Accounts Payable End-Of-Year Best Practices

When it comes to end-of-year reports, there are a lot of things that you have to consider as you view the analytics that you’re provided with. To ensure the survival of your company in the tough and fast-paced business world today, you have to make sure that all your finances are in good hands. Using an effective A P software will help you do so with little effort.

A common mistake that inexperienced management teams make is forgetting the end-of-year. Doing so may lead you to inaccurate summaries, unmet deadlines, and poor resources for analytics. In order to keep your financial practices within the company sustainable, you have to keep guidelines for yourself and your employees. Here are some of the best practices to have:

Give a date to everyone, not just key members

The higher you are in the chain of command anywhere, the less people you’ll have to talk to. Though this is something that’s incredibly convenient to help you focus on the tasks that you have which involve managerial talents, this also leads you to forget how important it is to keep an open line with communication.

Communicating with the majority is something that a good manager should do. By letting everyone know the specific date for the end-of-year tasks, you’re ensuring that even those under key members are well aware of when deadlines are. When you set a deadline, not only are those directly under you affected, those under them will have certain tasks to do as well.

Use an A P software to gather as much data as possible

This is a great practice to have all year round to prepare you for the end-of-year. When you scale all of your finances at that fateful date, it’s going to be tough to have an accurate summary of everything that was processed if you don’t use an automatic system to gather all the data that you need.

Sure, using pen on paper is something that’s been done for decades. However, it’s no longer a viable option due to the sheer fact that you have so many benefits that you can take advantage of with an intuitive accounts payable software. You can create reports on specific categories and ensure that all entries are processed as soon as they’re made available.

You won’t have to wait for someone to print all the numbers that you’re going to need when it comes to specific end-of-year documents since they’ll be readily made available to you digitally. This gives you a chance to make attempts with certain banks and businesses that you believe may be on the verge of canceling their work relationship with you due to particular conditions.

Other things that you can use the live data for include the implementation of an accurate review standard when it comes to the recurring journal entries since you’re able to know that they will pass completeness tests. Any critical financial reports don’t have to pass the eye test so early on since a good A P software can detect any errors.
From invoice automation, purchase order mangement, budget control, among others, Nexus Systems’ A P software can plug existing holes in your AP process. Contact us for more information.