Managing purchasing and spending sounds simple – until a small business rapidly outgrows spreadsheets, email threads, and sticky notes. A PO system for small business provides structure, accountability, and visibility to every purchase your organisation makes, helping you control costs, reduce errors, and build stronger supplier relationships. 

By the end, you’ll understand how a PO system transforms purchasing from chaotic to controlled – and how your business can implement one with minimal disruption. 

Back to basics: what is a PO system for small business? 

At its core, a purchase order (PO) system is a structured process – these days most often supported by software like Zahara – that manages the lifecycle of purchase orders from request through approval, issuance, receipt, and invoice matching. It replaces manual, paper-based or ad-hoc approaches with a centralised, transparent workflow. 

A digital PO is simply an official document listing what your business intends to buy, from whom, in what quantity, and at what price. In most cases, once accepted by your supplier, it becomes a legally binding contract. 

Deploying a PO system lets you: 

• Document purchases before commitment 
• Route orders through pre-defined approval steps 
• Track fulfilment and delivery 
• Match invoices to orders before payment 

For small businesses, this means fewer surprises, fewer errors, and stronger oversight over spend. 

Implementing purchase orders for small businesses not only helps ensure a smooth accounts payable cycle but also strengthens supplier relationships by fostering clear communication.

Why your small business needs a PO system 

Even if your business is small, the moment you engage regularly with suppliers a purchase order system becomes a strategic asset, not just a flashy, nice-to-have piece of kit. That’s because even if your purchase volumes are modest, relying on manual processes creates several areas of risk:  

Financial control and budgeting   

Without a PO system, it’s hard to see future spend and outstanding commitments. Purchase orders create financial commitments that are visible before invoices arrive, so you and your finance team can plan cash requirements with confidence. 

When cash flow is tight – as it often is for small businesses – this visibility can be the difference between hitting or missing payments. 

Error reduction 

Manual processes create opportunities for misquoted pricing, incorrect quantities, or missed terms. A PO system standardises PO creation, reducing the errors that lead to delays, disputes or costly rework. It also creates an audit trail that protects both buyer and seller in the event of disagreements. 

Choosing suppliers  

A PO system allows you to track supplier performance over time, giving your business leverage when negotiating pricing, delivery terms, or discounts. You can see who delivers best on time, who consistently underperforms, and who deserves repeat business – all from a central dashboard. 

Faster approvals  

Automated purchase order systems cut out those pesky games of email ping-pong and reduce lengthy approval cycles. A PO system routes requests to the right approver, captures permissions digitally, and archives everything in one place. 

Stronger compliance and internal controls 

When you require POs for all purchases, it becomes easier to enforce things like spend thresholds or pre-approved suppliers. You might be able to see your whole team from your desk but these controls will put everyone on the same page when it comes to how much to spend and who to buy from. External auditors also like the structured documentation that a PO system provides. 

Forecasting and cash-flow accuracy 

Because POs represent future spend, they help finance teams forecast obligations more accurately, meaning fewer surprises at month-end or quarter-end close.  

Fraud prevention and spend protection

A structured PO process is also a practical defence against fraud. Requiring approved purchase orders before spend occurs reduces the risk of unauthorised purchases, fake suppliers, and invoice fraud. Every request is logged, approved, and matched back to an invoice, making it far harder for suspicious activity to slip through unnoticed.

With clear approval workflows, defined spend limits, and an auditable trail, a PO system helps finance teams spot anomalies early and challenge transactions that do not look right. This is especially important for small and growing businesses, where limited resources can make fraud more damaging.

For a deeper look at common fraud risks and how finance teams can reduce exposure, see Zahara’s PDF guide on combating fraud, which outlines practical steps to strengthen controls and protect your business.

Core features of an effective PO system for small business 

Understanding the why is important but, you also need clarity on the what. Here are the essential features that any modern PO system for small business should include: 

Centralised purchase order creation 

The ability to create POs with pre-populated supplier and product data saves time and reduces manual entry errors. 

Automated approval workflows 

Set up rules so that purchase orders are automatically routed to appropriate approvers based on spend thresholds, department, or vendor. 

Real-time tracking  

You’ll know where each PO stands. Pending approval, sent to vendor, partially fulfilled, fully delivered, or invoiced, you’ll see it all in real-time at a glance. 

Invoice matching 

It will match invoices to purchase orders to ensure you only pay for what was ordered and received. This reduces overpayments and fraud risk. 

Integration with accounting and ERP 

A good system will seamlessly link your PO system and accounting software ensuring that commitments and actual spend post correctly without manual re-entry. 

Reporting and analytics 

Track key metrics such as spend by supplier, approval cycle times, budget variances, and order accuracy to support smarter decision-making. 

Common ways small businesses traditionally manage POs (and where they break down) 

Before adopting an automated PO system, many small businesses rely on improvised solutions. Does any of this ring a bell?  

Spreadsheets 

Spreadsheets are useful and flexible but fragile. Version control issues, manual errors and lack of real-time visibility quickly become problems. 

Email-based approvals 

Approvals via email may feel quick, but they are hard to audit and easy to lose. Finance teams often spend hours chasing confirmation. 

Accounting software alone 

Basic accounting tools can record POs, but they rarely manage approvals, receipts or invoice matching effectively. They aren’t designed for the kind of control an automated system gives you.  

These approaches tend to fail not because teams are careless, but because the tools were never designed to support growing business needs. They are also legacy ways of doing things, suitable ten or twenty years ago but now a thing of the past.  

How does a PO system for small business work? 

While implementations vary, most PO systems follow a consistent lifecycle. 

Purchase request 

You or an employee raises a request to buy goods or services within the system. This request includes key purchase info like:   

• Supplier name 
• Description of goods or services 
• Quantity and price 
• Required delivery date 
• Cost centre or account code 

With Zahara, this is done digitally rather than via email or spreadsheets. 

Approval workflow 

The request is routed automatically to the correct approver based on:  

• Department 
• Spend threshold 
• Type of purchase 

This step is critical for enforcing spending policies without slowing the business down. It’s also where you win back control on spend.  

Purchase order creation 

Once approved, the system generates a formal purchase order with a unique PO number. This is sent to the supplier as a clear, binding document.  

Goods or services receipt 

When items are delivered or services completed, receipt is recorded in the system. This creates an important checkpoint before payment. 

Invoice matching and payment 

In any automated PO system worth its salt, supplier invoices are matched against the PO and receipt, often called three-way matching. If everything aligns, the invoice can be approved for payment with confidence (and yes, Zahara does this).  

Common challenges and how to overcome them 

Even with a clear set of aims, implementing a PO system for small business can encounter problems. Here’s how to address common obstacles: 

Resistance to change 

Staff accustomed to your old informal processes can resist the discipline a PO system introduces. Overcome this with targeted training and by showing how automation removes tedious work, ultimately empowering them.  

Supplier pushback 

Some suppliers may be unfamiliar with PO-based ordering. You need to show them the benefits: clearer expectations, faster payments, and reduced disputes. Ultimately a PO system is good for both parties. This should be at the core of your message.  

Data Clean-up 

Migrating supplier and inventory data into a PO system can be messy. Start with your most active vendors and build out incrementally. You can also use this as a chance to spring clean. Remove any data that’s no longer needed and cull all duplicates.

Measuring ROI: how a PO system pays for itself 

One of the most common questions you’ll ask about all this is: will an automated PO system be worth the investment? The short answer is yes – and often within the first year. Here’s how a PO system delivers quantifiable ROI: 

Time saved on manual tasks 

As we mentioned above, automated purchase orders eliminate repetitive steps like chasing approvals, matching invoices manually, and reconciling paper records. This saves valuable staff hours that can be redeployed to higher-value work. 

Reduced errors and cost leakage 

Fewer mistakes mean fewer expensive corrections, late fees, or duplicate payments. Good PO systems dramatically cut down on these costly errors. 

Better budget control 

When spend is visible and planned in advance via POs, small businesses can avoid budget overruns and make faster decisions on where to allocate capital. 

Fewer supplier disputes 

Clear documentation and automated matching reduce disputes, meaning fewer administrative delays and stronger supplier relationships. 

We know this is all conjecture until you start to see the real numbers, so we’ve developed our own ROI calculator. It’s designed to quantify the benefits of moving from manual purchasing to an automated PO system.  

You plug in your own data and see the projected savings in time, error reduction, and financial control over a 12–36 month period. You can find that here.  

Best Practices for implementing a PO system for small business 

Start with clear policies 

Technology should enforce policy, not create it. Define approval rules and spend limits first.   

Keep it simple 

Over-engineering just creates more problems. At base, this change in processes should make your life easier. Focus on the core workflow and get that right before adding layers of complexity.   

Train teams briefly but clearly 

We’ve all sat through horribly long meetings. They might have even been the reason you chose to strike out on your own. Keep your training short and sweet. It’ll dramatically increase goodwill for your new systems.  

Review and refine  

Use the in-built reporting functions to identify bottlenecks and snags in your workflow. Then adjust over time. A workflow shouldn’t just stay the way you made it forever. As your business grows, it should grow too.  

Final thoughts: choosing the right PO system for small business 

Procurement may not be the most glamorous part of running a business, but it is one of the most important. A PO system for small business converts purchasing from an administrative burden into a structured, strategic process.  

Improved accuracy, vendor performance, cash flow visibility, and operational control can all be yours with a well-built system. We know we’re biased, but we think Zahara is that system.  

We’ve developed it in conjunction with its users, building our software from the ground up to answer to real-world problems. The result is a system that does exactly what you need it for: just PO approvals and invoice processing with no unnecessary hassle.  

