Best Invoice Automation Software

First up. Why do you need to automate your invoice process? Eliminates manual data entry errors. Speeds up the approval process. Reduces processing times. Saves money. Reason enough? Invoice automation software simplifies your accounts payable process, capturing and managing your invoice data and significantly reducing the cost per invoice…

Download your free eBook… Zero In On Accounting Automation.
What’s the cost of doing nothing? Your business becomes irrelevant. Your competitors leave you standing. You’re done.

In this post, I’m going to list the best invoice automation software on the market. Before the big reveal, let’s do a quick recap of why automating your invoice process is the way forward. The disadvantages of manual data entry. Benefits of invoice processing automation, and more.

What is invoice processing automation?

I’ll give you a brief definition of invoice processing automation. But, if you’d like to learn more, I recently published a guide to invoice processing automation. Take a look.

Invoice automation software reads, analyzes, and captures invoice data. The captured data is then uploaded to an accounts payable system, and matched with the relevant purchase orders and receipts. Once matched, payments are approved and delivered.

Why should I do invoice automation?

Accounts payable teams have to deal with hundreds and hundreds of invoices every month. Depending on the size of the company, the volume can run into thousands. 

These invoices come in many formats – PDF, fax, email, paper – with no guarantee of quality. If your AP team employs manual data entry, processing invoices is a slow and tedious task. Entry errors can lead to late payments, late deliveries, fines, and more.

Running alongside, your AP team having to scale production to deal with the mountain of paperwork and process in a timely manner, is the matter of cost and efficiency. Not to mention team management… trying to keep your workforce happy while they spend hours punching their keyboards. 

Cost | Invoice automation software vs manual processing

• IOFM’s 2021 World Class AP Performance: Efficiency Benchmarking Metrics report states that companies with the lowest process maturity level paid $6.20 per invoice. Companies with the highest process maturity level paid $1.83 per invoice. No invoice automation used.
  
  
• The same report states that companies with end-to-end invoice automation and the lowest level of process maturity paid $3.03. While companies with the highest level of process maturity paid $1.45 per invoice.

Why manual data entry has to end

Late invoice payment is a pain in the a… Yep, I said it.

While a large organization may be able to shoulder the delay. An SME will be hit harder. 

Sometimes the delay is down to the purchaser wanting to keep their money just a little bit longer in the bank. But, many late payments are due to manual processing errors. 

According to Amalto, 61% of late invoice payments in the US are due to invoicing errors.

Issues can arise around slow processing, double payments, fraud, late deliveries, and unauthorized purchases.

Benefits of automated invoice processing

To keep up with competitors. To increase productivity, efficiency, and accuracy. To manage the increasing amount of paperwork. To keep your customers and team happy. 

If you’re in two minds as to whether invoice automation is the way to go, you’re going to fall behind. 

It’s a no brainer...

• Reduce invoice processing time
• Eliminate invoice processing errors
• Increase your team’s productivity
• Reduce labor costs
• Capture data for real-time insights
• Increase compliance and fraud prevention

AP automation software creates a seamless end-to-end process of accounts payable. Including capturing, processing, and recording vendor invoices for transactions, approvals, general ledger posting, document matching, bill payments, and more.

If your accounts payable team are still working with manual processes, it’s vulnerable to invoice fraud. For more information on fake invoices, recognizing red flags, and avoiding being hit by an invoice scam, check out How To Identify Fake Invoices.

Best invoice automation software

Invoice automation software helps your team understand complex accounts payable processes. It can process a larger number of invoices. Eliminate human error. 

To save you time researching, I’ve drawn up a list of the best automated invoice processing software available. There are hundreds of others, and I’ll add more over time. This is a taster.

Ready?

Rossum | AI document processing

The invoice automation software you choose must have an intuitive UI that’s easy to understand and navigate. It should automate accounts payable workflows so that you can cut out manual data entry, convert PDF invoices into digital documents, and it has to integrate with your ERP system.

If it can’t do this, as a minimum, it’s a dud.

Capture invoice data without templates.

Say hello to Rossum!

Rossum’s AI-powered, cloud-native document processing solution brings machine learning, computer vision, natural language processing (NLP), and robotic process automation (RPA) to the table. This will help you pre-process, extract, process, validate, segregate, and sort all your accounts payable documents. It offers…

• 96% average accuracy rate
• 98% of manual work eliminated
• 82% of time saved on validation
• Continuous performance improvement

Features include…

• Template free
• Low code
• Document agnostic
• Customizable and intuitive UI

Accurate data capture

Layout of the invoice changed? Not a problem. Our AI OCR software reads like a human, adapting to changes in style and format.

If you’d like to learn more about OCR technology, take a look at our blog.

Deep learning neural network for accurate invoice data capture and increased automation, even when layouts or style changes.

Simplified downstream process

Cut out time-consuming and inefficient processes. Our invoice automation software will transform unstructured invoices into standardized formats. All invoices are processed according to predetermined policies, to reduce the risk of fraud and noncompliance.

Generative AI is Fueling a Surge in Invoice Fraud… discuss.

Learns from every keystroke

With human-like intelligence, our data extraction engine learns over time, from every mouse movement, hover, and keystroke.

Rossum | Invoice automation software +

While this post talks about invoice automation software, it’d be remiss of me not to mention that Rossum is more. Much more. 

