How to Write a Petty Cash Policy in Four Easy Steps (With Template)

From receiving goods to clearing payments, it is not a single-click process. Multiple steps in between make the accounts payable process tedious and time-consuming.

You receive goods, match them with purchase orders and invoices, send the invoices for approval, make the payment, and finally, maintain records for bookkeeping. This process alone takes weeks and creates confusion when multiple stakeholders are involved.

Think about purchases above $50,000. There are multiple approvals, and each purchase triggers a unique workflow. Documents are not consolidated, and no one has a clear idea of the payment status. 

Thus, accounts payable become chaotic.

Can You Automate Accounts Payable?

To streamline your accounts payable process, you can use tools to automate it. This will simplify bill payments and give you more visibility and control over money.

While it will take time for stakeholders and employees to embrace automation, you can consolidate your scattered pieces on a centralized platform. If you are looking for suitable AP automation tools for your company, check out our list of the top accounts payable automation software.

This post will delve deeper into how you can automate the accounts payable process and how it will help your business. 

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What is the Accounts Payable Automation Process?

Accounts payable automation uses tools to automate invoice verification, approval workflow, payment processing, and bookkeeping. 

Instead of manually organizing, matching, approving, and clearing invoices, the entire process goes on a digital platform to provide visibility and control at each step. So, earlier, employees would spend hours getting approvals and days clearing payments, but now, an automation tool reduces the invoice processing time. 

The platform captures and extracts the invoice from emails via optical character recognition (OCR). The invoice goes to the platform with all the critical information, such as purchase order and simplifies three-way matching. A trigger-based approval workflow notifies the stakeholders to approve invoices. The admin gets complete visibility of each step and clears the payment without going through a variety of software. 

How to Automate Accounts Payable

Automating accounts payable is as simple as choosing and integrating the right automation software with your existing accounting and procurement software.  

The automation software offers visibility into where the money is going and control over the entire process. You can customize the approval workflows and payment gateways and create an ecosystem that supports your procurement process. You can accommodate manual processes and integrate them with other software without going through a complete flip.

With the right automation software, you bring all the critical stages of accounts payable on a centralized platform. Here are the five key steps you can automate:

1. Invoice Management

Manual: The vendor sends an invoice to a dedicated email or a physical copy via fax or mail. The employee receives it and moves from one stakeholder to another for approval. The process is delayed for days if any manager is unavailable. Once the approval is complete, all the documents go to the accounting team, who clears the payment. 

Automated: Depending on how the vendor sends the invoice, the automation platform captures the invoice from email or WhatsApp. If you receive a physical invoice, you can upload the invoice, and the system extracts all the vital information via OCR. There's no need to manually enter details or add a general ledger (GL) and taxation code. The system captures, extracts, and consolidates all the invoices.

2. GRN Matching

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Manual: The dedicated team receives goods along with the goods receipt note (GRN) and must match it with the invoice and purchase order. This ensures that the specified goods are received as per the purchase order. Manually, this process is prone to errors, leading to discrepancies. It demands accuracy to ensure you receive the correct items in specified quantities. 

Automated: Automated software makes this easy by combining all the relevant documents on a single platform. The dedicated team has the invoice and purchase order side by side, making it easy to compare items, purchase orders, and invoices for three-way matching. As a result, spotting discrepancies becomes more manageable, reducing the chances of errors.

3. Approval Workflow

Manual: Once the invoice is received, the employee gets it approved by dedicated managers. Based on the invoice amount, they need more than a single approval. Manually, this means going from one office to another or delving into long threads of email or Slack conversations. It becomes difficult for accounting teams to track approval and clear payments. 

Automated: With automated software, each invoice triggers an approval workflow for relevant stakeholders to approve the payments. The admin can create custom no-code workflows based on different if-then rules. For instance, marketing purchases above $50,000 will have more approvals than expenses of $5,000. Also, all the relevant teams will have visibility into the approval status, making it easier to clear payments on time without confusion.

4. Payment Processing

Manual: Once the invoice is approved, the accounting team determines the details and pays via checks, cards, or other payment methods. It takes a few days before the payment is cleared, and the teams need to sync all the information across the accounting software for reconciliation.

