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    Best Accounts Payable Software For Small businesses In 2024 – [In depth comparison]

    accounts payable software

    by ProcureDeskLast Updated : Nov-30-2023

    Is your accounts payable and finance team struggling with things like:

    • Limited cash flow visibility:  Not knowing your cash flow requirements is a crucial challenge for small businesses. You probably have manual processes, paper invoices, or nowhere to capture your invoices.
    • Not closing books on time:  Your team works weekends to close books on time because not all invoices get approved on time. The team spends 50+ hours processing matching invoices with purchase orders.
    • Delayed vendor payments: You cannot pay vendors on time because the invoices are not approved, which leads to business disruption.
    • Human Error: Because of manual data entry, mistakes in your system are becoming rampant. Thus making it more difficult to manage your expense management, and even create financial reporting.

    Then, it’s time to consider adopting automated accounts payable software for your business. There are a wide range of accounts payable automation solutions in the market.

    To help you find the best accounts payable software for your business, we have prepared an in-depth comparison of 12 solution providers in the AP automation software category.
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    If you want to explore our cloud-based solution ProcureDesk, we have a team of experts who can walk you through how our software works. Click here to see it in action

    What Is Accounts Payable Software?

    Account payable software automates the accounts payable process from receiving the invoice to paying the vendor.

    AP (Accounts Payable) software increases the AP team’s efficiency by automating invoice capture. It also reduces invoice processing time by automating the invoice matching process with purchase orders and receipts.

    With a payable automation software, the AP team spends less time processing invoices and more time managing cash flow for the company.

     

    What Is An Accounts Payable System?

    An accounts payable (AP) system is a software application that helps businesses manage incoming bills and payments.

    As a centralized platform, it automates many manual tasks usually involved in AP processing, such as receiving, verifying, approving invoices, and making vendor payments.

    As an automation tool, AP systems can help businesses save time, improve efficiency, and reduce errors.

    Here are some advanced features of an accounts payable system:

    • Vendor management: Create and maintain vendor records, including contact information, payment terms, and tax information.
    • Invoice processing: Receive invoices electronically or manually and scan paper invoices to convert them into electronic format.
    • Invoice matching: Match invoices to purchase orders or receipts to ensure accuracy.
    • Invoice approval payable workflow: Route invoices for approval by authorized personnel.
    • Payment processing: Generate and issue vendor payments via check, ACH transfer, or electronic payment card.
    • Reporting: Generate reports on AP activity, such as unpaid invoices, aging reports, and vendor spending.

     

    12 Best Accounts Payable Software For Small Businesses

    1. ProcureDesk

    2. Bill.com

    3. QuickBooks Online

    4. QuickBooks Desktop

    5. Xero

    6. Tipalti

    7. Stampli

    8. AvidXchange

    9. FreshBooks

    10. Sage Intacct

    11. Melio

    12. Netsuite

    Following is an in-depth comparison of 12 different Accounts payable software options. We cover a high-level company overview and the details on the features and pricing.

    1. ProcureDesk

    Pricing starts at $380/month

    ProcureDesk

    ProcureDesk helps small to midsize companies automate their accounts payable process and reduce the time spent creating and matching supplier invoices with purchase orders. It falls under the Best Of Breed Category.

    Pros

    • Strong punch-out support that makes it easier to purchase from different websites without losing any discounts or manually copying and pasting the data

    Cons

    • There is no payment option like many other procure-to-pay systems. That means you can either pay from your accounting system or use a third-party payment platform like Bill.com
    Are you curious to see how a procurement solution can help you improve the procurement process for your company? You might want to explore how our tool works. Click here to see it in action

    Best For:

    Small to medium-sized businesses that are creating more than 50 invoices a month.

    Top Features:

    • Configurable requisitions make setting up a purchase requisition process that suits your specific needs easier.
    • Budget internal controls ensure that you don’t go over budget. Define budgets at a granular level, like account, class, department, etc.
    • Configurable approval workflows ensure that the purchase request is reviewed and approved at the appropriate level. Configure it once, and then forget about your compliance needs.
    • Punchout catalogs to build your marketplace of your top vendors. No need to continuously update price sheets or copy-paste data from the different vendor’s websites. ProcureDesk supports integration with major favorite vendors like ThermoFisher, Fisher Scientific, VWR, and many more.
    • Purchase order automation so scientists don’t need to spend their precious time creating and sending the purchase orders to the vendors. The system automatically sends the purchase orders to vendors.
    • Purchase order tracking allows you to track the order acknowledgment and Advance shipping notice (ASN). Always know the whereabouts of your delivery without chasing the vendors and multiple email follow-ups.
    • Receipts with lot tracking allow you to track granular receipt data. The lot tracking information ensures you know the expiration date of items like reagents.
    • Visibility Into Inventory Levels so that you know the exact quantity of lab supplies you have at any time. Track inventory as per granular locations in your lab.
    • Invoice matching ensures that your Accounts Payable and lab team are not spending time manually matching the invoices with the purchase orders.
    • E-invoicing capabilities ensure that invoices are automatically captured from the vendors—no need to import invoices from emails. The system automatically receives and matches the invoices with the purchase order and sends it to your accounting system.
    • Strong reporting and dashboard that provides cashflow visibility at your fingertips. Know exactly how much you spend on each experiment and forecast future costs.
    • Mobile app support to ensure that you are continuing with the process on the go. No need to be in front of a computer to create, approve, or receive purchase orders and invoices.

     

    Purchase Requisition Management

    While most purchase order software allows you to create a purchase order, growing companies need a process before the purchase order.

    Even though all purchase requests end up with a purchase order, you still need the request approved for cost control and budget management.

    With a purchase request, an employee can request the purchase with an estimated amount and have it approved by the manager.

    Now let’s see how ProcureDesk helps you with purchase requisition management.

    Creating Purchase Request

    The key to an effective purchasing process is to make the requisition process easy for employees.

    You don’t want to take a paper form and make an electronic version. You want to simplify the purchasing experience for your employees.

    With ProcureDesk, employees can create a purchase request with fewer clicks without entering much information.

    The system recognizes the user and then uses that information to set up default values for departments, classes, charts of accounts, projects, class codes, etc.

    Here is an example of how user defaults work:

    Purchase_request_header

    Vendor Catalogs

    The finance team wants a detailed description of everything the employees are purchasing.

    But for employees, it is a pain to type in the long product descriptions.

    Instead, provide them with vendor catalogs that streamline the procurement process. With catalogs, employees can choose what they need to buy with a click.

    Let’s say you purchase office supplies from Amazon.com.

    With the click of a button, an employee can open up Amazon.com, pick what she needs and then send the data back to the requisition. This experience is called vendor punch-out catalogs.

    Here is a sample of the punch-out catalog:

    amazon_purchase_requisition

    And this is how the data gets moved to the shopping cart.

    purchase_requisition_internal_catalog

    In some cases, all you need is a simple list of items that you can purchase from a vendor.