If you want to see that software in action, you can book a demo. If you’d like to know more, you can also book a call with one of our experts. We’d love to hear from you.  

The post PO System for Small Businesses appeared first on Zahara Accounts Payable Automation Software.

Accounts payable outsourcing is a business practice that involves using a third-party vendor to manage processes related to invoices and bills. The services offered by these vendors can vary but generally include functions such as invoice capture, purchase order (PO) matching, processing payments, archiving records, and generating reports.

While outsourcing can provide many benefits, it’s essential to weigh these against potential vulnerabilities based on your unique situation.

Most companies considering accounts payable outsourcing face one or more of the following challenges:

1. Overwhelmed AP Team
   It’s common for accounts payable departments to become overwhelmed by their workload, particularly during periods of rapid business growth when invoice volume increases. This can strain your AP staff, especially if they are relying on paper-based processes, manually entering data, chasing down approvals, and handling heavy PO-based tasks. Each additional invoice increases the workload and can reduce overall productivity.
2. High Invoice Processing Costs
   As discussed in a previous blog post, manually processing a single invoice can cost up to £20+. If your workflow is inefficient—due to uncooperative vendors, excessive back-and-forth communications for invoice verification, or other issues—the costs can escalate quickly. Consequently, upper management may seek to explore all options for reducing these invoice processing costs, including outsourcing.
3. Lack of Controls in the AP Process
   While mistakes are unavoidable in any manual process, duplicate payments can be costly. According to reports, approximately 0.1% to 0.05% of paid invoices are typically duplicates. Depending on the size of your business, this can lead to hundreds, thousands, or even millions of dollars lost due to these duplicate payments when proper controls are absent. Additionally, missed or late payments create extra work for your staff as they attempt to rectify errors, further decreasing the time available for other accounts payable functions.
4. Deteriorating Vendor Relationships
   Vendor relations should be approached with a customer service mindset. Vendors may withdraw contracts if they encounter difficulties working with your business. Situations such as missed due dates or non-payments can lead vendors to contact the accounts payable department repeatedly for payment status, taking valuable time away from AP tasks. Any delays in payments can harm your relationship with vendors, who may resend invoices through various means, increasing the risk of duplicate payments.
5. Preference for Outsourcing Rather than Hiring More AP Staff
   Financial leaders often worry about the overhead costs associated with hiring additional full-time employees. They may also lack the time to recruit new staff or have concerns about employee turnover. These factors can make outsourcing all or part of the accounts payable function an attractive alternative, even if it translates into another invoice.

Overall, assessing these issues can help in deciding whether accounts payable outsourcing is a suitable option for your organisation.

Efficiency isn’t just an advantage. It’s a necessity. Increasingly, businesses are outsourcing accounts payable (AP) to achieve it. Why AP? Because it’s a time-consuming, error-prone operation, but it’s also a crucial one.  

Getting the most out of your accounts payable process can save you money, improve your supplier relationships and free up internal resources to focus on core strategies.  

This article covers how accounts payable outsourcing services can transform your workflows and drive operational excellence across your business. We’ll look into top outsourcing services, what to think about before implementing them, and pitfalls to avoid.  

Why businesses are turning to accounts payable outsourcing 

Businesses outsource accounts payable for efficiency. Managing AP in-house can be time-consuming, prone to errors, and expensive. Outsourcing offers a streamlined alternative, allowing companies to leverage the expertise of third-party providers equipped with top-of-the-range automated tools and standardised processes. It’s a shift up from having your finance department labour over tired old manual processes.  

With outsourced AP, you gain the highly professionalised eye of a specialist. They analyse your accounts and present data in ways that give you real-time visibility into the payables end of your financing, ensuring better cash flow management and stronger supplier relationships.  

Through outsourcing a business can streamline operations, minimise the risk of errors or fraud with advanced technologies and best practices, aid scalability, staff fluctuations and more.  

Outsourced AP also helps navigating complex compliance issues and regulatory requirements by putting them in the hands of people who make a living untangling red tape.  

Another highly praised benefit is that outsourcing accounts payable reduces processing costs and cycle times. 

How accounts payable outsourcing saves time and reduces costs 

This is two-fold. By delegating invoice processing, payment scheduling, and vendor communication to a third party you free up your own staff. The time they used to spend crunching numbers can now be driven into saving you money, or making it.  

Time and cash savings on your end are backed up by the service you’ll be getting from your outsourced AP. The company handling these processes for you should use advanced automation tools and established workflows that minimise manual errors, accelerate invoice approval cycles and ensure timely payments.  

That means no more worries about late-payment fees, duplicate payments from manual errors will be reduced – Even the chance of fraudulent invoices slipping through your system is slashed to near zero.  

Accenture 

Accenture is a global leader among accounts payable companies. They offer robust AP solutions with automation, AI-driven insights, and seamless integration with ERP systems. 

IBM 

IBM leverages its AI platform, Watson, to deliver efficient and compliant AP solutions with a strong focus on automation, cloud integration and fraud prevention. 

Capgemini 

With deep experience in finance transformation, Capgemini delivers AP outsourcing that integrates well with enterprise systems and supports global compliance requirements. 

Genpact 

Known for its digital-first approach, Genpact provides intelligent AP services using machine learning, real-time analytics and scalable workflows for businesses of all sizes. 

Infosys BPM 

Infosys Business Process Management offers agile and customisable AP services, including real-time reporting, automation, and strong vendor management capabilities. 

What to expect from accounts payable processing services 

When considering accounts payable (AP) outsourcing, it’s crucial to explore solutions that align with your needs. Here’s what you want and what you want to avoid.  

Core features to look for 

Effective AP outsourcing solutions go beyond simply handling payments – they use high-end tech to streamline the entire accounts payable process. Key features of these solutions include: 

• Invoice capture and OCR 

• 2/3-way matching 

• Vendor portal integration 

• Approval workflows and automation 

• Real-time dashboards and reporting 

• Fraud detection and compliance tools 

Automated invoice capture with OCR (Optical Character Recognition): This technology automatically scans and captures key data from invoices, eliminating the need for manual data entry. OCR helps improve accuracy and processing speed, reducing the risk of human error and freeing up valuable staff time. 

2-Way and 3-Way matching: This key feature of invoice processing software ensures that the details on an invoice match purchase orders (PO) and receipts. With 2-way matching, the invoice is checked against the PO, while 3-way matching also includes the goods receipt, ensuring all parts of the transaction align before payment is made. This minimises the chances of overpayments or fraud. 

Vendor portal integration: Many AP outsourcing solutions offer a vendor self-service portal, allowing suppliers to submit invoices and track payment status. This not only improves communication and relationships with vendors but also reduces the workload for your internal team, as they don’t have to manually chase down missing invoices or answer vendor inquiries. 

Customisable approval workflows: These solutions provide the flexibility to tailor approval processes according to your company’s specific needs. Approvals can be set at various stages (e.g., for different departments or levels of authority), helping ensure compliance and smooth processing while reducing bottlenecks. 

Real-time reporting and dashboards: Even though you’ve outsourced your AP, you’ll still want to see what’s going on with your finances. Outsourcing should give you real-time insights into your AP operations. This feature allows businesses to track payment status, view outstanding invoices, monitor cash flow, and identify trends that can help optimise cash management and forecasting. 

Together, these tools help businesses reduce manual tasks, improve operational efficiency, minimise errors, and increase visibility into their financial processes. These essential tasks allow companies to enhance cash flow management, avoid payment delays, and maintain stronger financial controls. 

Red flags 

• Lack of transparency   

• Limited integration   

• Poor customer support or inflexible service models 

On the flip side, avoid solutions that lack transparency, don’t support integration, or offer limited customisation. The right AP outsourcing solution not only streamlines operations but should also just make your life – or the lives of your finance teams – easier.  

Should you outsource your AP function? What to consider 

Ultimately, making the decision to outsource AP requires thorough cost-benefit analysis and risk assessment. When chewing this over your top priority will likely be cost savings, but don’t just go for the money.  

Outsourcing AP is about more than cost savings. Improved efficiency and access to expertise can be valuable too, so make sure to factor that in.  

Consider the complexity and volume of your transactions, the reliability and reputation of potential vendors and how outsourcing aligns with your overall business strategy. Data security, compliance, and integration with your current systems are also vital concerns.  

We’ve often told people it’s worth evaluating the potential loss of internal control versus the benefits of automation and scalability. So, think about where your business is now and where it’s heading.  

Outsourcing is not a one-size-fits-all type job. You need to make it fit with your business needs and the constraints of the business landscape.  

Comparing AP services providers: what sets the best apart 

The best stand out through a combination of advanced technology, scalability, and strong customer support. Top accounts payable outsourcing companies will offer automation tools that streamline invoice processing, ensure compliance and reduce errors. Bonus points if their platforms integrate easily with your existing business systems and provide real-time reporting and analytics.  

Security and data protection are paramount, you don’t want to invite a data breach. Leading providers will also deliver flexible, customisable solutions tailored to your business and should be backed by responsive, knowledgeable support teams.  

As with most services, a proven track record goes a long way. Check out client testimonials – both positive and negative – to help distinguish the best in the field. 

Insights

Insights

Martin Peirce

Founder and CEO

AI, is opening up huge opportunities. It’s not just a buzzword — it’s already helping me work smarter. From writing code to researching ideas or even figuring out the best way to plaster a wall (which is harder than it looks, by the way), I’m seeing firsthand how it can improve how we live and work. And that’s the goal: to make life better.

At Zahara, we’re building software that people genuinely enjoy using. Tools that simplify, save time, and help people focus on what matters most — whether that’s bigger business priorities or simply enjoying a bit more free time at the end of the day.