Automated: With automation, accounting teams and employees enjoy more flexibility. For instance, Pluto offers corporate cards, payment gateway integration, and a digitization platform for bookkeeping.

• With corporate cards, you can create custom vendor-specific cards with advanced controls to ensure payments are made only for approved vendors.
• Pluto integrates directly with your payment gateways to facilitate payment within the platform. 
• If you make payments via checks or other physical modes, Pluto will act as a digital bookkeeping platform. You can enter the payments made on the centralized platform and ensure that all the information is streamlined. 

5. Reconciliation

Manual: Reconciliation is the messiest part of accounts payable. Teams must maintain records, manually enter all the details, and sync them across the accounting platforms and ERPs. It is time-consuming, prone to errors, and tricky in case of purchases where one invoice invites multiple tax and GL codes.   

Automated: Automation consolidates all the information on a single platform without manual data entry. It uses OCR to extract all the critical information with a feature to upload the invoices in bulk. Further, you can split the transactions to add multiple tax and GL codes to address the audit season rush.

How Accounts Payable Automation Simplifies the Procurement Process

Accounts payable automation is not just for the procurement or the accounting department. It also makes it easier for stakeholders to approve the payments and employees to get timely resources.

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Overall, it assists you in bringing together scattered parts of the procurement process. Here are reasons why you must invest in accounts payable automation:

1. Improve Compliance

You get complete visibility and control over your accounts payable. You can create custom workflows to ensure that any purchase that goes against the company policy is rejected. You can also accommodate intricate hierarchies to suit your organization's needs and get timely approvals.

2. Avoid Double Payments

It is usual for teams to end up paying the same invoice twice as no one has visibility into the payment status. It happens when the same invoice is paid twice by different team members or when vendors send the same invoice twice, and both get paid. You can avoid this as the software detects duplicate invoices and gives visibility into the status of invoices. The main dashboard highlights the pending invoices and the ones awaiting approval. It becomes easy to stay on top of all the invoices and avoid errors.

3. Faster Approvals and Matching

You get a trigger-based no-code approval workflow engine where you can create customized workflows to accommodate intricate hierarchies. The software notifies the stakeholders to review and approve the invoices. Since all the information is available on a single dashboard, two-way or three-way matching is a matter of a few minutes. This accelerates the approval process, and payments are disbursed much faster. It improves the vendor relationship without risking over, under, or delayed payments.

4. Better Reconciliation

You get all the relevant documents consolidated on a single platform with the appropriate purchase. Additionally, the software automates the coding and categorization, simplifying the reconciliation process. In case of discrepancies, spotting errors becomes easy. Moreover, with features like locking the approved payments and restricted access for auditing, you can eliminate the chances of fraud or manipulation.

5. Accuracy

You improve the accuracy of your records and GRN matching with all the information streamlined on a single platform. Moreover, as the software relies on OCR, you eliminate the need for manual data entry, reducing the chances of errors. Also, you can integrate the automation software with your accounting platform and ERPs to sync data and ensure consistency across the platforms. 

6. Centralized Dashboard

You get a centralized dashboard with all the key information available in a unified place, acting as a single source of truth. Additionally, you get insights that can help in data-driven decision-making to facilitate procurement cost savings. Further, you can view all the awaiting payments and approvals on a dedicated dashboard. You no longer need to run from one platform to another for information as the software integrates with your accounting system.

7. Accessibility

The unavailability of a single person can create bottlenecks in the approval process and block the supply chain. With all the information streamlined on a single platform, each stakeholder can access relevant data for decision-making. So, whether the CEO is traveling or the CFO is not at the office, they can access the details from any corner of the world and avoid disruption in the supply chain.

8. Visibility

You get visibility for each step, each document, and each purchase. You can bring the entire procurement automation on a single platform and track the status in real time. Whether an employee raises a request, gets an invoice, or needs to clear payment, you will stay on top of the information without creating any delays or friction.

Automation is Easy With the Right Software

Adopting automation software isn’t easy, especially for critical processes like accounts payable, which also involve external stakeholders. The top three factors to look for in appropriate software are flexibility, visibility, and integration. 

