With every business looking for remote working resources to ensure proper work process amidst the pandemic, businesses are in dire need of Remote Accounts Payable Services offered by Back Office Accounting Firms like us folks at Outsourced Bookkeeping.
But why do firms need Remote Accounts Payable Process and if needed how firms do manage Remote Accounts Payable Process in 2020? Today, in this blog here, we deal with both topics for you. So, read on:
Accounts Payable Process: A Pillar for Working Capital Management
A crucial function of every accounting department of a business, Accounts Payable Process takes care of the all payments associated with the he products and services bought by the business for its functioning.
The Accounts Payable Process is carefully planned according to the, payment processing and invoice reporting needs, vendor structure by making sure financial anomalies, fraudulent actions are easily identified and detected.
Though the details and processes of AP may vary between the businesses whole structure essentially remains the same:
- Purchasing department sends the order for require services, goods or supplies, their quantities, date and other specifications to the vendors.
- As the vendor delivers the goods/services/supplies, quality, quantity and other aspects of the shipment in accordance with the purchase order are verified to generate ‘Receiving Report’.
- After vendor invoice is received by the AP department, it performs a three way-match comparing receiving report, vendor invoice and purchasing order to ensure the consistency of information.
- After the successful bout of inspection, AP department approves the payment to the suppliers, as per the company guidelines through necessary channels: cheques, cash, and third-party transfer or company credit card payments.
Though the process is laid through strict guidelines and seems simple, therein lies the key for effective financial planning and management of the company. An effective and accurate AP process can increase the working capital by making strategic payments to the vendors before the deadlines while keeping the good will of the vendors and suppliers intact. By working closely with the purchasing departments Accounts Payable Process plays a crucial role in the working capital optimization to fuel business growth.
Enter COVID-19: the Need for Remote Accounts Payable Process 2020:
The economic disruption caused by the COVID-19 pandemic is still showing its impact in the form of economic slump that is spread throughout the world. The subsequent lockdown of the businesses that resulted in global supply chain disruption has further pushed the businesses into oblivion especially the AP process. However the new normal has been adopted by the businesses by adhering to cost cutting measures and remote working options.
- Today with less resources at hand due to lean work force models, businesses are much focussed on getting more done with less at a reduced cost and time.
- With businesses adoption to remote working options, the need for remote working resources for crucial business functions like bookkeeping and accounting is at an all-time high.
- While hiring the right accounting resources cut for the task is difficult at this point of time, it also adds extra burden on the financials since the revenues and sales have taken a severe blow in the last quarter.
However, crucial and important business functions like accounting is absolutely important to make sure the financial are in their pink of their health. More importantly bookkeeping and accounting resources are essential to receive economy relieve packages, leverage tax benefits and help in financial intelligence to bring the business back on track. All the above reasons have prompted the businesses to leverage Remote Bookkeeping and Accounting Services for added benefits of affordability and flexibility.
Outsourced Bookkeeping: Remote Accounts Payable Process – 2020:
With the need for Remote Accounts Payable Process at all-time high, the first step for any business to leverage Remote Accounts Payable Process is to automate their AP process. Manual errors, need for increased resources, time and money are some of the problems plaguing the manual AP process and it’s high time for the business to automate their AP Process.
As businesses embrace the automation of AP process according to their vendor structure, guidelines, invoice and payment processing it becomes tad easy to gain improved performance and efficiency at the ground AP level. All the processes can now be performed independent of location paving a way for the Remote Accounts Payable Process that help you performs all the function a at reduced cost and improved flexibility.
Leveraging all the latest accounting tools and software outsourced Bookkeeping has mastered the art of providing Remote Accounts Payable Services for all types of businesses. Our team of experts CFS and accounting specialist will go through your requirement diligently, plan ahead, set-up and deliver all your Accounts Payable requirements remotely at your location of your choice. And particularly specialize in Remote Accounts Payable Services for Restaurants and Real Estate Businesses.
Having worked with hundreds of businesses around, we have gained a rich experience and expertise in providing all typed of Remote Accounting Services at a reduced cost and increased flexibility. So if you are business owner looking for affordable and flexible Remote Accounts Payable Services, you can contact us here: https://outsourcedbookeeping.com