AI, in particular, is opening up huge opportunities. It’s not just a buzzword — it’s already helping me work smarter. From writing code to researching ideas or even figuring out the best way to plaster a wall (which is harder than it looks, by the way), I’m seeing firsthand how it can improve how we live and work. And that’s the goal: to make life better.

Is accounts payable outsourcing right for your business? 

Determining if AP outsourcing is right for your business depends on your operational needs, growth plans, and resource capacity. If your AP process is time-consuming, error-prone or struggling to scale, outsourcing can offer cost-effective solutions through automation, expert support, and improved compliance.   

It’s ideal for businesses seeking to reduce overhead, increase efficiency, and focus internal teams on strategic tasks. However, consider data security, vendor reliability, and the ability to integrate with your existing systems.  

A thorough analysis of the advantages of outsourcing accounts payable against the costs, risks, and long-term benefits will help you decide if AP outsourcing aligns with your business goals. Consider what accounts payable services you might need. Where do your weaknesses lie and what can be done to fix them? 

A word from Zahara 

So, how do we know all this? We’ve been building, selling and perfecting accounts payable automation software for a long time. We don’t handle outsourcing, but we do provide the kind of technology the company you outsource from should be using: the automated stuff. 

This isn’t a hard sell – we hope you’ve found our blog useful – but if you’ve got to the bottom and not made up your mind, you could consider automating. It brings you most, if not all, of the benefits of outsourcing and could be a solid alternative if you’re not ready to take the leap.  

If you’d like to know more you can read about it here. You could also book a free demo or schedule a call with one of our experts. We’d love to hear from you. 

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The post Accounts payable outsourcing   appeared first on Zahara Accounts Payable Automation Software.

In this article we’ll look at accounts payable automation best practices and the common mistakes you need to avoid when rolling out an accounts payable automation job.  

Understanding accounts payable automation 

If you’re going to automate, you best know the basics. With that in mind, here’s a short explainer on the more salient points.  

In short, accounts payable (AP) automation refers to the use of technology to streamline and digitise the payables end of a company’s finance operations.  

Traditionally, accounts payable processes have been manual and paper-intensive, involving physical invoices, data entry, approvals, check writing and a lot of man hours.  

With automation the whole process is overhauled. Using software like Zahara, you can now digitise and streamline AP from top to bottom. Replacing the manual steps with digital workflows improves accuracy, efficiency, and visibility, among other benefits we’ll get into below. 

AP automation software captures invoice data digitally – often using OCR software (optical character recognition) – and uses AI to read the information. It then routes the data through predefined approval workflows. Once approved, payments can be scheduled and executed automatically, with just a few clicks. 

This reduces the risk of human error, missed payments or fraud, and generally makes the process much smoother and simpler. 

Benefits of AP Automation for Businesses 

Facts: Automation leads to significantly quicker invoice-to-payment cycles.  

Enterprises using digital payables platforms experience an 81% reduction in AP costs and 73% faster processing cycle times 

Business Insider  

A key benefit of AP automation is time saved. Your tired manual processes can take days to process an invoice, while automated systems process them in minutes. Control will be improved too: Approval workflows are a major part of automation and give management better oversight on spends.  

Digital audit trails feed into this. If an errant employee has their hands in your piggy bank, their schemes will be stuffed by your approvers’ new oversight. Those same audit trails will show up leaks in your books, protecting you from fraud and showing past fraud up.  

Additionally, real-time dashboards and reporting tools help your finance teams monitor cash flow, identify bottlenecks and make informed decisions about your finances. 

Cost reduction is another major advantage. Automation cuts back paper use, postage, late fees and labour costs. Vendors also benefit from faster, more reliable payments, which can strengthen business relationships. 

Ultimately, accounts payable automation is not just about speeding up invoice processing. It’s about transforming a back-office function into a strategic asset. By adopting AP automation, organisations gain control, reduce risk, and position themselves for scalable growth.  

Insights

Insights

Martin Peirce

Founder and CEO

AI, is opening up huge opportunities. It’s not just a buzzword — it’s already helping me work smarter. From writing code to researching ideas or even figuring out the best way to plaster a wall (which is harder than it looks, by the way), I’m seeing firsthand how it can improve how we live and work. And that’s the goal: to make life better.

At Zahara, we’re building software that people genuinely enjoy using. Tools that simplify, save time, and help people focus on what matters most — whether that’s bigger business priorities or simply enjoying a bit more free time at the end of the day.

AI, in particular, is opening up huge opportunities. It’s not just a buzzword — it’s already helping me work smarter. From writing code to researching ideas or even figuring out the best way to plaster a wall (which is harder than it looks, by the way), I’m seeing firsthand how it can improve how we live and work. And that’s the goal: to make life better.

Key considerations before implementation 

Automation can deliver significant benefits, but only if implemented with a clear understanding of current needs and limitations. Before diving into accounts payable automation, step back and carefully assess several key factors. When asked about accounts payable automation best practices, these are the questions we fire back:  

What are the pain points in your current AP process? 

Start with a thorough review of how your AP function currently operates. Identify bottlenecks, repetitive tasks, error-prone steps, and manual dependencies. In short, understand your pain points.  

Knowing this guides your choice – and customisation of – an automation solution that solves real problems.  

What are your budget and ROI expectations? 

Implementing AP automation requires an upfront investment – not just in software, but in training and integration too. 

Set a realistic budget and define what your ROI looks like. Consider cost savings from reduced processing time, fewer errors and improved vendor relationships. 

But remember benefits don’t just come in cash form. If they don’t have to file invoice after invoice, your finance teams will have more time on their hands. What are they going to do with it?  

-What integration requirements do you have? 

Your automation software must integrate with your existing accounting system. Good AP automation software, like Zahara, will integrate with all major accounting programmes (QuickBooks, Xero, Sage etc.) but you also need to evaluate whether APIs, plugins or manual workarounds will be needed.  

Ensure your IT team is involved in these discussions early on, they can be a major asset in dissecting these problems.  

What are your security and compliance needs? 

Handling financial data digitally requires risk management. Make sure your AP solution complies with relevant regulations (like Making Tax Digital for the UK, tax law, etc.), and look out for accreditations that prove the software you’re integrating is reliable.  

To use Zahara as an example again, these would look like our Cyber Essentials Plus certification and a guarantee of regular security tests by third parties.   

Sources: Gov.co.uk/cyberessentialsplus, Microsoft, Acronis, Google Cloud 

How is this going to change operations? 

  
Automation will impact how your finance team works. How will you handle that? We often hear about internal resistance to change coming with automation. Have you considered roles for people who now have more time on their hands? Who will take on responsibility to approve payments? 

Accounts payable automation best practices for a successful roll-out  

Successfully implementing AP automation requires more than just picking out software. To unlock its full benefits you have to approach implementation the way a field marshal regards tactical maps: with a clear mind for strategy and steely eyes for deliberate action.  

The following best practices are things we’ve learnt on the way, and should provide a practical, road-tested map to smooth roll-out and long-term success. 

Set clear objectives from the start 

Define what success looks like. Are you aiming to reduce invoice processing time by 50%? Improve early payment discount capture? Eliminate manual data entry and the errors that come with it? Are you trying to control spends with purchase order software? 

Make your objectives specific and measurable. This ensures that your implementation stays focused and allows you to evaluate its success post-deployment. You can also align these objectives with broader business priorities such as cost control, supplier satisfaction or compliance. 

Engage the right stakeholders early 

Roll-out isn’t just about your finance department. Getting the whole crew on board is key to successful AP automation. Include brains from procurement, IT, compliance – even key vendor partners – into your decision making. Each stakeholder group brings valuable insight into how invoices are handled from purchase order to payment, and all of them will be affected by automation.  

All-round collaboration helps identify potential integration issues, process gaps and user needs, before they become problems. It also gives stakeholders plenty of time to adjust to the idea of change.  

Choose the right solution for your business 

Not all AP automation software is created equal. When evaluating platforms, look for features that align with your business size, complexity and growth ambitions. Don’t forget to consider the external business environment either.  

As for the specifics of the software, you’ll be looking for something that does:  

• Optical character recognition (OCR) and AI-powered data capture 

• Customisable approval workflows 

• Integration with your existing ERP or accounting system 

• Real-time reporting and analytics 

• Cloud-based access with robust security 

You want to know what you’re buying, so request demos. Quiz vendors about support and scalability. User reviews and endorsements will also make your decision more informed.  

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Book a demo

Prepare and cleanse your data 

Poor data quality can sabotage even the best AP automation platform. Before going live scrub up your vendor database: remove duplicates, ensure accurate banking details, standardise naming conventions, verify tax information.  

Establish clear invoice requirements with your suppliers as soon as possible – automation will affect them too. Send them an invoice template if you have one. If not, inform them that info like PO numbers, dates, line-item details and such will soon be mandatory on invoices.  

Start with a pilot program 

Rather than launching company-wide from day one, ease in with a pilot phase. Select a few departments or vendors with high invoice volume and relatively simple approval processes.  

Use this pilot to test the system, identify process quirks and gather user feedback, then make necessary adjustments. A well-executed pilot builds confidence among users and can serve as a blueprint for full implementation. 

Train and support your team 

We often hear that one of the hidden issues with automation is resistance to change. To make the adoption of this new tech easier on your staff, drive home the positive changes it will produce and get them on board early.   

Comprehensive training should be undertaken and tailored to different user roles so that everyone is comfortable and competent.  