    You can build a simple item list with some basic information enabling employees with similar purchasing experience as the vendor punch-outs.

    Here is how you can curate your catalog in purchasing software:

    Internal_catalog

    Budgets

    ProcureDesk has inbuilt budget tracking & controls so that you can stay under budget.

    It is easy to set up the budget or import from a spreadsheet or a system like QuickBooks Online.

    Budget screenshot

    After setting up the budget, employees can choose the appropriate budget for the purchase.

    The system checks for the available budget and helps you keep the cost under control.

    You can decide how you want the system to proceed if an adequate budget is unavailable.

    For example – show a warning message when the budget is unavailable or block a purchase when a budget is not available.

    Purchase Approvals

    The system automatically assigns purchase approvals. Your employees don’t need to know who needs to approve the purchase.

    You can configure the purchase approvals based on the amount, department, location, budget owners, and much more. You can easily configure your custom approval workflows.

    The system checks the requisition against the purchase approval workflow and then identifies the required approvers for the purchase.

    Here is an example of how the system identifies the purchase approvals:

    In this case, the requester is John, and Mark is the approver who will review the approval request.

    Purchase_order_approvals

    All the employee needs to do is submit the request for approval.

    Once the request is submitted, the system notifies the approver of a pending request.

    The approver can approve from the email without logging into the system or using the ProcureDesk mobile app for approvals.

    Mobile app for approvals
    Mobile app for approvals

    The requester can track the status of the purchase requisitions from the purchase request dashboard.

    Requisition Dashboard

    For example – you can see what requests are pending approval or if the buyer has already issued the order for a purchase request.

    Purchase Order Management

    Once the requisition is approved, you can send the purchase order to the vendor. Purchase order management software automates this process.

    If you have a purchasing team, they might want to review different requisitions to assess cost-saving opportunities.

    You can quickly get quotes from different vendors with the supplier quote module.

    Here is an example of comparing the cost of servers from 2 different vendors.

    Supplier_quotes

    Once you have completed the quote process, you can convert the quote to a purchase order and issue the purchase order to the vendor.

    Here are a couple of ways ProcureDesk helps you manage the purchase order management lifecycle.

    Automated Purchase Order Creation

    You don’t have to worry about converting purchase requisitions to purchase orders with automated purchase order creation.

    This saves time, especially when you don’t have a purchasing or buying team.

    You can identify what suppliers accept purchase orders, and the system can take care of the rest.

    Here is an example of a purchase order that ProcureDesk automatically generates.

    purchase_order_template

    You can customize the purchase order template to include additional fields.

    FREE CHECKLIST: Download our free purchase requisition checklist to help you identify the best software for your business!

    Merging Purchase Request Into A Purchase Order

    Many vendors have a minimum order threshold for free delivery.

    Sometimes, the vendors have tiered pricing where you can get discounts if you purchase more quantity on the same purchase order.

    That is why it is helpful to review the open purchase requisitions and decide if you can merge them into a single purchase order.

    Merge purchase requisitions

    You can save delivery and shipping costs by merging the different purchase requisitions into a single order.

    The other thing to consider is negotiating free shipping with the vendor.

    The vendor might offer you free shipping if you have a higher purchase volume.

    Tracking Vendor Acknowledgment

    Due to the current supply chain challenges, it is more important than ever to keep track of vendor acknowledgments.

    If a vendor doesn’t acknowledge the order, you don’t know when and if they will ship the product.

    There are multiple ways to get order acknowledgment information.

    For example, you can add instructions on the purchase order for sending the order acknowledgment.

    For example, you could set up an email, purchasing@yourcomany.com, where the vendor can send the invoice.

    Purchase_order_email

    The other alternative for the vendors is to use the ProcureDesk vendor portal to provide order acknowledgment.

    Here is an example:

    order_acknowledgement
    Purchase order acknowledgment

    Tracking Order Shipping Information

    With ProcureDesk, you can track the delivery of your order without going to an individual carrier site.

    The vendor can send the ASN (Advance Shipping notice) electronically, or you can enter the shipping information on their behalf.

    Here is an example of how you can track the advanced shipping information:

    Advance shipping notice

    Once you have the tracking information, the system can send you an email notification as and when the status of the package changes.

    Receipts To Confirm Delivery Of The Purchase Order

    Once you receive the product, you receive a supplier invoice. The Accounts payable team can do invoice matching and pay the vendor.

    However, the Accounts Payable (AP) team cannot know if you received the product. If you don’t have a receipt for a purchase order, the AP team needs to get invoice approvals before payment.

    That is why it is important to create receipts to inform everyone that you have received the product.

    Here is an example of a receipt:

    Create Receipt
    Purchase order receipt

    You can create partial receipts enter the serial number and asset tracking information.

    You can also track the expiration of items, for example, for different chemicals or other similar products

    The above features give you a complete order management system.

    Inventory Management

    With inventory management, you can easily track the inventory of stocked items.

    To start tracking the inventory, you first have to identify the items and set up key inventory control.

    For each inventory item, you can manage the following information:

    1. Inventory location
    2. Min and max levels
    3. Re-order point

    Once you have the basic configuration, the system tracks the inventory for you.

    You can upload the inventory of your existing items or let the system update the inventory as and when you receive a new item.

    Here is how you can track the inventory by location:

    Inventory_by_locations

    Once you start tracking information, you can set up automatic rules to re-order items once the item count falls below the set threshold.

    Inventory Consumption

    There are three ways to use ProcureDesk for tracking inventory consumption.

    You can create a release every time you want to use the product. Creating a release reduces the on-hand inventory and tracks who is using the inventory.

    Here is a screenshot of the release.

    Inventory_release

    You can track when it was released, to whom, and for what purpose. You can also track other useful information, like how the employee picked up the inventory item.

    The second option is to create a requisition.

    This process is very helpful when your employees need a single place to request items from the vendors or the inventory.

    When the user searches for the product, she can see the available inventory and then order directly from the inventory.

    The system creates an inventory order and sends it to a buyer to release the inventory.

    When the inventory is released, the on-hand is updated.

    The third option is to do a physical inventory count and then update the data in the system.

    You are doing a physical inventory count at the end of every month. In that case, you can upload the inventory report and update the inventory count.

    Inventory Valuation Report

    An inventory valuation report gives you a snapshot of the total inventory value at any time.

    Suppose you are using ProcureDesk to issue the inventory. In that case, you always have an accurate record of your on-hand inventory.

    Here is an example of the inventory valuation report:

    Inventory_report

    The price of the item can be an average price. You can also use other inventory valuation methods like LIFO (Last In, First Out) and FIFO (First in, First Out).

    Supplier Management

    Is managing suppliers a problem for you?

    Supplier management features can help.

    Supplier management lets you keep track of your supplier information in one place.

    Managing Vendor Information

    With ProcureDesk, all your supplier information is in one single place.

    Suppliers

    You can track key vendor information like Vendor tax details, D.B.A name, delivery locations, and key contacts.

    Suppliers can use supplier portals to respond to requests for quotes, track open purchase orders, and submit invoices against the purchase order.