Choose one that integrates with your existing processes and systems and is flexible enough to accommodate complex hierarchies. Instead of focusing solely on the accounting or procurement team, it should cater to all the key stakeholders and make automation easier to adopt. 

At Pluto, we aim to bring a balance among the spenders (employees), the savers (finance teams), and the sourcers (procurement teams). Each stakeholder gets visibility, and decision-makers get flexibility. Pluto integrates with your current system and enables you to automate accounts payable without affecting the supply chain. 

You can also automate your entire procurement process with Pluto and improve your bottom line. Read more in our procurement automation post.

Your employee receives the vendor invoice and goes to the department manager and procurement department for three-way matching — invoice, purchase order, and goods receipt. Once approved, the finance department prepares to clear the payment. Finally, the accounting department makes the journal entries and updates accounting records. This is an end-to-end accounts payable process.

But it isn't as simple and straightforward. The chances of errors increase with various stakeholders involved. These range from manual data entry mistakes and invoice duplications to missed discounts, late payments, and inaccurate coding. This intricate process further results in unapproved invoices, incomplete documentation, vendor communication gaps, and mismatched purchase orders.

Hence, it becomes imperative to conduct regular checks. The inspections look into the internal processes to identify loopholes and act as an early sign. This post will discuss what an accounts payable audit is and how you can prepare for it.

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What is an Accounts Payable Audit?

An accounts payable (AP) audit is a type of accounting audit that investigates a company's accounts payable records, statements, and processes for potential errors, fraud, and non-compliance.  

In an AP audit, auditors track AP transactions from beginning to end, including the purchase order, invoice, approval steps, payment, and reconciliation, ensuring that everything has been recorded and documented correctly. 

The auditors assess the internal records and documentation for the following:

• Validity - Are all invoices and transactions verified as genuine, preventing payment for unauthorized items?
  
• Completeness - Are the invoices, purchase orders, and delivery receipts recorded correctly to avoid missing any payments?
  
• Accuracy - Is every invoice amount cross-checked against corresponding purchase orders and delivery receipts to prevent payment errors?
  
• Compliance - Are the accounts payable documents compliant with tax and company policies to avoid penalties and ensure ethical financial practices?

Further, the auditors inspect the internal processes for the following: 

• Segregation of Duties -Are responsibilities clearly divided to prevent conflicts and maintain a system of checks and balances

• Approvals - Are transaction approval processes in place, ensuring compliance with policies and accountability?

• Access Controls - Are access controls effectively implemented to protect sensitive information, preventing unauthorized access and potential breaches?

By addressing these questions, the auditors find areas to improve and strengthen the accounts payable system. This process provides a thorough picture of financial operations, identifying weaknesses that could affect accuracy, efficiency, and compliance.

How to Conduct an Accounts Payable Audit

Before establishing an audit plan, you need three things to prepare for an accounts payable audit:

1. Stakeholder Input

Schedule meetings with key stakeholders such as finance managers, approvers, and document handlers. Ask for their insights on pain points, challenges, and expectations related to the accounts payable process. Document their feedback and use it to tailor the audit plan. It helps to address specific concerns and improve efficiency.

2. Documents Repository 

Conduct a comprehensive review of the current document storage system. Ensure all relevant documents are organized, labeled, and stored in a secure, easily accessible location. If you are using digital AP software for the repository, validate that it has proper version control and is updated. 

Checklist of Documents Required

• Vendor Invoices

• Purchase Orders

• Goods/Services Receipts

• Vendor Contracts and Agreements

• Payment Records

• Expense Reports

• Vendor Statements

• Credit Memos

• Internal Controls and Policies

• General Ledger Entries

• Tax Documents

• Bank Reconciliation Statements

• Vendor Information

• Access Logs

• Expense Allocation Documentation

• Documentation of Disputed Invoices

• Employee Authorization Forms

• Proof of Payment

• Inventory Records (if applicable)

• Regulatory Compliance Documentation

3. Access Control

Review and update access controls to restrict access to sensitive financial data. Work with IT and security teams to ensure only authorized personnel can access critical systems and repositories. Also, periodically verify user access levels and promptly revoke access for individuals who no longer require it. This helps maintain a secure and controlled environment.