Our IDP platform works across industries – logistics & transportation, manufacturing, retail & CPG, technology, business services/BPOs, healthcare, insurance, construction – able to process the hundreds and thousands of documents these industries have to manage.

Yooz | Purchase-to-pay automation solution

Reduce cost by 80%.

Real-time cloud P2P automation.

Yooz is a cloud-based services that automates the AP process. It delivers savings, speed, and security. Using AI, RPA, and deep learning technologies, it automates every step of your P2P process. From purchase request to payment. It’s designed for mid market companies looking to process about 100 invoices per month.

Features include…

• Approval process control
• Duplicate payment alert
• Fraud detection
• Invoice processing
• PO reconciliation
• Vendor management
• Cash management

Sage Intacct | ERP accounting software

Cloud-based accounting software.

From scale-ups to global enterprises. Best-of-breed, cloud finance software.

Cloud-based ERP accounting system that’s endorsed by the AICPA (American Institute of Certified Public Accountants). A flexible and scalable financial system, it provides AP software and automated AP workflows. It integrates with Salesforce, and will generate streamlined data flows between your CRM and business financials.

This comprehensive invoice automation software has a user-friendly interface and customizable reports from its dashboard. Easy to navigate, and with a strong customer service team, you can increase operational efficiency, manage your IT costs, and identify real-time insights that’ll help you increase your productivity and profitability.

Features include…

• Real-time customizable reporting
• Approval workflows control
• Electronic funds transfer
• Duplicate payment alert
• Dashboards
• Time and expense management
• Project accounting
• Revenue management

Coupa | Invoice management

Streamline accounts payable and improve cashflow.

Introduce e-invoicing to save time and improve accuracy.

Coupa’s source-to-pay solution is designed to increase your operational efficiency by cutting out manual processes. Replacing paper invoices with e-invoices.

Once invoices are matched, they’re paid automatically. Reducing the cost of invoice processing. Automating the invoice process helps you benefit from early payment discounts.

Make data-driven decisions, mitigate risks, and unite departments on company spending.

Make data-driven decisions, mitigate risks, and unite departments on company spending.

• Streamline intake and purchasing process and track in real time
• Create an AP process with automatic two- and three-way matching
• Work with suppliers at purchase order level with fast notification of issues

BILL | Accounts payable automation software

Create, send, and manage invoices, to get paid faster.

Automate the creation, sending, and management of invoices for faster payment.

Leading cloud-based software that uses AI and machine learning to automate back-office financial processes. The more you use BILL, the more it learns from your behavior and improve the efficiency of your bill management.

Targeted towards small and medium-sized businesses.

Features include…

• Invoice processing
• Approval process control
• Cash management
• Duplicate payment alert
• Electronic funds transfer
• Fraud detection
• Purchase order reconciliation
• Vendor management

Quickly generate invoices. Give customers an easy way to pay. Boost cash flow.

Xero | Cloud accounting platform

Work from anywhere with Xero apps.

Xero automates tasks from reconciling bank transactions to sending invoice reminders.

Xero’s online accounting software targeting small businesses, accountants, and bookkeepers. It helps customers visualize their financial position, monitor performance, connect their bank accounts, accept online payments, and perform account reconciliations.

Customers are able to track financial metrics, do cash flow analysis, and file goods and services tax – GST – returns.

Features include…

• Easy-to-use UI for clear financial view
• Automated daily bank feeds
• Interactive credit control to manage outstanding sales invoices
• Track costs and profitability
• Accurate accounting reports

QuickBooks | Invoicing software

Take the manual labor out of invoicing.

Create customized invoices, estimates, and sales receipts to represent your brand.

QuickBooks is an invoice automation software designed to help business across industries. Automating your invoice processing, it saves you time and money, and eliminates errors. You can schedule recurring invoices, sending individually or in batches.

Track outstanding, viewed, or paid invoices in real time. After you mark an invoice as paid, QuickBooks matches the payment with the invoice. 

The software currently supports English, French, Spanish, Italian, Chinese (traditional), and Portuguese. And, uses multi-currency to accept and make payments in more than 145 countries.

Features include…

• Customized invoices
• One click, estimate to invoice
• Track invoice payments processing in real time
• Send automatic reminders

FreshBooks | Invoicing accounting software

Simplify your invoicing and billing and reclaim 550 hours per year.

Ensure accuracy, prove compliance, create detailed financial reports, make informed business decisions.

Invoicing and accounting software developed for small businesses. It automates all your manual tasks such as invoicing and scanning receipts, admin, etc.. It’s easy to use, eliminates human data entry error, and streamlines the your accounts payable workflows.

Features include…

• Tax calculations
• Deposit requests
• Time tracking

Invoice automation FAQs

Free eBook: Cost of doing nothing | Zero in on accounting automation

So, the benefits are clear…

• Fast invoice processing
• Reduced errors
• No delays and late fees
• Improved vendor relationships
• Automated reporting
• Reduced overheads
• Quick ROI and savings
• Happy AP department

Now it’s time to take the leap. Our free eBook – Cost of doing nothing | Zero in on accounting automation – reveals the true cost of doing nothing. Of persevering with manual document processing in accounts payable. It highlights the benefits of accounting automation, questions to ask an IDP vendor in your RFP, and the impact of doing nothing. Our goal is to help you devise an action plan for your business’ prospective AP automation strategy.