    The supplier portal enables self-service for vendors, reducing the number of inquiries the AP team receives.

    For example – a supplier can track the status of the open invoice and track the payment status.

    Cost Control Dashboard

    Want to get better cash flow visibility – The cost control dashboard provides you with exactly that.

    With the Spend management dashboard, you can see all your spending in one dashboard.

    For example:

    You can see what you are purchasing, from whom and who is purchasing within your company.

    Spend_dashboard

    You can track monthly spending trends to keep a pulse of purchasing behavior within your company.

    Or you can track the payment terms across the vendors and identify opportunities for negotiating better payment terms.

    Extending the payment terms is probably one of the most important levers in increasing the cash flow.

    Of course, you need good credit history with the vendor for that to happen. That is why it is important to move to an invoicing process so that you can build up the credit history with the vendor.

    As you scale your operations, you will have opportunities to pay the vendor sooner than the agreed terms and avail of any early payment discounts.

    You can review the open order report to track your open commitments.

    An open report gives you a quick snapshot of how many purchase orders are open, what is already invoiced and what is pending to be invoiced.

    You can use this information to plan your spending better.

    Email Invoice Automation

    The first step in accounts payable automation is centralizing the invoice capture process. If you don’t have a central email box to receive invoices, the vendors will send you invoices manually and through the mail.

    Your team then scans those invoices and input the data into your accounting package.

    Here is how to avoid that:

    1. Setup an email box like ap@yourcompany.com
    2. Instruct the vendors only to send invoices to this email. You can do this by printing instructions on the purchase order or providing the vendor onboarding form.
    3. Connect Procuredesk to that email so that ProcureDesk can automatically capture the attachment from the email and create the invoice for you. You can read about invoices from email here.

    All you have to do is to enter the email in ProcureDesk. Here is how to do that:

    OCR (Optical Character Recognition)

    No need to extract the invoice data from the document; ProcureDesk automatically takes care of that for you.

    The system scans the document and extracts the invoice data using AI technology during uploading.

    Unlike other systems, ProcureDesk extracts the granular line level and header level data so that you don’t have to do any data entry.

    The OCR engine extracts and matches the data with the available purchase orders.

    If a purchase order is not available, it is considered a non-PO invoice.

    Here is an example of how the OCR engine extracts invoice data.

    Invoice_PO_3-waymatch

    Automated 3-Way Matching

    After the OCR engine extracts the data, the system matches the invoice with relevant documents.

    Suppose the system finds a matching purchase order. In that case, it automatically matches the invoice lines with the purchase order lines and performs the 3-way match.

    The system would check the invoice against the purchase order and receipt for the material purchase.

    For service items, the system checks the invoice against the purchase order. It then routes the invoice for review by the stakeholder.

    You don’t need to follow up with employees for approval manually. The system automatically sends reminders to respective team members.

    Never Struggle to process invoices

    Invoice Approval Workflow

    With the ProcureDesk invoice approval workflow engine, you don’t have to worry about routing invoices for review and approval.

    Using the customized invoice approval workflow engine, you can create your custom workflow and automate the approval process.

    Whether you need to route rent payments for approval or need someone to approve shipping costs, the system takes care of that for you.

    You can set up workflows based on the following:

    Types of invoices, for example, pre-paid invoices, rents, standard invoices for material and service purchases.

    1. An approval workflow based on the invoice amount and your authorization matrix.
    2. An approval workflow based on the different cost codes, GL codes, etc.
    3. An approval workflow based on the departments.

    These are some examples of how you can set up your workflow.

    Here is an example of how easily you can set up the approval workflow for invoices:

    Setup invoice approval workflow

    Invoice Exception Management

    You can decide how and when to route invoice exceptions for approval with smart invoice exception management.

    Don’t want the system to route every invoice exception for approval?

    No problem - just set up the tolerance levels, and the system would automatically take care of that for you.

    You can also configure if the system should consider shipping and taxes in the invoice exception process.

    Here is an example of how you can set up the invoice matching tolerance for your invoicing process:

    Tolerance_matching

    Electronic Invoices

    Want to make your invoicing process more efficient?

    Then implement electronic invoices with your large trading partners.

    With electronic invoices, the trading partner or supplier sends the invoice electronically using electronic invoices standards like cXML.

    The supplier automatically posts the invoice electronically with an electronic invoice, and there is no email involved.

    The invoice is submitted faster, and that significantly reduces late payment fees.

    When the invoice is processed faster, you can take advantage of an early payment discount.

    You can choose automated matching and processing so that the process is entirely hands-free.

    With electronic invoices, you can reduce the chances of duplicate invoices and duplicate payments.

    All the AP team has to do is to pay the vendor.

    We have implemented electronic invoices with prominent vendors like Amazon, CDA, Staples, Home Depot, to name a few.

    Here is an example of an electronic invoice:

    approved supplier invoice

    Supplier Portal

    Not all vendors can support electronic invoices because they might be small or don’t have the technology infrastructure to support electronic invoices.

    That is why we have a supplier portal. Your suppliers directly create the invoices in the system, and you don’t have to do any data entry.

    With the supplier portal:

    1. Suppliers can submit the invoice against a specific purchase order and upload the invoice document.
    2. Suppliers can check the invoice payment status and remittance details. Your team doesn’t have to spend time answering vendor questions regarding the payment status.
    3. You can get accurate invoice data without entering any invoice data in the system.

    Here is an example of how easily suppliers can create invoices in ProcureDesk’s supplier portal using invoice management software.

    Supplier portal

    Automated Reminders For Missing Receipts

    One of the main challenges with 3-way matching is continuously following up.

    For example, an invoice didn’t match because of a missing receipt.

    The employee didn't create the receipt, and the AP team can't pay the invoice.

    So you have to follow up with team members to ensure that they can create a receipt.

    Depending on how many people you need to reach out to, this could be a painful process.

    With ProcureDesk, we send automatic reminders to your team so that you don’t have to do that.

    Here is an example of an automatic reminder:

    Email_reminders

    You can also send these auto reminders on demand by using the reminder feature that automatically scans the pending invoices that need receipts and informs the stakeholders.

    This is a great feature to use during the month-end process.

    Accounts Payable Dashboard

    Cash flow visibility is essential for businesses of all sizes, so that is why we have an inbuilt dashboard so that the AP team can manage the invoices effectively.

    The accounts payable Dashboard provides complete spend visibility and insight into company purchases.

    For example, we have a dashboard designed for AP clerks to see all pending processing invoices.

    Here is an example of the AP work queue:

    Supplier invoice dashboard

    Sometimes you forget to process invoices, or you want to know what is due when.

    That is when the aging Dashboard is beneficial.

    The aging Dashboard gives you a quick snapshot of what is due based on the supplier payment terms.

    That way, you can plan your cash flow needs for the week, month, and so on. That leads to better cash management and faster payments to the vendors.