4-Step AP Audit Procedure

With all the documents ready, inputs gathered, and access shared, you can initiate the AP audit procedure. It includes the following steps:

Audit Plan

Establish an audit plan to define the scope of the audit, specifying the departments and time frame under consideration. Assign audit team members and allocate necessary resources for the audit. Identify potential risks such as errors or compliance issues.

Here is what an audit plan looks like.

Audit Plan

Objective: The primary aim of this audit is to express an opinion on the fairness of XYZ Company's financial statements in accordance with Generally Accepted Accounting Principles (GAAP).

Scope: The audit will cover the financial statements of XYZ Company for the year ended December 31, 20XX, including the balance sheet, income statement, statement of cash flows, and accompanying notes.

Audit Team: The audit team will consist of the lead auditor, staff auditors, and specialists as needed. The team members will be assigned specific tasks based on their expertise and the areas to be audited.

Audit Approach: The audit will be conducted as per the auditing standards and guidelines issued by the relevant regulatory bodies. The approach will include substantive testing, tests of controls, analytical procedures, and other audit procedures as deemed necessary.

Materiality Threshold: The materiality threshold for the financial statements is set at $XXX. Any misstatements or discrepancies exceeding this threshold will be considered material.

Risk Assessment: The audit team will conduct a risk assessment to identify and assess the risks of material misstatement in the financial statements. The evaluation will consider both inherent and control risks.

Audit Procedures:

• Cash and Cash Equivalents:

• Confirm bank balances and reconciliations
• Test cash transactions and cutoff procedures
• Review bank statements and related agreements

• Revenue Recognition:

• Test sales transactions and revenue recognition policies
• Review contracts and agreements for completeness and accuracy
• Verify the accuracy of recorded revenue

• Inventory:

• Observe the physical inventory count
• Test inventory valuation methods
• Review inventory turnover and obsolescence

• Accounts Payable:

• Confirm outstanding payables with vendors
• Test completeness and accuracy of recorded payables
• Review payment terms and agreements

• Fixed Assets:

• Verify the existence and valuation of fixed assets
• Test depreciation calculations
• Review additions and disposals

Documentation: All audit procedures, findings, and conclusions will be documented in working papers, including supporting evidence and references to applicable accounting standards.

Reporting: A draft of an audit report will be prepared for management review before issuing the final report. The report will include the auditor's opinion on the financial statements and any relevant disclosures.

Fieldwork

With the audit plan in place, the audit team moves on to a detailed examination of the accounts payable process. Simultaneously, it also engages with key stakeholders to get valuable insights into the practical aspects of the AP process. In this stage, it ascertains the effectiveness of internal processes in safeguarding against potential risks. It performs the following assessments: 

• Verify completeness and accuracy of invoices, purchase orders, and payment records
• Match invoices with purchase orders and delivery receipts
• Check for discrepancies in amounts or quantities
• Evaluate the adherence of the approval process to established policies
• Confirm proper authorization before payment processing
• Review vendor master file for accuracy and up-to-date information
• Implement checks to identify and rectify duplicate payments
• Ensure compliance with internal policies, industry regulations, and legal requirements
• Review accruals and prepaid expenses for accurate reflection of the financial statements
  
  
• Verify the accuracy of data entry in the financial system

However, an audit team struggles the most with finding the proper documents. Either the internal team fails to provide the specific invoices, purchase requests, and purchase orders, or it gets lost in the pile of documents. This slowdown in the audit process increases the risk of oversight and incomplete scrutiny, compromising accuracy and thoroughness.

The best way to fix this leak is to go for accounts payable automation.

With AP automation, you streamline approvals and payments and create a centralized hub for bookkeeping. Instead of manual record-keeping, the tool automatically captures and extracts all necessary documents. Its integration capabilities ensure consistent data across the organization, simplifying data management and retrieval.

Audit Report

Finally, the audit team prepares a detailed audit report, including an executive summary, methodology, findings, and recommendations. The report provides a comprehensive overview, detailing identified issues and areas of strength.

To read an audit report and implement it effectively, follow these steps:

1. Involve the audit committee, executive director, and senior financial staff in reviewing the report.
   
2. Identify significant issues, such as financial conflicts of interest, and address them promptly. Classify minor concerns, such as operational inefficiencies and technological deficiencies, for resolution over several months.
   