Include live demos, hands-on sessions and user guides. Make sure there’s accessible support during and after the rollout to help with questions and troubleshooting. Encourage an open feedback loop – it will make staff feel understood and aid continuous refinement of the system, which brings us on to our final point… 

Monitor, measure and optimise 

Implementation doesn’t end at go-live. You’ll still have control over workflows and processes so look for ways to optimise these. Establish key performance indicators (KPIs) to monitor the system’s effectiveness over time. Common KPIs include: 

• Invoice processing time 

• Number of exceptions or errors 

• Percentage of invoices processed straight-through 

• Early payment discount capture rate 

Use this data to identify areas for refinement. These might be things like optimising approval routing or reducing manual touchpoints. Regularly review reports and seek user feedback to continuously improve both the tool and the processes it supports. 

A few extra thoughts 

Implementing AP automation is a transformative step for any business, but it must be treated as a strategic project, not just a purchase. If accounts payable automation best practices and carry out careful planning, stakeholder involvement, and ongoing evaluation, you can significantly streamline your business’ accounts payable function and reap some major rewards for doing so.  

Common mistakes to avoid 

Many businesses stumble during implementation by overlooking key details or rushing the process. Avoid these common mistakes in your rollout: 

Rushing implementation without proper planning 

Don’t treat AP automation as a quick fix. It’s a strategic project, so plan like you would for any other. Skipping process mapping or failing to assess current workflows can lead to flaws in your automated system.  

Zahara top tip: Take time to document invoices flow in your current system and how that will translate under automation. 

Underestimating training needs 

Even intuitive platforms require training. Don’t assume that users will adapt on their own. Without adequate onboarding, staff may misuse features or revert to manual habits.  

Failing to monitor and adjust post-launch 

We said it earlier, but automation isn’t a set-and-forget event. Review system performance regularly to tweak it into perfect shape. User feedback and key metrics will be your best friend here.  

Automating broken or unnecessary processes   

Don’t attempt to automate every part of your existing AP process without first questioning the relevance of each step. Many businesses do, and end up digitising inefficiencies rather than eliminating them. Your goal is an efficient accounts payable process. Automation should simplify and improve – not just replicate – the old manual methods. 

Choosing a tool based on price alone 

Shopping for an AP automation solution is like shopping for shoes – you need a pair that fits.  

Prioritise solutions that align with your AP volume, complexity and integration needs even if that means a slightly higher investment. You wouldn’t buy shoes in the wrong size just to save money.  

Overlooking vendor collaboration   

Communicate early and clearly with your vendor base. Don’t overlook their needs and experiences during implementation. Automation should aid supplier relations, but that won’t happen if suppliers struggle with your new system or don’t understand your new invoicing requirements.  

Real-world implementation: CHD Living & Zahara, before and after 

We’ve used one of our own case studies because it’s what we know best, but here’s an example of how AP automation, with best practice put in place, works. We guided CHD Living through the steps of best practice as they implemented Zahara software. Here are the results.  

A word from Zahara  

We hope you’ve found this article on accounts payable automation best practices useful. If you did, we’ve got lots more like this on our blog. It’s a library of knowledge that we’ve gathered in the many, many years we’ve been working in AP automation.  

That knowledge has been hard won. But through those lessons we’ve crafted accounts payable software that we really believe in, and we think it’s a cut above the rest.  

If you’re interested in hearing why, we’d love to tell you. Give us a call and speak to one of our experts, or book yourself in for a demo and let us show you what Zahara will do for your business.  

Frequently Asked Questions (FAQs) 

The post Accounts Payable Automation Best Practices appeared first on Zahara Accounts Payable Automation Software.

This article dives into just that, from the benefits, challenges and trends to why your manual process just isn’t cutting it.  

Streamline vendor payments: Getting the most out of accounts payable 

Why Manual Processes Slow You Down 

Manual processes slow the vendor payments through now-unnecessary delays usually stemming from data entry errors, lost or misfiled invoices and sluggish approval workflows.  

Time spent mopping up these issues is time wasted. These days, accounts payable (AP) automation does all this for you, rendering manual processes almost obsolete.  

What’s more, a manual process lacks real-time tracking, is likely too dependent on physical documents and requires constant checking in from higher ups.  

Inefficiencies like this lead to late payments, missed discounts and strained vendor relationships, ultimately harming your operations. 

Common challenges in vendor payment workflows  

The big challenge in vendor payment workflows is getting them to work smoothly and efficiently – not easy if you’ve got a lot of approvers and outgoing payments. It can be further confused by juggling multiple payment methods across multiple vendors.  

How automation streamlines the entire cycle 

Automation streamlines the vendor payment cycle by digitising the data entry part of your workflow. Automated invoice capture supports real-time approvals and integrated accounting systems, and that all leads to reduced input errors, accelerated workflows and added visibility up and down the process.  

The result ensures timely payments which strengthen vendor relationships and give you a better look at your cash flow.  

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Simplifying your supplier payment process 

The key components of a supplier payment workflow 

To understand how to simplify we should first have a grasp of the basic supplier payment workflow. Most of these workflows look the same in any company. That’s something like this:  

• invoice receipt and validation 

• purchase order matching 

• approval routing 

• payment scheduling 

• and of course, making the payment  

Once that’s all done and dusted, it will also involve:  

• updating accounting records 

• reconciling payments 

• sending remittance advice 

Integrating accounts payable and supplier systems 

One way you can streamline vendor payment is by integrating your accounts payable (AP) and your suppliers’ systems. That’s your internal AP software with your suppliers’ invoicing or order platforms. Doing so allows information (invoices, purchase orders and payment confirmations) to flow automatically between both parties without manual input.  

This kind of integration is a popular way to create a smoother, faster, more accurate vendor payment process. It’s usually done by automation with accounts payable software that integrates with major business software like Xero, QuickBooks, Sage, etc. How do we know this? Because we make the kind of software we’re talking about. Here’s how it worked in the real world… 

Real-world examples of simplified payment flows 

Lush, a renowned cosmetics retailer, came to us aiming to improve its supplier payment process and achieve HMRC’s ‘Prompt Payer’ accreditation. 

Using our accounts payable automation software, Lush transformed its inefficient, error-prone system into a fast, compliant, paperless workflow. On-time supplier payments were bumped from 80% to 95%. Lush successfully attained the ‘Prompt Payer’ status and smiles were had all around.  

You can read more of our success stories here. 

Enhancing supplier payment efficiency 

Speed, accuracy, and transparency 

Enhanced supplier payments efficiency all comes down to speed, accuracy and transparency. We might be re-treading old ground here, but if you’re looking to achieve greater levels of any of these elements of operational efficiency, you’ve got to iron out the problems caused by manual processes.  

That involves automating workflows to increase speed and reduce manual errors for greater accuracy and ensure transparency through real-time tracking and clear audit trails.  

The role of scheduled and batch payments 

 If you’re looking into supplier payments automation, you’ll probably be seeing the words scheduled and batch payments quite a lot. These types of payments are a big part of streamlining vendor payments.  

They’re just simple functions that automate recurring transactions and group multiple payments. From that you get the edge on cash-flow management and a lighter admin workload. Your suppliers can also rely on consistent payments, which makes them happy.  

Reducing errors and avoiding late fees 

Speed and accuracy are shoot for the bullseye when it comes to error reduction. You don’t want to be stuck undoing slip-ups, and you certainly don’t want to be chasing payments that were sent accidentally.  

In an ideal world, everything would fire off smoothly with minimal intervention and no errors. When this happens you’ll be able to avoid late fees and further save the company money.  

Benefits of Payment Automation 

Cost reduction and ROI 

Payment automation reduces costs by minimising the errors in manual processes that lead to duplicate payments and late fees. With the added benefit of faster approvals and accurate data you can see a strong return on investment through lower administrative expenses and better supplier relationships.  

Better control and visibility over cash outflows  

Payment automation provides better control and visibility over cash outflows by centralising payment data enabling real-time tracking and enforcing approval workflows.  

In automated systems discrepancies and errors will be flagged before they can become problems. Your finance teams will also have extra-detailed reporting, allowing them to monitor spending patterns and forecast cash needs more accurately. In short, what we’re looking at is tighter control over financial operations. 

Strengthened supplier trust and compliance  

If you want good relations with your supplier you’ve got to be reliable. In vendor payment, it is as simple as making timely, accurate payments. Make sure you stick to the supplier’s payment guidelines and you’ve got it.  

With automation all this is taken care of. All you need to worry about is confirming the payments and maintaining consistent communication.  

Statistics backing automation benefits 

Sources: Levvel Research, Zahara, Ardent  

Choosing the right payment solution 

What to look for in a vendor payment system 

When choosing a vendor payment system you should prioritise a few things:  

• real-time tracking  

• integration with your existing finance tools.  

• approval workflows 

• fraud prevention 

• customisable reporting  

A user-friendly interface, scalability and strong customer support are also essential for ensuring long-term efficiency and financial control. 

Questions to ask software providers 

You’ll want to figure out which software suits you best, so we’d recommend quizzing software providers before you jump into a decision. Here are a few questions you should be asking:  

• Does the system integrate with our existing ERP or accounting software? 

• What payment methods do you support (e.g., ACH, BACS, card, SWIFT)? 

• Is there support for scheduled or batch payments? 

• What security measures are in place to protect financial data? 

• Can you provide data or case studies showing ROI from similar clients? 

• What is the onboarding process and time to go live? 

Comparing popular tools: Zahara vs others 

Perhaps you’ll allow us a few words on our own AP software. Here’s how it looks in a nice neat table.  