    Here is a snapshot of the aging Dashboard:

    Aging dashboard

    Reporting

    With inbuilt reporting, you can see all the pending invoices in the queue, that are approved and where the payment is complete.

    For example, it is month-end, and you want to know what expenses you should be accruing.

    We have a report that shows you all purchase orders received, but no invoice is yet in the system.

    You can follow up with the vendors to get the invoice or accrue the expenses.

    Here is an example of the received not invoiced(RNI) report:

    received not invoiced report

    Now let’s say you want to see all the invoices that are pending approval. There is a report for that.

    Here is a sample invoice pending approval report:

    invoice_pending_approval

    Integration With Accounting Packages

    An Invoice payable software that doesn’t integrate with your accounting package is not of much use.

    With the automated sync, you don’t have to worry about entering the data into your accounting system.

    Once the invoice is approved and matched, the system automatically sends the invoice to the accounting package for payment.

    The system syncs the payment status back so that your employees can see that the invoice is paid.

    We can also directly sync the invoices with payment systems like Bill.com. You can read more about Bill.com integration here.

     

    Pricing

    • ProcureDesk pricing starts at $380/month.
    • The base packages have 10 users and all the key features needed to support your purchasing automation needs. If you need less than 10 users, talk to a product specialist.
    • The base price includes unlimited punchout catalogs.
    • Additional add-ons include Accounts payable, expense management, inventory management, contract management, and supplier management.

     

    2. Bill.com

    Pricing starts at $380/month

    Bill.com is a leading provider of cloud-based software that simplifies, digitizes, and automates back-office financial processes for small and mid-sized businesses. Bill.com customers come from all industries, ranging from startups to established brands and nonprofits to franchises.

    It falls under the payment solution category.

    Pros:

    • Seamless Integration: Users praise the smooth integration of BILL with major accounting systems, reducing duplication of work and eliminating approval steps and payment processing delays.
    • Single Repository for Invoices: The single repository for vendor invoice submission is highly valued, offering unlimited document storage for audit and control review, improving organization and simplifying financial record management.
    • Robust Reporting Capability: Users appreciate BILL’s good reporting capability, allowing them to track and analyze financial data for better decision-making and effective financial management.

    Cons:

    • Limited Report Customization: Some users express dissatisfaction with the limited options for customizing reports in Bill.com, noting that the current customization features are not robust enough.
    • Integration Challenges: Users mention difficulties when integrating Bill.com with other systems, especially with AP systems integrating to Fixed Assets or GL systems, indicating limitations in integration capabilities.
    • Slow Problem Resolution and Support: Several users report slow problem resolution and support response time, expressing dissatisfaction with the perceived lack of prompt addressing of issues by the software provider.

    Best For:

    Bill.com is suited for small to medium-sized companies with limited purchase orders that don’t need a 3-way matching process.

    Top Features:

    • Automated Invoice Approval and Vendor Payments: Bill.com automates the approval process for invoices and facilitates timely vendor payments.
    • Not a Procure-to-Pay System: Bill.com does not function as a procure-to-pay system; it lacks the ability to create and approve purchase orders and perform a 3-way match.
    • Manual Purchase Order Assignment: Users can import purchase order numbers from another system and manually assign them to Bills within Bill.com.

     

    Bill.com automats the process of approving invoices and paying the vendors.

    Bill.com is not a procure-to-pay system, so there is no way to create and approve purchase orders and do a 3-way match.

    You, however, can import purchase order numbers from another system and manually assign a purchase order number to a Bill.

    Bill.com offers the following features for automating the accounts payable process.

    Invoices From Email

    Similar to ProcureDesk, Bill.com allows you to receive invoices on an AP email box and then automatically receive invoices on that email box.

    You don’t have to worry about downloading invoice documents and uploading them into Bill.com.

    Bill.com creates a new email box for you, so you have to ask your suppliers to send invoices to a new email address box.

    When switching providers, this could be an issue because the email box belongs to Bill.com.

    Approval Workflow For Invoices

    Bill.com supports approval workflow for invoices. You can set up a workflow based on departments, invoice amount, and group approvals.

    Here is an example of how you can set up a workflow:

     

    Bill_approval_process

     

    OCR For Data Extraction

    Using Bill.com, you can automatically extract the data from the invoice.

    The data extraction is only limited to the header section. It only extracts the data like invoice #, date, and amount.

    You still have to enter the system's invoice line level data manually.

    2-way sync with your accounting package

    With the 2-way sync, you can sync your invoice data with multiple accounting packages.

    2-way sync means that Bill.com will sync the invoices that are created in Bill.com as well as pull the invoices that get created in your accounting package.

    The Bill.com website mention that they support 2-way sync with QuickBooks, Xero, Sage Intacct, Netsuite, and Microsoft.

    Pay Vendors

    The main feature of Bill.com is payments.

    With Bill.com, you can pay your vendors on time. You pay vendors based on their preferred payment method.

    Bill.com supports electronic payment options like ACH and virtual credit cards.

    You also send checks and send International payments.

     

    Pricing:

    The pricing starts from $49/month for the accounting package.

    Please note that Bill.com also has a transaction fee charged per transaction.

     

    3. QuickBooks Online

    Pricing starts at $350/year

    QuickBooks online is the most commonly used cloud-based accounting software for small businesses. It not only offers accounts payable capabilities but also offers a complete accounting package for small businesses.

    This falls under the category of accounting.

    Pros:

    • Easy to learn and user-friendly interface
    • Seamless integration with third-party applications
    • Accessible from various devices, including phones, tablets, and computers

    Cons:

    • Lack of industry-specific features, such as lot tracking and barcode scanning
    • Limited key reports beyond basic accounting
    • Potential for system instability and crashes

    Best For:

    Tiny companies where one person can enter the bills in the accounting system

    Top Features:

    • Supplier Invoices/Bills: QuickBooks Online refers to supplier invoices as Bills and is designed for use by a single owner or an accountant entering bills into the system.
    • Functionality: The system offers fundamental functionality for bill entry but lacks an approval workflow for supplier invoices/Bills, and there is no OCR capability for automatic data extraction, requiring manual entry of all necessary data.
    • Bill Creation: Users can create bills with minimal information in a straightforward process, assuming bills are approved before entering QuickBooks Online.
    • Purchase Orders: QuickBooks Online allows the conversion of purchase orders into Bills, providing a time-saving feature, and manual matching of invoice data with purchase order data is also supported.

     

    Supplier invoices are called Bills in QuickBooks Online. The functionality in QuickBooks online is fundamental and designed for a single owner or an accountant who can enter the bills into the system.

    The system lacks an approval workflow for supplier invoices / Bills.

    There is no OCR capability to extract the data from the invoice. All the required data needs to be entered into the system.

    Here is what you can do in QuickBooks Online.

    Create An Invoice

    You can create a bill with very minimal information. The bill creation process is very straightforward. The basic assumption is that Bill gets approved before entering into QuickBooks Online.

     

    QuickBooks online bill

     

    Convert A Purchase Order Into An Invoice

    You can also convert a purchase order into a Bill.