3. Consider the list of best practices and custom recommendations provided by the auditors. Use them to plan and prioritize your organization's next steps.
   
4. Evaluate the "scope, nature, and timing" of the audit conducted by the audit team to assess the auditors' efficiency in utilizing resources without redundancy. Explore ways to make the audit process more efficient for the next cycle.
   

Regardless of the audit cycle, continuously assess and improve auditing procedures. Explore options such as accounts payable automation, process optimizations, and strategic partnerships.

Follow-up

During this stage, the audit team monitors the implementation of recommended changes. It involves continuous communication with stakeholders to address concerns or questions arising from the audit report. The team also ensures that the proposed improvements are effectively integrated into the organization's processes.

Preparing for Your Next Accounts Payable Audit

To make your next audit easier for the auditors and the internal team, address past findings and consider adopting accounts payable automation for efficiency. By addressing previous audit issues, you proactively improve your internal processes by resolving identified issues. It builds a culture of accountability and responsibility, laying the groundwork for a more efficient and effective audit process in the future.

An AP automation software becomes a central hub for the documentation, streamlining the intricate process. Automated document capture and retrieval ensure swift access, minimizing errors. Also, it highlights areas for improvement, enabling the team to address issues beforehand. 

As a result, audits become more streamlined, faster, and less stressful, ensuring strict adherence to rules and optimal functionality. We have curated a list of top AP automation software to help you pick the right one. Check the top 7 accounts payable automation solutions that simplify the accounts payable process and audits.

An invoice has landed in your inbox. As soon as it arrived, a team member cleared the payment. Later, when another team member came across it, they made the payment again. This is a common scenario of duplicate payments that results in cash leakage. Invoices are not consolidated. There is no proper approval workflow, and stakeholders lack visibility. 

Overall, managing accounts payable (AP) becomes a nightmare. 

An automation tool solves these bottlenecks and provides a centralized platform for invoice management and accounts payable. An accounts payable automation software automates invoice capture and retrieval to consolidate all the information on a unified platform. You get real-time visibility and control over your payables. 

As a result, you establish better vendor relationships and supply chain management without impacting cash flows.

This post will cover 7 AP automation software to help you choose the right automation partner.  

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Top 7 accounts payable automation software 

Here are the top 7 AP automation software. You can pick one of these to automate your accounts payable based on your company size and needs.

1. Pluto

Pluto is an accounts payable software that transforms your AP processes by simplifying bill processing. From enabling GRN matching to setting fully customizable multi-layer approval workflows, it is the best AP automation software to manage your vendor payments. 

Key Features:

• Facilitates three-way GRN matching with purchase orders and item-based matching
• Offers a flexible approval engine capable of managing intricate hierarchies without requiring technical expertise
• Enables multi-layer invoice approvals with policies to align with your company's structure
• Ability to upload invoices easily via WhatsApp images and emails to speed up the receipt capture process
• Facilitates optical character recognition (OCR) technology to retrieve invoice information, including tax and general ledger (GL) codes
• Offers a centralized dashboard to gather bills in one place and track the status to avoid double payments
• Consolidates approved invoices in a single window to highlight pending bills and avoid delays
• Raises alerts for upcoming payments, enables scheduling payments in advance and automates invoices 
• Allows you to seamlessly carry out bulk local and international wire transfers for easy payment clearing through their treasury partners.
• Enables you to split payments for different tax and GL codes, departments, etc. 
• Provides vendor-specific corporate cards to control budgets and detect irrelevant expenses
• Supports ERP integration to synchronize your vendors, purchase orders, and bills
• Integrates with accounting software such as Oracle, NetSuite, Zoho, Quickbooks, Wafeq, Xero, etc.
• Provides a complete audit trail of the process to ensure visibility at each step
• Shows real-time analytics to facilitate deep insights for supporting budget control

Pricing: 

Free to get started 

Pros:

• Free to get started!
• Enables branch and subsidiary-level spend tracking (not offered by other platforms)
• Offers up to 2% cashback on all non-AED transactions 
• Independent PCI DSS Level 1 certification for advanced security
• SSO/SAML Capabilities for Enterprises
• Better Forex rates than most local banks 

Cons:

• Integrates with all other major ERPs except Tally
• Slightly longer on-boarding due to corporate card offering

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2. Tipalti

Tipalti is an automation tool that supports end-to-end AP processes. It streamlines accounts payables and facilitates global payments in local currencies for various recipients, from suppliers to freelancers. The cloud-based platform helps finance teams manage payments without losing visibility and control. 