Improving cash flow with automation 

Forecasting and payment scheduling 

Automation enhances cash flow by providing accurate, real-time data for forecasting. This means you can work from a more precise payment schedule. When this is how you work your business can anticipate outgoing payments and time them to avoid late fees and align with income cycles. This predictability supports better budgeting and more informed decision-making.  

Leveraging early payment discounts 

With faster processing and real-time visibility you can meet discount deadlines and reduce payable amounts – ultimately lowering costs and improving overall cash flow and adding to your software’s ROI. 

Preventing Cash Surprises with Real-time Reporting 

Real-time reporting prevents cash flow surprises by offering instant visibility into pending payments, approvals and liabilities. Finance teams informed of current and future outflows make proactive decisions.  

Maximising vendor relationships  

Faster payments = happier suppliers 

It doesn’t take the mind of Einstein to know that a promptly paid supplier is a happy one. Paying on, or ahead of time, is going to bolster your business’ good name and make you the kind of organisation people want to work with. You’ll see benefits in the way your suppliers deal with you: shooting problems promptly, handing out discounts and a tasty bit of preferential treatment.  

Building trust through transparency 

Suppliers value openness and clear, consistent communication. With the added visibility automation provides, you can give them what they value – in turn fostering stronger, more reliable business relationships. 

Long-term gains from better collaboration 

Better collaboration with suppliers leads to long-term gains through improved efficiency, stronger partnerships, reduced risks, and shared growth opportunities that support sustainable business success. 

The future of supplier payments 

Trends in B2B payment technology 

B2B payment technology is rapidly evolving. Trends to watch are the adoption of real-time payments and automation, and most importantly, the use of AI. 

The rise of AI and machine learning in AP 

AI and machine learning are transforming accounts payable by automating data capture, fraud detection and, in some cases, decision-making. This tech is all geared at improving accuracy and reducing manual effort and error.  

Preparing your business for next-gen payment systems 

Naturally, you want to stay competitive. To do this you’ll need to keep up with the tech, and ahead of the competition. That means automating the parts of your business that will see strong ROI. Vendor payments could be the place to start.  

A word from Zahara 

We hope you’ve found this info useful. It’s drawn from the years of experience we’ve had in the industry. This isn’t a hard sell but if you’ve trusted us to inform you thus far, maybe you’ll trust us with your automation process too. Many happy clients already have. You can read about that here.  

We offer free trials and demonstrations. That won’t be the hard sell either. We trust that our software will sell itself. Here’s a link. We’d love to hear from you.  

FAQs

The post Vendor Payment Automation for Businesses  appeared first on Zahara Accounts Payable Automation Software.

There is great self-employed accounting software out there that can help you manage invoices, expenses and taxes.

This guide explains what this software does, key features to look for, and how to choose the best option for your unique business needs.

What is self-employed accounting software?

Self-employed accounting software is digital accounting software that handles accounting, but specifically for individuals who run their own businesses or work for themselves. This is as opposed to accounting software aimed at SMEs and large businesses.

It is generally targeted at people with no or few employees. The focus is on simplicity, automation, and ease of use for solo entrepreneurs who may not have formal accounting training.

At its core, this software helps users keep track of income and expenses, generate and send invoices and calculate taxes. It gives a clear financial snapshot without the need to sift through spreadsheets or hire a full-time accountant.

For the self-employed, where income can be irregular and number crunching complex, accounting software ensures rigorous accounts, all documented and accessible. This means you can stay compliant, organised, and financially informed, all while freeing up time to focus on your actual work.

Key features to look for in self-employed accounting software

What is the best accounting software for self-employed people? That depends on you. Choosing the right accounting software will make a huge difference in how efficiently you manage your finances. Here are important features to consider:

User-friendly interface – You shouldn’t need an accounting degree to navigate your finances, so look for software with a clean, intuitive dashboard. A good interface will save you time and save you a learning curve.

Expense tracking – Automated expense tracking is essential. The ability to link your bank accounts and credit cards allows the software to automatically import and categorize transactions, ensuring nothing gets missed.

Invoicing and payment integration – You should be able to create, customise, and send professional invoices easily. Ideally, this involves automated invoice processing.

Tax tools – Effective software will be able to estimate your quarterly taxes, track deductions, and even generate tax-friendly reports. Some platforms also integrate with tax-filing services.

Customer support and resources – Reliable customer service, tutorials, and help centres can be lifesavers when questions arise.

Mobile access and cloud syncing – Ensure the software includes a mobile app and real-time syncing across devices. This flexibility lets you manage your finances from anywhere.

Mileage tracking – This last one is a bit of a bonus for anyone that drives or travels for work. You can get automatic mileage tracking via a mobile app that links to your accounts to figure deductions. Maximized potential, minimal effort.

Popular software options for self-employed users

With many accounting tools available today, choosing the right one can be a process fraught with hair-pulling frustration. We’ve outlined some of the best options in the table below and expanded on each further down.

Feature	QuickBooks SE	FreshBooks	Wave	Zoho Books	FreeAgent
Price (Monthly, GBP)	£10 (+20%VAT)	£12.50+	Free	£10+	£16.50*
Invoicing
Expense Tracking
Mileage Tracking
Tax Estimation					(UK only)
Time Tracking
Mobile App
Best For	Freelancers	Creatives	New Starters	Growing Businesses	UK Self-Employed

Sources: Official websites for Zoho Books, Free Agent, QuickBooks, FreshBooks, Wave.

Note: Prices are approximate and may vary based on plan tiers and promotions.
 *FreeAgent is free for NatWest, RBS, and Mettle business account holders.

QuickBooks Self-Employed

• Strengths: tax estimation, mileage tracking, strong integration with TurboTax
• Weaknesses: limited features compared to QuickBooks Online

QuickBooks Self-Employed is accounting software designed specifically for freelancers and sole proprietors and offers lots but lacks scalability. That means if your business grows beyond freelancing, you may need to upgrade to QuickBooks Online or another more comprehensive system.

FreshBooks

• Strengths: time tracking, strong invoicing, intuitive design
• Weaknesses: better suited for service-based freelancers

FreshBooks is known for its intuitive design and robust invoicing features. Ideal for service-based professionals like designers or consultants, it includes time tracking, project management tools, and online payment capabilities. While it’s feature-rich, it may be more than necessary for very simple financial setups.

Wave Accounting

• Strengths: free plan, robust for basic needs
• Weaknesses: no built-in tax estimation, limited customer support

Wave stands out as a powerful free solution. It offers invoicing, expense tracking, and basic financial reporting at no cost. It’s great for new or part-time freelancers. However, it lacks advanced features like tax estimation and doesn’t offer dedicated customer support unless you pay for add-ons.

Zoho Books

• Strengths: affordable, feature-rich, great for tech-savvy users
• Weaknesses: slight learning curve

Zoho Books is a budget-friendly, scalable tool packed with features. It’ll do inventory tracking, project billing, and customizable workflows. It does automation but that comes with a steeper learning curve. In our opinion Zoho Books is best for tech-savvy users or those with big plans to expand.

FreeAgent

• Strengths: strong UK market presence, all-in-one solution
• Weaknesses: pricing may not suit all freelancers

Popular in the UK, FreeAgent offers all-in-one accounting features, including time tracking, tax estimation, and bank reconciliation. It’s user-friendly but priced slightly higher, which may be something to think about if you’re just starting out.

How to choose the right software

Selecting the right accounting software as a self-employed professional starts with understanding your specific needs. Not all tools are created equal, and what works for one freelancer may be too complex – or too limited – for another.

Define Your Needs

• Are you a writer, consultant, Uber driver, etc.? What does your role require of your accounts?

Begin by evaluating the nature of your work. If you’re a creative freelancer who bills clients by the hour, features like time tracking and project-based invoicing are essential. If you’re a rideshare driver or delivery contractor, mileage tracking and automatic expense categorization will be more valuable.

Budget Considerations 

• Free vs. paid solutions? How much money do you have to spend?

Budget is another critical factor. Free options like Wave may suit those with simple needs and tight margins, while more robust tools like FreshBooks or QuickBooks Self-Employed come with monthly fees but offer greater automation and tax support.

Scalability

• Will the software grow with your business?

Even if you’re just starting out, think long-term. As your business grows, you may take on more clients, hire subcontractors, or expand services. Choose software that can grow with you. Some tools, like QuickBooks Online or Zoho Books, offer scalable solutions that evolve with your business, saving you the hassle of switching platforms down the line.

Ease of use

• Time-saving tools matter when you’re solo. Are you a tech wizard or a technophobe?

Consider ease of use. If you’re not financially savvy, choose software with a simple, clean interface and strong customer support. It should save you time, not create more work. Be sure to check if it has a mobile app, especially if you work on the go.

Compatibility

• Will the software work with you?

Look into whether or not the software is compatible with your bank, other software you use, or (if you employ one) your accountant’s tools.

Trial periods

• Use free trials to test software before committing

Finally, take advantage of free trials and demos. Most platforms offer a risk-free period so you can test the software in real-world conditions.

Common mistakes to avoid with self-employed accounting software

Setting up incorrectly – Failing to properly configure your software can lead to inaccurate records. Take time to link the right bank account or pick the correct tax settings. A little review never hurts and tutorials are there if needed.

Not using automation features – Many users overlook time-saving features like recurring invoices, or bank feeds. These tools exist to reduce manual input and human error, so take advantage of them.

Forgetting to reconcile accounts – Even with bank feeds, it’s essential to reconcile your records with actual transactions. Skipping this step can lead to discrepancies that are hard to catch later.

Neglecting updates and maintenance – Failing to keep your software up to date, or ignoring regular data reviews, can result in outdated reports and potential tax issues.