    That saves time.

    You can also manually match the invoice data with the purchase order data.

    There are no 3-way match capabilities in QuickBooks online. So you have to check whether an invoice has been received or not manually.

    Pay The Vendor

    QuickBooks does offer the capability to pay the vendors.

    You can automate the payment process by scheduling payments for a future date to match your cash flow. You can also make partial payments.

     

    Pricing:

    The pricing starts at $60, but you can get a 70% discount for the first three months.

    The base package covers up to 3 users.

     

    4. QuickBooks Desktop.

    Starts at $1464 on an annual subscription

    QuickBooks Desktop is the on-premise version of the QuickBooks accounting package.

    QuickBooks Online is a cloud accounting package. However, QuickBooks Desktop is an on-premise software that needs to be installed and managed by you.

    If you don’t have an IT staff, you can use third-party hosting services for QuickBooks Desktop.

    This falls under the category of accounting package.

    Pros:

    • Historically Great Customer Service: QuickBooks Desktop provides excellent and helpful support.
    • Ease of Use for Those with Accounting Knowledge: Recommended for users with accounting knowledge

    Cons:

    • Difficulty in Backing Up and Correcting Mistakes: Challenges in backing up data and rectifying errors potentially affecting the user experience.
    • Pressure to Switch to Online Version: Issues with migrating to the online version suggesting a less-than-ideal approach

    Best For:

    You can compare the two versions here.

    Top Features:

    • Create Bill: Upload invoice document and enter relevant data.
    • Create Bill from Receipt: Acts as a pseudo 3-way match process, eliminating the need for a separate match
    • Pay Vendors: Similar to QuickBooks Online, you can pay vendors using QuickBooks Desktop.

     

    QuickBooks Desktop offers slightly better capabilities than QuickBooks online, but the following limitations remain:

    1. No approval workflow for Bills.
    2. No 3-way match process for automated matching
    3. No OCR for data entry into the system.
    4. Limited access controls. You can't restrict employees only to entering invoices.

    Here are the top features of the QuickBooks Accounts Payable software solution:

    Create Bill

    You can create a Bill by uploading the invoice document and entering the relevant data.

    It is effortless and straightforward, mainly if limited people can enter invoices in the system.

    Create Bill from Receipt

    One of the unique features of QB Desktop is that it allows you to convert a receipt into a Bill.

    That is kind of a sudo 3- way match process. Because you are converting a receipt into a Bill, you don’t need to do a 3-way match.

    Pay Vendors

    Like QuickBooks online, you can also pay vendors using QuickBooks Desktop.

     

    Pricing:

    QuickBooks Desktop pricing starts from $1464/year

    Here is an overview of the pricing:

     

    5. Xero

    Starts at $39/month for Established Plan

    Xero is a business accounting package designed for small companies. It is an excellent alternative to QuickBooks online because it is also a cloud-based solution.

    This falls under the Accounting Package Category.

    Pros:

    • Cloud-Based Convenience: Xero’s cloud-based nature eliminates the need for downloads or installations, providing seamless access to accounting data from any location with an internet connection. This enhances business flexibility and convenience.
    • User-Friendly Interface: With a clean and intuitive design, Xero ensures instant visibility into financial positions. Whether an accounting expert or novice, its user-friendly interface simplifies navigation, making essential tasks efficient and accessible to all users.
    • Connectivity with Advisors: Xero facilitates real-time collaboration with advisors, promoting better financial management. This feature ensures timely advice and guidance from external accountants or bookkeepers, optimizing decision-making processes for businesses.

    Cons:

    • Learning Curve: Despite its relative ease of installation, Xero may have a learning curve for users. Adequate training is recommended to maximize its potential, and although intuitive interfaces and resources are provided, familiarity may take time.
    • Pricing Changes: Recent price increases and the exclusion of built-in payroll from plans require businesses to carefully evaluate costs and features. Aligning selected plans with specific business requirements is essential to avoid unexpected expenses.
    • Basic Requisition and Inventory Management: Xero’s requisition, purchase, and inventory management capabilities are basic, lacking advanced features. Organizations with complex inventory needs may need to explore additional solutions or plugins to supplement these capabilities.

    Best For:

    For companies with minor operations where one person can enter the bills, this is the best solution for you.

    Top Features:

    • Bill Approvals: No in-system approval for bills; external approval required. Integration with systems like ProcureDesk for seamless approval processes.
    • OCR Integration: Currently lacks an OCR engine for extracting invoice data from images.
    • 3-Way Matching: Absence of automated matching for bills to purchase orders and receipts.

     

    Xero is designed for small businesses, so it has similar limitations as QuickBooks online. Here are the few key features that are missing in Xero

    1. No approvals for Bills. You have to have the bills approved outside the system. You can use a system like ProcureDesk for approvals that integrates with Xero.
    2. There is no OCR engine to extract the invoice data from the invoice image.
    3. There is no 3 - way matching of bills to purchase orders and receipts.

    Here are the key features of Xero Accounts payable software.

    Create And Access Bills From Anywhere

    You can easily create and access bills in a single place. With the mobile app, you can easily access the bills from anywhere.

    Schedule Bill Payments

    Xero allows you to create a batch for payment and then export the payment file that you can send to your bank for payment.

    There is no built-in payment feature in Xero.

    xero schedule payments

     

    Related: Unlocking The Full Potential Of Xero Accounts Payable Automation

    Pricing

    Pricing for Xero starts from $7/month but you might want to explore the Established plan as it covers all features you might need in your business.

    They currently offer a 50% discount for 3 months.

     

    6. Tipalti

    Tipalti is the complete payment automation solution that helps automate the manual accounts payable process. The feature and functionality are similar to Bill.com. Tipalti also covers electronic payments.

    This falls under the category of payment solution.

    Pros:

    • Efficient Invoice Processing: Tipalti streamlines the entire invoice processing workflow, making it more efficient and reducing the time required for coding, routing, and approval.
    • Visibility and Transparency: The platform offers complete visibility into all invoices circulating within the organization, providing enhanced transparency for better financial tracking and monitoring.
    • Flexible Payment Methods: With Tipalti, invoices can be paid using various methods, and the system facilitates seamless payments in multiple currencies with just a simple click, expanding global transaction capabilities.
    • Comprehensive Information Capture: Tipalti ensures compliance by capturing crucial information such as W9 & W8-BENE. It also automatically posts all relevant details, including a PDF of the invoice, into the organization’s General Ledger (GL) or accounting system.

    Cons:

    • PO Integration Limitations: Users may encounter limitations in integrating Purchase Orders (PO), leading to delays in the overall invoice processing time as challenges arise in effectively incorporating PO information.
    • Issues with Payment Notifications: Some users may face challenges with the “Payment Notification Email” field in vendor records, as payment notifications may not consistently be sent to the designated email, potentially resulting in communication gaps.

    Best For:

    Tipalti is best for small to mid-sized organizations looking for an integrated accounts payable solution with a payment platform.