Key Features:

• Supports supplier onboarding and vetting to ensure supplier reliability and trustworthiness
• Integrates with ERP and accounting systems to help with reconciliation reporting
• Uses OCR to scan, capture, match, and process invoice data to reduce manual errors
• Provides built-in approval workflows and payment scheduling 
• Offers invoice processing, including two-way and three-way purchase order matching and approval to avoid overpayments
• Assists AP processes for subsidiaries and entities

Pricing: 

Starts at $129 per month per user for the platform fee and charges for additional features separately

Pros:

• Can manage supplier bank account details in a secure environment

Cons:

• Cannot use it for prepayment invoices on inventory purchases with the ERP system
• High foreign currency exchange fees
• Tax forms can be difficult to fill out and very difficult if you do not speak English

3. Airbase

‍Airbase manages global AP processes. It focuses on ensuring compliance and syncing with your accounting tool to streamline payment. It is an automation solution for small to midsize businesses (SMBs) and large enterprises with 100-5,000 employees.

Key Features: 

• Offers OCR to populate details, including GL category, date, amount, and purpose
• Supports onboarding with a self-service vendor portal and custom questionnaires
• Has a centralized dashboard with all key information about the invoice to avoid friction 
• Accepts invoices from email or vendor portal across all subsidiaries
• Offers automated approval workflows based on multiple parameters, such as vendor, amount, GL category, etc.
• Enables three-way invoice matching to ensure compliance and reduce wasted spend
• Real-time audit trail with receipts, notes, and documentation for transparency

Pricing: 

Request a custom quote

Pros:

• Intuitive and easy to use; no training or previous knowledge required

Cons:

• The mobile app is slow and takes time to load pages 
• SSO-based login is not smooth
• Not suitable for complex branch-level approvals and expenses

4. Ramp

Ramp is an accounts payable solution for managing payments and business expenses. It automates bill entries, approvals, and payments while offering complete visibility and control. By tracking each AP step from data recording to approvals, it simplifies payment processing and takes the burden off teams. 

Key Features:

• Uses artificial intelligence (AI) to extract key details from invoices to offer accuracy and eliminate data-entry errors
• Identifies duplicate invoices and helps with two-way matching to purchase orders
• Offers custom approval workflows to minimize errors and ensure timely payments 
• Provides a unified dashboard with visibility into the status of invoices
• Consolidates multiple payment options, such as check, card, same-day ACH, or international wire
• Integrates with accounting solutions, such as QuickBooks, Xero, Oracle NetSuite, Sage, etc. for auto-sync bill pay transactions
• Supports international payment processing in multiple currencies 
• Tracks vendor data and transactions for easy reporting and data-driven decisions

Pricing: 

Three pricing packages—free or basic features, $15 per user per month for Ramp Plus, and custom quote for enterprises with features like enterprise ERP integration, custom implementation, and local card issuance

Pros:

• Works with multiple subsidiaries
• Offers cash back on credit card purchases made using VISA cards

Cons:

• Can’t unmatch an incorrectly matched invoice (invoice to credit card)
• Approval routing can only be set on the vendor level, not the department level
• Limitations in syncing repayments

5. Bill

Bill is an accounts payable solution for SMBs to control payables, receivables, expenses, and all corporate expenses. It allows businesses to streamline scattered AP processes into a single platform and gain more control over their finances. 

Key Features:

• Enables custom approval workflows for minimal hassle
• Automates purchase order workflows with the option for automated two-way and three-way matching
• Automates receipt matching, categorization, and expense reporting, decreasing administrative tasks
• Syncs with all major accounting systems like QuickBooks, Sage, Intacct, and NetSuite
• OCR auto-populates invoices for data entry
• Provides bulk payments of approved invoices with payment choices, such as ACH, credit cards, checks, and international wire transfers
• Offers audit trail of any changes or actions related to the invoice on a single page

Pricing: 

Provides a free trial and essentials pack starting at $45 for six standard user roles. Its team and corporate pack are for $55 and $79, respectively. Enterprises need to request a custom quote.