Relying solely on the software for tax accuracy – Accounting software helps with tax estimates, but it’s not infallible. You should still consult a tax professional annually. They can ensure that everything is ship-shape and ensure you’re maximizing deductions.

A word from Zahara

If you’ve made it this far, perhaps you’d hear a word about what we do. We’re in the accounting software business, automating accounts payable through software that integrates with all major business programmes.

Perhaps you’re not a big enough operation to need any of that yet, but we are sharing our knowledge through our blog and our podcast to help people like you make more informed decisions in a tough-to-navigate world. 

Our AP automation software is aimed at systems like Xero, Sage and QuickBooks, but these systems with a Zahara integration could still be useful for you – especially if you’ve got big plans for expansion.

If you’re interested, give one of our specialists a call, or book yourself in for a demo. We’d love to hear from you.

Frequently Asked Questions (FAQs)

1. What is the difference between accounting software for self-employed users and small businesses?
 Self-employed accounting software is simplified for solo users – typically without payroll, inventory, or complex reporting features. Small business software supports teams, employees, and larger-scale operations.

2. Do I really need accounting software if I only earn a small freelance income?
 Yes. Even with modest income, accounting software helps track expenses, manage invoices, and prepare for taxes, saving time and reducing errors.

3. Can I use free accounting software and still be HMRC compliant?
 Yes, tools like Wave or Zoho Books  can support compliance, but always check they handle VAT and are compatible with Making Tax Digital (MTD) if you’re VAT registered.

4. Is QuickBooks Self-Employed enough for UK tax filing?
 It works well for basic needs, but it’s not MTD-compliant for VAT returns. QuickBooks Online or FreeAgent may be better for full UK tax functionality.

5. Can I switch software later if my business grows?
 Absolutely. Most platforms offer export options or upgrade paths. It’s wise to choose a scalable tool from the start to avoid future data migration issues.

6. Do these tools replace an accountant?
 Not necessarily. While they simplify day-to-day finances, an accountant is still useful for tax advice, compliance, and year-end filing.

Are you ready for a demo?

Choose from a 15 minute intro, to a full product tour 40 minutes.

Book a demo

You might also like to read:

• Pick of the Platforms
  How to evaluate the best features when comparing AP tools for your team.
  choosing the right accounts payable software
• App-solutely Essential
  A rundown of must-have functions in today’s top financial management apps.
  best accounts payable software
• Soft-where It Counts
  Making sense of software options when automating accounts payable.
  invoice approval software
• Free Trials, Fewer Errors
  Why trying before buying saves time and reduces stress later.
  choosing the right software
• Interface Matters
  Is your finance tool frustrating or freeing? UI could be to blame.
  user-friendly AP automation tools
• Scaling Smartly
  What to look for in accounting platforms that grow with you.
  scalable accounting software
• All About Integration
  Ensure your new software plays nice with the rest of your tech stack.
  Zahara AP Automation features
• Hands-Off Finance?
  A guide to automation in invoicing, approvals, and payments.
  AP automation
• Capture the Savings
  Why OCR is a big deal for self-employed finance tasks.
  invoice capture software
• Track to the Future
  Mileage, expenses, and automation: why smart features matter.
  automated invoice processing

The post Self-Employed Accounting Software appeared first on Zahara Accounts Payable Automation Software.

Don’t sweat it though. There is some free accounting software for a small business just like yours. Obviously you won’t be getting the Ferrari of balanced books – we’ll get on to the drawbacks later – but you will secure yourself a program with some basic features that’ll tide you over until your business is booming enough to upgrade.  

Here’s what you need to know:

Free accounting software features and benefits

Obviously the main benefit of free accounting software is that it’s free, but there are other benefits. Chief among these is user-friendliness. Free software is usually easiest because it’s used by people without complex accounting needs.

It is also scalable. Scalability is something we talk a lot about at Zahara. It will allow your software a longer lifespan. Certain types of free accounting software will offer this, usually through paid add-ons or small subscriptions. Using these can be a good way to smoothly adapt to a growing business’ growing needs.

Overall, free accounting software empowers users to maintain accurate financial records, meet compliance requirements, and make informed business decisions without a significant financial investment.

Free accounting software is also usually cloud-based. This allows users to manage their accounts from anywhere, ensuring greater flexibility and real-time collaboration. This is something you should really look for.

There are some other features you should look for in free accounting software too. These are:

• Invoice processing
• Expense tracking
• Bank reconciliation
• Basic financial reporting
• Tax preparation tools

Without the above your software won’t be of much use to you, so make sure you’re looking for these features when choosing free online accounting software. Some platforms may also provide inventory management, payroll processing, and integration with third-party apps which can also be useful, but not imperative.

So what are the free accounting systems to consider?

Accounting Software for Small Businesses

Wave Accounting

Who is Wave Accounting Best for? Freelancers, service-based small businesses.

Wave Accounting Features:

• Invoicing, accounting, and receipt scanning.
• Unlimited bank and credit card connections.
• Basic financial reports.

Wave Accounting Pros: Completely free for core functions; intuitive design.

Wave Accounting Cons: No built-in inventory management; paid add-ons like payroll.

ZipBooks

Who is ZipBooks Best for? Solopreneurs and very small teams.

ZipBooks Features:

• Invoicing, basic accounting, and expense tracking.
• Business health scores and basic reporting.

ZipBooks Pros: Clean interface; easy to use.

ZipBooks Cons: More advanced features (like smart tagging) require paid plans.

GnuCash

Who is GnuCash Best for? Small businesses needing detailed records.

GnuCash Features:

• Double-entry accounting system.
• Track bank accounts, expenses, income, and investments.

GnuCash Pros: Highly customizable; open-source and completely free.

GnuCash Cons: Outdated user interface; steeper learning curve.

Zoho Books (free plan)

Who is Zoho Books Best for? Microbusinesses with very limited revenue (e.g., under $50K/year).

Zoho Books Features:

• Invoicing, expense tracking, client management.
• Integrated with Zoho ecosystem for CRM, inventory, and other features

Zoho Books Pros: Professional templates and workflows.

Zoho Books Cons: Free plan only available to very small businesses (must apply).

Akaunting

Who is Akaunting Best for? Businesses wanting an open-source cloud-based tool.

Akaunting Features:

• Invoicing, accounting, and client/vendor management.
• Multiple user roles and permissions.

Akaunting Pros: Cloud-based; multilingual and multi-currency support.

Akaunting Cons: Some features like payroll require paid apps.

Odoo (community version)

Who is Odoo Best for? Growing businesses needing modular flexibility.

Odoo Features:

• Invoicing, payments, financial reporting.
• Connects with CRM, project management, and more.

Odoo Pros: Highly customizable and expandable.

Odoo Cons: Setup and maintenance can be complex without IT help.

Sunrise by Lendio (free version)

Who is Sunrise Best for? Service providers and freelancers.

Sunrise Features:

• Invoicing, income and expense tracking.
• Basic reporting and cash flow management.

Sunrise Pros: Simple setup; offers bookkeeping services for a fee if needed.

Sunrise Cons: Limited integrations with third-party apps.

That might be a lot of information to digest. Here it is in brief:

Limitations

While free accounting software can be a lifesaver for small businesses, it does come with limitations. One of the biggest drawbacks is the lack of advanced features. These often include things that are very useful such as payroll management, inventory tracking, or multi-currency support.

Another issue is that customer support for free plans is often limited or slower, leaving you to troubleshoot issues on your own.

Additionally, some free software may impose restrictions on use. This might be on the number of users, transactions, or something like connected bank accounts but it can get in the way of smooth operations.

Scalability can be an issue. As a business grows, it may outgrow the basic capabilities of free tools and be forced to migrate to a more sophisticated (and costly) system. This can be time-consuming and complicated. While some free accounting software will scale better than others (Odoo, for example) it’s unlikely it will be able to support your needs all the way.

Perhaps most importantly, security can also be a concern. You should make sure the software you choose has robust data protection measures.

Choosing the right software

Choosing the right free accounting software starts with understanding your business needs. Look for a platform that covers essential tasks like invoicing, expense tracking, and basic reporting.

Consider the software’s ease of use, especially if you don’t have a financial background. Scalability is important too. If you’ve got big ambitions for your business, choose a tool that can grow with it. Check if the software integrates with other tools you already use, like payment processors or CRM systems.

Finally, review security features to protect sensitive financial data. Testing a few options with free trials can help you find the best fit before fully committing.

A word from Zahara

We’ve been in the accounting software business a while. In that time we’ve learnt a thing or two. We’re sharing our knowledge through our blog and our podcast to help people like you make more informed decisions in a world that can be tough to navigate.

While our accounts payable automation software is aimed at the bigger accounting programs (Xero, QuickBooks, Sage etc.) we’re here to discuss why choosing one of those and integrating with us could also be a good option for you.

If you’re interested, give one of our specialists a call, or book yourself in for a demo. We’d love to hear from you.

The post How Free Accounting Software Helps Small Businesses appeared first on Zahara Accounts Payable Automation Software.

Get it right and you’ll bolster your ability to invest, protect against unexpected costs, and cultivate supplier relations. Get it wrong and your business can go under.  

In this article we’ll look at the differences between the two processes, common AR/AP mistakes, and some ways to improve your processes.  

Accounts payable vs accounts receivable: Explained  

In short: 

Accounts payable is money going out of the business and accounts receivable is money coming in.  

But it’s more complex than that, and getting these two key aspects of accounting right can reap a business hefty rewards.  

Understanding accounts payable (AP) 

Accounts Payable (AP) refers to the amount of money a business owes. That may be to its suppliers, vendors, creditors, you name it – if the business owes it, it’s AP.  