    Top Features:

    • Importing Invoices: Tipalti streamlines invoice entry by automatically importing them from emails, with a centralized process to avoid chasing employees.
    • OCR Data Extraction: The system eliminates manual data entry by extracting both header and line-level data from imported invoices using OCR technology.
    • Coding Prediction: Offering automatic coding assignment, Tipalti includes chart of accounts, departments, and approver details, particularly beneficial for non-PO invoices lacking coding information.
    • PO Matching: Users can import purchase orders into Tipalti and utilize the system to match invoices, with added support for tolerance to accommodate variations.
    • Approval Workflows: Multi-tier approval workflows allow routing of invoices to different stakeholders, offering a snapshot of pending invoices and associated images for approvers.
    • Payment Processing: Facilitating batch processing, Tipalti enables users to group invoices for easy tracking of payments to suppliers, providing control over cash flow by allowing the holding of specific invoices or batches.

     

    Here are the key features of the Tipalti accounts payable solution.

    Import Invoices From Email

    With Tipalti, you can reduce the time spent on entering invoices by automatically importing invoices from an email.

    Once you set up the mailbox, the system automatically reads the email and extracts the attachment.

    We highly recommend centralizing the invoicing process to avoid chasing employees for invoices.

    OCR To Extract Data From Invoices

    Once the system imports the invoice, the tool extracts the data from the invoice so that you don’t have to manually key in the data.

    The system supports both header and line-level data extraction.

    tipalti invoice

    Coding Prediction

    With coding predictions, the system automatically assigns the coding to the invoice, including a chart of accounts, departments, and approver.

    This is especially helpful when you are processing non PO Invoices, and the coding information is not available from the PO.

    PO Matching

    It is not clear, but it seems like you can import the purchase orders in Tipalti and then use it to match with the invoice. Additionally, there is support for tolerance.

    Approval Workflows

    With the multi-tier approvals, you can route the invoices for different stakeholders' approval.

    Approvers can easily view pending invoices and the images of the invoices. Here is snapshot of approvals:

    Tipalti_approvals

    Payment Processing

    With payment processing, you can group invoices into a batch so that it is easy to track which suppliers are getting paid.

    You can hold specific invoices or batches and control your cash flow.

     

    Pricing:

    Tipalti doesn’t publish pricing on their website. You can reach out to the vendor to request pricing.

     

    7. Stampli

    Stampli provides accounts payable and payment automation solutions. With Stampli, AP teams can simplify the accounts payable workflow and streamline the workflow.

    This falls under the payment solution category.

    Pros:

    • Seamless interface with accounting software
    • Straightforward invoicing approval process
    • Positive company culture reflected in helpful and dedicated employees
    • Outstanding customer support
    • Valued feedback from the customer
    • Cost of the product is lower than anticipated

    Cons:

    • Difficulty in deleting invoices with errors or duplicates
    • Confusing processes for approval and payment authorization
    • Challenges in filtering out duplicate invoices, lacking a clear method to “hide” these statuses

    Best For:

    Stampli is best for medium-sized organizations that are creating more than 500 invoices a month.

    Top Features:

    • Invoice Automation: Central hub for capturing invoices; suppliers can submit invoices to a central email box, and Stampli reads and captures the invoice document.
    • OCR for Data Extraction: Reduces processing time by extracting data; the AP team reviews extracted data for accuracy, and corrections are remembered for future use.
    • Automated Invoice Coding: Ensures correct charging to chart of account and department; predicts coding based on past use; AP team reviews for accuracy before submitting for approval and payment.
    • Access Control: Granular access control for managing functionality access; AP team can make payments using Stampli or any other system, as it is agnostic to the payment platform.

     

    Following are the key features of the Stampli Accounts payable solution.

    Invoice Automation

    Stampli provides a central hub to capture all your invoices with invoice automation. Suppliers can send the invoices to a central email box, and Stampli reads the invoice and captures the invoice document.

    OCR For Data Extraction

    With the OCR capabilities, Stampli enables the AP team to spend less time processing invoices and more time managing the cash flow.

    The system extracts the data, which then can be reviewed by the AP team for accuracy.

    The system remembers the correction made by the AP team so that it can remember for the next go around.

    Automated Invoice Coding

    With automated invoice coding, the invoice gets charged to the correct chart of account and department. The tool predicts the coding based on the previous use.

    The AP team can then review for accuracy and submit the invoice for approval and payment.

    Access Control

    The tool provides granular access control so that you can easily manage control over who can access certain functionality.

    The AP team can make payments using Stampli or any other system. The system is agnostic of the payment platform.

    Integration With Other Systems

    Stampli offers extensive integration with different accounting and ERP packages. The system integrates with QuickBooks, Sage, Microsoft, SAP, and Oracle. You can see the complete list below by clicking on the link below:

    https://www.stampli.com/accounting-systems-erps

     

    Pricing:

    Stampli doesn’t mention pricing on their website. You have to call the vendor to receive the pricing for the solution.

     

    8. AvidXchange

    AvidXchange offers accounts payable and payment solutions. Companies use AvidXchange to automate the payables process and increase the efficiency of the accounts payable tea.

    This falls under the Best Of Breed category.

    Pros:

    • Efficient Electronic Invoice Submission: AvidXchange’s electronic invoice submission feature has consistently received acclaim for its time-saving capabilities. Users praise its efficiency in eliminating the need for manual sorting and coding of mail, streamlining the entire accounts payable process.
    • Streamlined Approval Process with Comment Logging: AvidInvoice’s commendable ability to log comments or queries has significantly enhanced communication and accelerated the approval process, as noted by multiple reviewers. This functionality facilitates clear communication on invoices, ensuring a timely and smooth review and approval from all relevant parties.
    • Precise Expense Charging with Property Code and Allocation Features: The Property Code and Allocation features within AvidInvoice have been highlighted as valuable by reviewers. These features empower users to accurately allocate expenses to the appropriate entities, even when dealing with multiple properties. Users appreciate the user-friendly process of allocating expenses within their portfolio.

    Cons:

    • Limited Mobile Functionality: Some users have expressed frustration over the absence of a dedicated mobile app or full functionality on mobile devices, such as phones or iPads. This limitation poses challenges to convenience and accessibility for customers who prefer managing tasks through their mobile devices.
    • Inefficient Refund Process: Concerns have been raised about AvidXchange’s refund process for payments rejected by vendors. Users feel that the software initiates refunds hastily, lacking a thorough investigation into the reasons behind vendor refusals. This tendency can result in unnecessary refund processes and subsequent delays.
    • Lack of Customization in Reporting: Several users report dissatisfaction with the reporting feature in AvidXchange, emphasizing a lack of flexibility in customization. Users can only generate either all-inclusive reports or individual reports, rather than having the ability to select specific sections or create customized reports. This limitation constrains users from obtaining the precise information they need through the software’s reporting capabilities.

    Best For:

    AvidXchange is best for medium to large companies looking for an integrated invoicing and payment solution.

