How SMEs Can Leverage AP Automation?

Cashflo’s AI-powered AP automation offers a solution that enables 95% straight-through invoice booking and 100% compliance. With 6-way matching, automated compliance checks, and seamless ERP integration, SMEs can process invoices 4x faster, improve cash flow management, and enhance vendor relationships. By digitizing AP workflows, businesses gain real-time insights, reduce errors, and strengthen financial control, allowing them to compete effectively with large corporations.

Challenges Faced by SMEs in Accounts Payable Processes

• Manual Invoice Processing: SMEs spend excessive time on invoice booking, leading to inefficiencies and delays in payments.
• Compliance Risks: Invoices are often not checked for compliance with GST, MSME regulations, and PAN verification, increasing regulatory risks.
• Decentralized Data: Vendor data and invoices are scattered across multiple sources, making retrieval difficult for audits.
• Inefficient OCR Systems: Legacy OCR technology lacks accuracy, requiring manual verification and increasing processing time.
• Limited Negotiation Power: Due to delayed invoice processing and lack of real-time insights, SMEs struggle to negotiate better terms with vendors.

Affordable AP Automation Solutions for Small Businesses

‍Cashflo’s AP automation offers AI-powered invoice processing designed to make automation accessible for SMEs:

• 95%+ Accuracy in Invoice OCR: AI-driven OCR scans and books invoices instantly, eliminating manual intervention.
• 4x Faster Invoice Processing: Automated 6-way matching (PO, GRN, GST, PAN, e-invoice, and MSME data) ensures compliance without delays.
• Regulatory Compliance on Autopilot: Invoices undergo automated compliance checks, reducing risks related to incorrect GST or PAN details.
• Multi-Level Approval Workflows: SMEs can set up approval chains to ensure invoices are verified before being booked in ERP.
• ERP & WMS Integration: Seamless posting of invoices into mainstream ERPs without manual input.
• Centralized AP Data Lake: Provides a single source of truth for vendor and invoice data, simplifying audits and financial planning.

Leveraging Automation for Improved Vendor Negotiation Power

Cashflo empowers SMEs to build stronger vendor relationships by:

• Faster Payments & Better Terms: Automated invoice processing ensures timely payments, allowing SMEs to secure early payment discounts and better credit terms.
• Transparent Vendor Communication: Real-time tracking and digital workflows reduce disputes and enhance trust with suppliers.
• Data-Driven Decision Making: AI-driven insights help SMEs analyze vendor performance, optimize payment cycles, and strengthen supply chain relationships.

‍Example: How AP Automation Transformed an Indian Manufacturing SME

The Challenge:

‍A mid-sized manufacturing firm struggled with manual invoice processing, leading to delayed payments, compliance risks, and audit inefficiencies. Their AP team spent hundreds of hours on invoice booking, often dealing with compliance loopholes and a scattered document system.
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‍The Solution: By adopting an AI-powered AP Automation tool, they:

• Achieved 95% straight-through invoice booking, reducing manual intervention.
• Processed invoices 4x faster with AI-driven OCR and 6-way matching for compliance.
• Centralized all invoices and vendor data in an AP Data Lake for audit readiness.
• Automated invoice approvals and ERP posting, ensuring seamless financial operations.

The Result:

‍Within months, the firm saw a 60% reduction in AP processing time, improved compliance with GST and e-invoice mandates, and enhanced financial accuracy. 

‍Conclusion:
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At CashFlo, we empower SMEs with AI-driven AP automation to eliminate manual inefficiencies, enhance compliance, and accelerate invoice processing. By leveraging 95% accurate AI-powered OCR, 6-way matching, and automated approval workflows, businesses can book invoices 4x faster while ensuring regulatory adherence. Our seamless ERP integration and centralized AP Data Lake provide a single source of truth, making audits effortless. With CashFlo, SMEs can optimize working capital, reduce processing costs, and focus on growth—without worrying about AP bottlenecks.