Pros:

• One-click swift payments
• Minimum training required
• Easy-to-use mobile app

Cons:

• Customer support is difficult to initiate, slow, and unresponsive
• Frequent changes in the interface create confusion for users

6. Procurify

Procurify streamlines AP reconciliation, offering a straightforward solution for financial operations. From catalog management to custom user controls, it helps to track the procurement process in real time. Its no-code configuration allows for a prompt deployment in under six weeks, making it a suitable choice for mid-market to enterprise organizations.

Key Features:

• Creates, tracks, and maintains an audit trail of all procurement transactions for transparency and compliance
• Ensures that requested items are approved against budgets before procurement
• Integrates with trusted vendors through punchout catalogs to streamline the ordering process
• Syncs bills and completes bill payments directly with platforms like QuickBooks Online, NetSuite, and other major accounting systems
• Supports OCR  technology to extract data from invoices

Pricing: 

Starts at $2000/month with a custom pricing tier

Pros:

• Ability to upload different invoices in the same PO and group invoices

Cons:

• Doesn’t offer payment services, so you need to carry out payments on a different platform
• Physical inventory has to be tracked outside Procurify

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7. ZipHq

Ziphq is an end-to-end procure to pay software designed to streamline the entire procurement process, from purchase order to payment. It caters to businesses of all sizes — startups, mid-size companies, and enterprises with no-code configuration and deployment in under six weeks.

Key Features:

• Offers vendor cards to automate recurring and one-time payments
• Centralizes purchasing workflows, providing real-time visibility into the AP process
• Facilitates automatic purchase order matching, ensuring invoice accuracy and timely payments
• Provides automated, no-code workflows, referencing all stakeholders in the approval chain
• Allows employees to comment on invoices and tag stakeholders, ensuring everyone has the context and visibility needed
• Automates renewal planning with workflows initiated well ahead of deadlines, enabling stakeholders to make informed decisions
• Supports vendor payments in 140+ countries and 40+ currencies
• Integrates with ERP, ensuring quick and easy reconciliation, even for complex, multi-subsidiary operations

Pricing: 

Request a demo quote

Pros:

• Provides various customization options to configure internal processes

Cons:

• Localized to the USA market
• Takes over five days to settle vendor payments 
• Can’t bulk upload documents

How to choose the right accounts payable automation software?

User-friendliness

Select software that is adaptable and user-friendly, with intuitive trigger-based workflows and a clean interface, ensuring ease of use without excessive reliance on support for basic tasks.

Versatile payment capabilities

Choose a solution that supports a broad spectrum of payment methods, including the ability to issue vendor-specific cards for secure and speedy payments, a feature not commonly found in many platforms.

Accurate Invoice Processing

Opt for software with OCR technology to enhance invoice processing speed and accuracy, capable of handling invoices from various sources and integrating them into a centralized database for reduced manual entry.

Efficient Approval Workflows

The software should include a straightforward, no-code workflow builder that can handle complex hierarchies, essential for large organizations with intricate approval processes.

Seamless System Integration

Ensure the software integrates well with existing accounting systems to automate data entry and maintain synchronized records, which is crucial for effective financial management.

Advanced Reporting Features

Reporting functionality that offers insights into spending patterns and department-specific expenditures is vital. The software should provide a robust reporting dashboard with options for deeper analytics.

Choosing the right accounts payable automation software 

Implementing accounts payable software will support your procurement process only when you carefully pick an option that provides flexibility, visibility, and security without losing on functionality. 

Imagine software that makes it easy to clear payments but doesn’t settle payments for days on the vendor’s end. Contrarily, consider an option your legal or IT team is skeptical of implementing. 

That is why, at Pluto, we focus on simplifying processes and cutting all the chaos without risking security, flexibility, or functionality. We simplify accounts payable by syncing with your payment gateways for faster payments at better forex rates than banks. You get a PCI DSS Level 1 certified solution that provides you with bank-grade security. 

So, book a demo and learn more about how you can optimize your entire procurement process.