    Top Features:

    • Centralized Invoice Processing: Automates invoice capture, eliminating the need to chase approvals for invoices received via email or mail.
    • OCR Data Extraction: Utilizes OCR technology to extract essential data from captured invoice documents.
    • Approval Workflow: Features an approval workflow engine for routing invoices through necessary approvals, with assumed standard workflow capabilities.
    • Vendor Payments: AvidPay, an integrated payment platform, streamlines the process for efficient vendor payments.
    • Integration: Extensively integrates with 210 different systems, as detailed in the complete integration list.

     

    Here are the key features of the AvidXchange platform.

    A Central Hub For Invoice Processing

    AvidXchange automates the invoice capture process so that you don’t have to chase stakeholders for approvals.

    You can receive invoices via email or have the suppliers mail the invoices to a PO box. AvidXchange takes care of paper invoices and automates invoice capture.

    OCR For Extracting Supplier Invoice Data

    After AvidXchange captures the invoice, the system extracts the data from the invoice document using OCR technology.

    Approval Workflows For Routing

    You can route invoices for further approval using the approval workflow engine.

    We couldn’t find much information on the workflow capabilities, but we assume that AvidXchange offers standard workflow capabilities.

    Vendor Payments

    AvidXchange has a payment platform called AvidPay. It is much easier to release payments to the vendors with an integrated payment platform.

    Integration

    AvidXchange has an impressive list of integrations. The vendor mentions that they integrate the system with 210 different systems.

    You can see the complete integration list here.

     

    Pricing:

    AvidXchange doesn’t list the pricing on their website. You have to call the vendor to receive pricing.

     

    9. Freshbooks

    Starts from $6.00/month

    Freshbooks is an accounting package for small business owners. It is designed for very small teams and solopreneurs. The core focus has been to create invoices and get paid faster and quickly. FreshBooks now also has Accounts Payable capabilities.

    Freshbooks falls under the category of Accounting Package.

    Pros:

    • User-Friendly Interface: Freshbooks is ntuitive and user-friendly interface, making it easy to navigate and use.
    • Templates for Various Accounting Needs: FreshBooks offers a variety of templates for different accounting needs, streamlining the process of creating invoices and managing financial documents.
    • Excellent Invoice Features: For small companies, the excellent invoice features are highlighted as a major pro. This includes the ability to create, send, and track invoices efficiently.

    Cons:

    • Confusing Tier-Based Pricing: The tier-based pricing structure, ranging from Lite to Premier, is noted as being a bit confusing. This could potentially be a drawback for users seeking transparent and straightforward pricing models.
    • Integration Challenges with WePay: Users point out that integration with WePay may require a Chase bank account for faster processing. This limitation could be inconvenient for users who don’t have a Chase account or prefer other payment processing options.

    Best For:

    FreshBooks is suited for small companies and business owners. Since the tool is missing key capabilities, we won’t recommend this for anyone processing more than 50 invoices a month.

    Top Features:

    • Limited features in FreshBooks for accounts payable
    • Easy bill creation in FreshBooks
    • Ability to create bills for supplier payments
    • Convenient bill creation through receipt photos
    • OCR for automatic data extraction from receipt images
    • Automated bill creation in the system using extracted data

     

    The features for accounts payable are very limited in FreshBooks.

    Create Bills

    FreshBooks allows you to easily create bills so that you can pay your suppliers.

    You can take a picture of the receipt and upload the bill. You can use this to create bills like internet bill payments.

    Bill_payment

     

    OCR For Data Extraction

    Once the picture is uploaded, the system allows you to extract the data from the receipt and automatically create the bill in the system.

     

    Pricing:

    FreshBooks is very affordable for small business owners.

    The package starts from $6.00/month; there is also an option to customize the package based on your needs.

     

    10. Sage Intacct

    Sage Intacct provides a robust accounting package for small to midsize customers. Customers who overgrow QuickBooks generally migrate to a solution like Sage Intacct. It has strong core financial capabilities, including accounting capabilities.

    Sage Intacct falls under the Accounting Package category.

    Pros:

    • Timekeeping: Sage Intacct provides robust timekeeping features, facilitating accurate tracking and recording of employee work hours.
    • Expense Tracking: The platform allows for comprehensive tracking of expenses, aiding in efficient management and control of financial resources.
    • Project and Action Breakdown: Users can easily break down time entries by actions and projects, enhancing granularity in tracking and reporting.

    Cons:

    • Automatic Date Consideration Issue: While processing bills in Sage Intacct, there is a drawback where the application automatically considers the current date instead of the invoice date, necessitating manual entry to rectify the discrepancy.
    • Possibility of Invoice Duplication: There is a risk of invoice duplication when processing invoices via the Purchase Order (PO) module. The error page does not appear for normal invoices already included in the submitted PO list, potentially leading to unintentional duplicates.
    • Limited Display of Approvers in Vendor Mapping: Despite having an updated Vendor mapping file with a detailed approver list, Sage Intacct may display only the first two approvers on the home page in the vendor mapping tab, potentially causing incomplete visibility into the approval hierarchy.

    Best For:

    Sage Intacct is best for growing and mid-market companies. Companies are using purchase orders and have more than 50 invoices per month.

    Top Features:

    • Create Bills: Upload bills into Sage Intacct, convert purchase orders, or upload bills without a purchase order; manual data entry is required due to the absence of OCR capabilities.
    • Approve Bills: Route invoices for approval in Sage Intacct, with the flexibility to set up different approval limits for various stakeholders.
    • 3-way Match Process: Easily match invoices with purchase orders and receipts, streamlining the process and minimizing data entry errors.
    • Create Payment File: Sage Intacct lacks native payment gateways; instead, generate a payment batch file and send it to the bank for ACH payments.

     

    The following are the features related to the accounts payable software module.

    Create Bills

    You can upload bills into Sage Intacct. You can convert a purchase order into a Bill or just upload a Bill without a purchase order.

    Unlike other systems, there is no capability to import the invoice from an email. You need to manually enter the data into Sage as it is missing OCR (optical character recognition) capabilities.

    Approve Bills

    Once the bill gets created, Sage allows you to route the invoice for approval. You can set up different approval limits to route the invoice to different stakeholders for approval.

    3-Way Match Process

    With a 3-way match process, you can easily match the invoices with the purchase orders and receipts.

    Since Sage Intacct allows you to convert a purchase order to an invoice, it is easy to create the invoices. It also leads to lower data entry errors.

    Create Payment File

    Sage Intacct doesn’t have its payment gateways, but you can create a payment batch file and then send it to the bank for ACH payments.

     

    Pricing:

    Sage Intacct doesn’t provide pricing on their website. You need to contact the vendor to get pricing.

     

    11. Melio

    Melio offers small to medium-sized businesses the ability to streamline their accounts payable process and pay supplier bills.

    This falls under the category of Payment Solution.

