy to use dashboard allows for you to search and filter transactions by description, contact, date, status and more.

Tax Headaches? Automate 1099 Forms: borderless automates the collections of W9 and issues 1099 Forms for anyone who earned over $600 USD on behalf of your company.

Approval Layers: Embed approvals part of your AP workflow where managers can approve your created payments.

Fast Payments: Leverage Real-Time Payments allowing funds to be delivered in seconds!

White Label & Own The Customer Experience: Offer a payment dashboard for all your users and whitelabel the experience.

Security & Compliance: Rest assured security is our top priority. All data is encrypted at rest and in transit. borderless is SOC2 Compliant.

Case Studies: Real-world Success Stories

Read about how businesses, just like GoPuff, have benefited from automating their accounts payable with borderless and reduced their admin work by over 300 hours. Explore case studies that highlight the positive impact on efficiency, accuracy, and overall financial management. Want to check out the case study in 5 mins? Request one here.

Conclusion

Transforming your accounts payable workflow is within reach. With borderless, you can automate your processes, reduce manual errors, and enhance the overall efficiency of your financial operations. Take the next step towards a more streamlined future for your business.

Ready to automate your accounts payable? Explore the borderless advantage today.

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About Us

borderless, a global payments company that provides a payout software and API to companies to process payments to 120+ countries. borderless specializes in cross-border payments, and their platform utilizes local payment rails, real-time payment rails, and SWIFT to facilitate faster and more efficient payments. We invite you to explore how borderless can assist your marketplace or digital platform in navigating marketplace payments and international payments. To learn more, contact our team to schedule a demo today.

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