Items in AP are recorded as a liability on a company’s balance sheet. That’s because it’s an outgoing you’re obliged to pay, and it therefore affects your cash flow and accounts.   

It’s often said in business that effective management of accounts payable is the core of good supplier relationships and ensuring smooth cash flow operations. 

Understanding accounts receivable (AR) 

Accounts Receivable (AR) refers to the money that a business is owed by its customers. This will tend to come from goods or services that have been delivered but not yet paid for, but it might be different if you are, say, a non-profit.  

Accounts receivable is recorded as an asset on the company’s balance sheet. That’s because it represents incoming cash that the business expects to collect in the near future.  

It is also said in business, that effective management of AR is crucial for maintaining steady cash flow and ensuring the financial health of a business. After all, your business lives and dies on how much money you’re bringing in.  

How accounts payable works 

When a business buys products or services on credit, the supplier issues an invoice Until the invoice is paid, the amount is recorded under accounts payable.  

A finance department processes these invoices (promptly, we hope) and the money is sent out. Many businesses will have a constant churn of invoices to process, making AP an ongoing part of business operations.  

Smooth AP relies on swift invoice processing. Timely payment of invoices helps businesses avoid late fees, maintain a strong credit rating, and build trust with vendors. 

How Accounts Receivable Works 

You can think of AR as the flip side of AP. When a business sells products or services on credit, it issues an invoice to the customer.  

Until the invoice is paid, the amount is recorded under accounts receivable. A finance department might have employees chase down late payments, but generally it’s a waiting game until the money is paid.  

The sooner customers settle their invoices, the quicker the business can reinvest the cash into operations, payroll, or expansion. 

Impact of Accounts Payable on Cash Flow 

We’re often asked how AP impacts cash flow, and what can be done to soften that impact. Essentially it’s a balancing act.  

Pay invoices too quickly and you strain your cash reserves, reducing funds for essential expenses like payroll and growth investments. 

Delay payments too long, and risk damaging relationships with suppliers, facing penalties, or, if vendors refuse to provide further goods or services, disrupting operations.  

This isn’t a shameless plug (that will come later), but AP automation is one way to get this balancing act down to a fine art.  

Impact of Accounts Receivable on Cash Flow 

AR represents incoming cash, but if those payments are delayed you might feel some financial strain.  

If customers take too long to pay, you might struggle to cover your own expenses. That makes high outstanding receivables a threat to your business health. These will show up in liquidity issues. The risks they pose make it essential for businesses to actively manage their AR process. 

Best Practices for Managing Accounts Payable 

1. Negotiate Favourable Terms – Businesses should try to secure extended payment terms or discounts for early payments to improve cash flow. 

2. Use accounts payable automation software – Automating invoice processing reduces errors, ensures timely payments, and improves efficiency. 

3. Monitor Due Dates – Keeping track of upcoming payments helps businesses avoid late fees and maintain a positive supplier relationship. 

4. Reconcile AP Accounts Regularly – Verify invoices against purchase orders and receipts to prevent overpayments and fraud.

A well-organized accounts payable system ensures that businesses can meet their financial obligations while optimizing cash flow. Proper AP management is essential for financial stability and long-term growth. 

Best Practices for Managing Accounts Receivable 

1. Set Clear Payment Terms – Establish straightforward policies, such as upfront deposits or shorter payment deadlines, to encourage prompt payments. 

2. Send Invoices Promptly – Delayed invoicing often leads to delayed payments. Automating invoice generation helps maintain consistency. 

3. Follow Up on Late Payments – Implement a structured follow-up process, including payment reminders and late fees, to reduce overdue accounts. 

4. Offer Multiple Payment Options – Providing online payment methods, credit card options, or instalment plans can make it easier for customers to pay on time. 

5. Assess Customer Creditworthiness – Before extending credit, evaluate a customer’s payment history and financial stability to minimize the risk of non-payment. 

By effectively managing accounts receivable, businesses can ensure a steady inflow of cash, reduce the risk of bad debts, and maintain strong financial stability. Proper AR practices not only improve cash flow but also strengthen customer relationships through transparent and efficient billing processes. 

Accounts payable and receivable: what’s the difference 

It’s pretty simple: AP is money going out, AR is money coming in. Because money going out is a debt, it’s a business liability. On the other hand AR is money your business is owed, so that counts as an asset. 

Examples of accounts payable and receivable 

To make this clearer, perhaps some examples are in order…   

Accounts Payable and Receivable: Debtors or Creditors? 

• Accounts Payable represents amounts a business owes to suppliers or vendors. Since the company is obligated to pay, it acts as a creditor to those suppliers. In accounting, accounts payable is a liability because the business has to settle these outstanding payments. 

• Accounts Receivable refers to money owed to a company by customers for goods or services provided on credit. Here, the business is the creditor because it expects payment from its customers, who are the debtors. Accounts receivable is classified as an asset on the balance sheet since it represents incoming funds. 

Summary: 

• Accounts Payable → Creditors (Company owes money) 

• Accounts Receivable → Debtors (Company is owed money) 

How AP and AR Work Together 

Accounts payable and receivable interact in several ways. Again, maybe it’s best to look at this through an example. Let’s use a manufacturing company…   

They purchase raw materials on credit from a supplier, recording this as accounts payable (a liability). At the same time, they sell finished products to retailers on credit, generating accounts receivable (the asset).  

The key to this business’ success lies in ensuring that receivables are collected efficiently so that it has enough cash to pay its payables on time. If it can’t manage that, it’s goodnight Irene.  

A healthy balance between AP and AR is critical for maintaining liquidity. If a company’s accounts receivable collection is slow, it may struggle to pay its accounts payable – and a business relies on being able to do that in a timely manner. What happens if you can’t pay your staff? Or your suppliers?  

By managing both AP and AR properly, businesses can sustain smooth operations and financial stability. 

Accounts payable and accounts receivable: common mistakes and how to avoid them 

We’ve driven home the point haven’t we? Getting this stuff right is crucial for a healthy business. However, it’s often businesses make mistakes that can lead to financial trouble. Here, we’ve identified some key mistakes and how to avoid them: 

Common AP mistakes and solutions 

• Late Payments – Missing due dates can result in late fees and damaged supplier relationships. 

Solution: Use automated payment reminders and schedule payments strategically. 

• Duplicate Payments – Paying the same invoice twice leads to unnecessary cash outflow. 

Solution: Implement invoice approval software to detect duplicates before processing. 

• Lack of Proper Approval Process – Paying invoices without verification can lead to fraud or errors. 

Solution: Establish a multi-level approval system before payments are made. 

Common AR mistakes and solutions 

• Extending Credit to Unreliable Customers – Allowing high-risk customers to buy on credit can lead to bad debts. 

Solution: Conduct credit checks before offering credit terms. 

• Slow Invoice Processing – Delays in sending invoices result in late payments and cash flow issues. 

Solution: Automate invoicing and send reminders before the due date. 

• Failure to Follow Up on Overdue Payments – Ignoring unpaid invoices can hurt profitability. 

Solution: Implement a structured follow-up process with regular reminders. By avoiding these mistakes, businesses can improve financial efficiency and maintain strong relationships with both suppliers and customers. 

The power of automation  

There are some things you can do to avoid these mistakes, but the biggest, most effective catchall is automation. AR and AP automation dishes out numerous benefits that enhance efficiency, accuracy, and financial stability for businesses.  

One major advantage is time savings. Manual processing of invoices and payments can be slow and error-prone. Automation streamlines tasks such as invoice approvals, payment scheduling, and reconciliation. This reduces the workload on finance teams and allows them to focus on more strategic, rewarding activities.  

Another significant benefit is error reduction. Manual data entry in AP and AR often leads to mistakes such as duplicate payments, incorrect amounts, or misapplied receipts. Automation eliminates these risks by using digital tracking, automatic matching of invoices to purchase orders, and flagging discrepancies before processing. 

Improved cash flow management is another key advantage. Automated AP ensures payments are made on time, helping businesses avoid late fees and take advantage of early payment discounts.  

Similarly, automated AR accelerates invoicing and follow-ups, reducing payment delays and improving cash inflows. Additionally, automation enhances transparency and compliance. With digital records, businesses can track payments, monitor outstanding invoices, and generate reports for audits effortlessly.  

To put it simply, by automating both AP and AR, you can improve your financial accuracy, reduce costs, and enhance overall business efficiency. 

FAQs: Accounts Payable vs Accounts Receivable

A word from Zahara 

How do we know all this? Accounts payable is our wheelhouse – more specifically, automating accounts payable. We know we’re biased but we’ve proved to all our clients that automating AP is one of the best ways to improve your operations. Don’t just take our word for it… 

We work with Fortune 500 companies to bring them smarter, more reliable AP processes. It’s something we’re passionate about. If automation is something your business could benefit from, we’d love to talk to you. Give us a call or schedule a demo to see Zahara in action. 

Are you ready for a demo?

Choose from a 15 minute intro, to a full product tour 40 minutes.

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The post Accounts Payable vs Accounts Receivable for Business Owners  appeared first on Zahara Accounts Payable Automation Software.

The right accounting software will streamline operations, ensure transparency, and simplify tax reporting. Here, we explore the best accounting software for non-profits and why it meets the industry’s unique demands.

What to look for in your accounting software

Fund accounting capabilities

You manage restricted and unrestricted funds, so you need software that can:

1. Track grants, donations, and program funds separately
2. Ensure restricted funds are used for their intended purpose
3. Generate fund-specific financial reports
4. Software that aids accountability

Donation and grant tracking

Since you rely on donations and grants, your accounting software should:

1. Track donors, pledges, and recurring donations
2. Generate donation receipts for tax reporting
3. Integrate with fundraising platforms (like Donorbox or PayPal Giving Fund)

To do this, enhancing your accounting software with integrations that allow for automated accounts payable would be wise.