    Pros:

    • Excellent customer service
    • Convenient ability to use credit cards
    • Free ACH transfers, providing cost savings
    • Potential for faster transfer times, enhancing efficiency

    Cons:

    • Difficulty in finding the Melio payment ID attached to the payment in QuickBooks
    • Issues with batch processing in QuickBooks Online (QBO) leading to incomplete transfer of important information to the payment

    Best For:

    Melio is best suited for small companies with limited accounts payable and no need to issue purchase orders to suppliers. There is no approval workflow, so the approval needs to be done outside the system.

    Top Features:

    • Create Bills: Melio offers an easy way to upload bills for payment. You can take a picture of the bill and upload it. There is no OCR of the invoice, so you need to enter the invoice data manually.
    • Pay vendors: After the bill is uploaded, you can pay the vendors using credit cards and ACH payments.
    • Sync bills with QuickBooks: The Bills are then synced with QuickBooks so that you can update your books.

    Pricing:

    You can start for free and pay transaction fees for credit card transactions and international transfers.

    Here is the pricing information:

     

    12. Netsuite

    Oracle NetSuite accounts payable (AP) automates the review, approval, and payment of supplier invoices, giving you greater control over the entire procure-to-pay process.

    This falls under the Accounting Package category.

    Pros:

    • Effective automation of customer payment notices through the Dunning notice module
    • Robust support for supply chain management
    • Advanced Manufacturing capabilities

    Cons:

    • Occasional issues with navigation, particularly via the search bar
    • Difficulty accessing certain areas of the system

    Best For:

    Netsuite is best suited for mid-market companies that have outgrown small accounting packages like QuickBooks and Xero.

    Top Features:

    • Accounts Payable Capabilities: Netsuite provides robust accounts payable capabilities tailored for mid-market companies.
    • Invoices from Email: Automatic invoice creation from emails eliminates the need for manual data entry by the AP team.
    • 3-Way Match Process: Netsuite employs a 3-way match process, aligning invoices with purchase orders and receipts.

     

    Netsuite offers robust accounts payable capabilities for mid-market companies. Here are the core features of the accounts payable software module.

    Invoices From Email:

    Netsuite allows you to create invoices from the email automatically. The AP team doesn't need to enter the invoice data manually.

    The system can read the AP email box and then create an invoice. The AP team can then enter the data, review and submit it for matching.

    3-Way Match Process

    Netsuite offers a 3-way match process, so match the invoice with the purchase order and receipt. It matches the data and identifies the exceptions.

    The system can also send the invoice for approval.

    You can define a workflow so that the system can automatically route the invoice for approval to the pre-identified supervisor.

    Support For Payments

    Netsuite allows you to schedule vendor payments and pay using a check, ACH, or credit card.

    You can set up vendor preferences in the vendor master and generate a payment file accordingly.

    Accounts Payable Dashboard

    With the accounts payable Dashboard, you can get a pulse of the accounts payable process in one single snapshot.

    You can see what invoices are due, what purchase orders are open, and what pending invoices need follow-up.

     

    Pricing

    Custom pricing. You need to reach out to Netsuite to get custom pricing for accounts payable.

     

    What To Consider When Choosing An Accounts Payable Software?

    With 100 AP automation software and cloud-based account options, it is not easy to pick the right solution. This guide intends to present you with three different types of options.

    There are three categories of AP automation software.

    Best Of Breed

    The best-of-breed AP automation software is designed only to process AP effectively.

    In other words, they are not general-purpose accounting solutions. The system helps the AP team improve their Key Performance Indicators (KPI) like invoice processing time and on-time payments.

    Accounting Package

    This category of vendors covers general-purpose accounting packages.

    The list includes small accounting packages like QuickBooks and Xero to large accounting systems like Sage and Netsuite.

    Payment Platforms

    Payment platforms are designed not just to process the invoices but also to pay the vendors.

    These solutions are a mix of accounts payable automation and payment solutions.

    A payment platform also has vendor management capabilities.

    The following section will cover 12 accounts payable solutions in three different categories.

    Note: ProcureDesk is our product. We’re proud of what we’ve built. It includes features we would have liked to have ourselves, having previously used a manual paper-based invoicing process. Stop struggling with processing invoices on time and learn how to streamline your accounts payable process. Learn more and schedule a demo.

    Top Features of Accounts Payable Software

    When looking for an accounts payable software to help you improve your business systems, or perhaps make approval of invoices easier, here are some of the features you should be looking for when choosing a business accounting software:

    Automated Invoice Processing

    This feature can automatically scan and extract data from invoices, such as the vendor, invoice date, amount due, and payment terms.

    This can save businesses a significant amount of time and money, as it eliminates the need for manual data entry.

    Invoice Matching And Approval Workflow

    This feature allows businesses to automate the invoice approval process by routing invoices to the appropriate approvers based on their roles and permissions.

    This can help to ensure that invoices are approved quickly and accurately.

    Payment Processing And Scheduling

    This feature allows businesses to schedule payments to vendors electronically or by check. This makes it easier when it comes to the processing of invoices, and even avoiding manual errors.

    This can help to improve cash flow and avoid late payments.

    Vendor Management And Communication

    This feature allows businesses to manage vendor contact information, payment terms, and other important data. Thus, helping nurture vendor relationships.

    It can also help businesses to communicate with vendors electronically, such as by sending them payment remittance advice.

    Real-Time Reporting And Analytics

    This feature gives businesses real-time insights into their AP activity, such as unpaid invoices, aging reports, and vendor spending. This information can be used to make better business decisions.

    Integration With Other Accounting Systems

    This feature allows businesses to integrate their AP system with other accounting systems, such as their general ledger and financial reporting system.

    This can help to streamline the accounting process and reduce errors.

    Mobile Access And Approvals

    This feature allows businesses to access their AP system and approve invoices from their mobile devices. This can help to improve efficiency and productivity.

    Fraud Prevention And Security

    This feature helps businesses protect their financial data from fraud by using features such as two-factor authentication and data encryption.

    Scalability And Customization

    This feature allows businesses to scale their AP system to meet changing needs. It also allows businesses to customize the system to fit their specific workflows.

    User-Friendly Interface

    This feature makes it easy for the accounting team in businesses to use their AP system, even if they are unfamiliar with accounting software.

    Related: Master The Accounts Payable Process: Strategies For Effective Financial Management

    The Bottomline

    We hope this guide was helpful in selecting accounts payable automation software for your company. If you would like to see how ProcureDesk can help with streamlining your accounts payable software, click on the button below to schedule a demo.

    What you should do now

    Whenever you’re ready… here are 4 ways we can help you scale your purchasing and Accounts payable process.

    1. Claim your Free Strategy Session. If you’d like to work with us to implement a process to control spending, and spend less time matching invoices, claim your Free Strategy Session. One of our process experts will understand your current purchasing situation and then suggest practical strategies to reduce the purchase order approval cycle.
    2. If you’d like to know the maturity of your purchasing process, download our purchasing process grader and identify exactly what you should be working on next to improve your purchasing and AP process.
    3. If you’d like to enhance your knowledge about the purchasing process, check out our blog or Resources section.
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