Recovery Audit Software …Will pay for itself the First Time you try it
An accounts payable audit is a way of trawling your accounts records and finding out where the problems have occurred in the past – and, as a result, where they are likely to crop up in the future. Needless to say, errors of any kind in your accounts are a mistake you can’t afford to make – especially at the moment, in times of some uncertainty. One of the most common problems is duplicate payments – paying the same individual or group twice for one invoice. This could be down to human error, but it can also happen more deliberately. This is another use of recovery audit software: to prevent fraud and recoup money you have lost unnecessarily, whether through genuine mistake or through dishonest exploitation of the weaknesses in your system.
Estimates vary for the proportions of money wasted by the average business on unnecessary payments, but it often comes out between 0.1 percent and 0.5 percent – that is, between one and 5 invoices per thousand. Needless to say, this can represent a significant proportion of turnover. An examination of three years’ worth of accounts for many businesses can reveal discrepancies that run into three figures. The problem is that the average invoice has so many data fields that it is very easy to enter data inaccurately. In fact, auditors have found that errors of this type turn up in the accounts for every single business whose accounts they have examined.
Depending on the size of your business, accounts errors could be costing you hundreds or thousands of pounds every month, if not more. That means that recovery audit software could net you tens of thousands of pounds clawed back in bad payments. Even if the figure is lower, it is likely to pay for itself the first time you ever use it, and continue to earn its keep in the months and years to come.
Such recovery audit software therefore brings a fantastic return on investment and promises some peace of mind from the problems that human error inevitably brings. Although it is probably impossible to eradicate duplicate payments altogether, an accounts payable audit will go a long way towards this purpose. In an economic downturn or period of poor growth, every method of saving money should be investigated. If checking your accounts can find the money you would have saved by making redundancies, then this has got to be a more attractive option.
Please visit https://www.fiscaltec.com/ for further information.