Financial reporting and compliance

To maintain transparency and compliance, you need:

1. Highly accurate, often granular reporting capabilities
2. Compliance with national or international non-profit accounting standards
3. Robust payment run features

Implementing automated invoice processing could be a way to ensure all of the above. The built-in financial tracking and error reduction benefits will bring you up to scratch with industry standards.

Budgeting and expense management

Non-profits must carefully plan spending and track expenses so you’ll need to be able to:

1. Create budgets for different programs and grants
2. Compare actual vs. budgeted expenses
3. Manage operating costs, salaries, and overhead
4. Maintaining accountability through a robust PO system

User-friendliness and accessibility

As a non-profit, you might not have the cash to pay for top accounting talent. Therefore your software should be:

1. Easy to use for non-accountants
2. Cloud-based for remote access
3. Provide role-based permissions for team members and board members

Integration with non-profit tools

Non-profits often use fundraising, CRM, and payroll software, so accounting software should:

1. Integrate with software that aids financial management (Donorbox, Bloomerang, Zahara)
2. Sync with fundraising and payment systems (PayPal, Stripe)
3. Work with payroll and expense tracking tools

The best accounting software for charities

So what’s your best choice? The world is not short of charity accounting software. Which one you choose should depend on the size and ambition of your non-profit. Here’s what we’d recommend:

• QuickBooks – Offers donor management, expense tracking, and tax reporting. It provides built-in templates for non-profit financial statements and integrates with fundraising tools.
• Sage Intacct – Great for a larger charity, Sage Intacct can handle more complex financial reporting and grant tracking. It also offers real-time dashboards to monitor financial performance.
• Xero – A famed bit of cloud-based software, Xero allows multi-user access, donation tracking, and financial reporting. Xero also supports multi-currency transactions, making it useful for international charities.
• Aplos – Great accounting software for small non-profits, Aplos was designed specifically for charities and churches. It features donation tracking, automated reporting, and integrated email communication. There are, however, some drawbacks: the software doesn’t handle advanced accounting well, making it effective only for smaller organisations. It has limited growth potential and doesn’t offer many choices for integrations.

It’s worth remembering that Sage, Xero, and QuickBooks all integrate well with add-ons like Zahara, expanding their functionality beyond the basic versions.

Cloud accounting software for non-profits

These days the best accounting software is cloud-based, and it’s a feature you should be looking for when choosing accounting software. It will make accounts payable automation much easier, but the main benefit of cloud-based software is that it enhances security by providing automatic backups. You’ll also like the way cloud-based platforms enable you to handle your accounts remotely from decentralised points. Real-time accounting is another major perk, and not one to be overlooked.

Most of the main accounting platforms – Xero, Sage, QuickBooks – are cloud-based. It’s the way the game works these days and it’s a very good thing. The security benefits alone make cloud-based accounting software a strong choice, but the other perks seal the deal.

Free non-profit accounting software

As a non-profit you might be operating on a tight budget. If that’s the case there are a few free options out there. The free software will probably lack advanced features, but they still offer essential accounting functions like expense tracking, invoicing, and basic reporting.

Free software is a good starting point for non-profits with limited funds or ones that are in the early stages of business life. In the long term, though, you’ll need to figure out whether these systems are going to meet your long-term needs.

If you want our humble opinion, you’re probably better off paying a bit of money for an advanced system. Making the jump to new accounting software can be a costly and complex job – especially if your staff have settled routines with the old software.

If you want to charge on into the world of free accounting software, here are a few to consider:

• Wave Accounting
• GnuCash
• ZipBooks
• Manager.io

Financial accounting software for NGOs

NGOs require robust financial accounting software to handle multiple funding sources, grants, and donor contributions. Most standard accounting software won’t be able to handle this for you without some very complex rejigging. This is where integration comes in.

By integrating add-ons to your software you can handle much more complex workflows, enhance reporting functions, up accountability – you’re basically getting more bang for your buck.

Fund accounting software for non-profits

Fund accounting software is a financial management tool designed for non-profits, charities, government agencies, and religious organisations. It helps track and manage funds separately, ensuring that money is used for its intended purpose and maintaining standards are met.

It’s important that your software provides this kind of accountability, and again, you’re likely to find it in the form of an ERP integration.

We’ll talk here about Zahara, because that’s what we know best. Add-ons like Zahara will give you the kind of fund allocation tech and detailed audit trails that will help prevent fraud and keep your non-profit in compliance with the law.

Accounting software for small charities

Small charities require cost-effective, easy-to-use accounting software to manage donations, expenses, and financial reports efficiently.

We’ll give Wave Accounting a nod here again, but with the reminder that it may not be able to handle the scaling of your charity when you start to grow.

Because of that, the question comes down to choosing a software that gives you flexibility. We’d recommend Xero or QuickBooks in this case. Both are great for small organisations and start-ups. Both come with great potential for growth.

Xero integrates well with third-party fundraising platforms. QuickBooks offers an affordable plan with essential non-profit accounting features. It includes donor management and budget tracking. Both bits of accounting software offer wide integration capabilities with add-ons like Zahara that’ll boost your charity’s compliance and staff accountability.

Accounting Software for Non-profits Conclusion

Selecting the right accounting software is crucial. Whether your organization is a small charity or a large NGO, there are software solutions tailored to your needs, but remember, you should be looking for:

1. Cloud-based software
2. Scalability (you want your charity to grow)
3. Good integration capabilities – these will give your software legs
4. Strong reporting functions, compliance benefits and audit trails – these can come from integrations, it’ll be hard to find them robust enough in vanilla accounting software

Obviously, budget is likely to be a concern for a non-profit… more so than for a non-charitable business. On this point, consider your ambitions. That free software might be tempting, but it won’t serve you well in the long run.

We know we’re biased here, being in the business of cloud-based accounting integrations, but take the rest of this as honest, well-intentioned advice – we are also in the business of curating useful information, too, of course…

If you want the best of the best, you’re going to want a system like Xero, Sage or QuickBooks, and you’re going to want to boost them with integrations. This will give you the highest-quality software, handle all the unique demands of the non-profit sector and give you better scalability.

A word from Zahara

If you’ve found this useful, maybe you’ll like some of the other info we’ve got on our blog. We also run the Totally Balanced Podcast, which covers aspects of accounting from the point of view of our CFO. Watch and listen on Spotify and Youtube.

Here comes the pitch: we’ve been in the world of accounts payable for a long time. Our customers would say we’re experts… We’d say that our software has been built with them in mind.

It’s also said that it works excellently for organisations that don’t keep stock on the shelves. That would be you, and you won’t be the first non-profit to put their trust in Zahara.

We’ve got plenty to say about how our software is the right fit for you. Give us a call, or schedule a demo. We’d love to hear from you.

The post Accounting Software for Non-profits: Choosing the Best Software  appeared first on Zahara Accounts Payable Automation Software.

With all that in mind, it’s no surprise to us that you want to know how secure Zahara software is. We hope to be handling your accounts payable after all.

Whatever questions you’ve got about Zahara software and accounts payable security, we aim to answer them here. We’ve penned out a few details on Zahara’s security aspects, then jumped right into the questions we get asked most.

Zahara Software features

Zahara is Cyber Essentials Plus certified

That’s right. We’re certified by the UK National Cyber Security Centre. That means they’ve gone through our systems checking for weak points and vulnerabilities, and given Zahara software the security all clear.

This certification is the gold standard for British cyber security.

Hosted on Microsoft Azure

Zahara is hosted on Microsoft Azure. We chose to host on Azure for its robust security. Microsoft invests over $1 billion annually in cybersecurity research and has a cybersecurity team bigger than most companies.

Azure is security certified with a host of cyber security compliance standards. It boasts multi-layered security and top-end threat detection.

Doing so gives us:

• Data encryption (more on that below)
• Distributed data networks
• Regular backups of information

Audit trails

Zahara will add granular audit trails to your business software. These audit trails will show you just how much money has been spent on any given transaction, who authorised the spend, where the money went and much more.

If a mysterious employee is having a bit too much fun with company money, Zahara’s audit trails will make it much easier to figure out who that mystery employee is.

Encryption

As we mentioned above, hosting on Microsoft Azure means that all data stored by Zahara (i.e. your data) is encrypted. What’s more, your data will be encrypted at rest and when in transit, making it near impossible for outside sources to read – if they could even get their hands on it in the first place…

Robust controls

Our software also adds spend controls so you can better manage who has the power to spend company money. This is one of the key benefits of automating your accounts payable department. With the old ways retired, only people you appoint will have the power to spend money, which greatly reduces the chance of fraud.

Preventing fraud with automation

Zahara’s invoice processing software will aid fraud prevention too. It does this by using three-way matching, a process where AI reads invoices and checks them against goods received notes and purchase orders to make sure nothing suspect is going on. If some cheeky scammer thinks they can submit false invoices and get you to pay for them, Zahara software will spot it. 

Download our Fraud Guide here: Fraud Guide PDF

The big Accounts Payable security questions

Here are some of the questions we regularly get asked about data protection in accounts payable, Zahara’s security and the answers you’re looking for.

Why should I trust Zahara with my Accounts Payable security?

A fair question… elements of which, like our Cyber Essentials Plus security certification, you may have been able to gleam from above.

But it’s not useful to just straight-up tell you that you can trust us. You’ll want proof. We’ve added some in-depth case studies below so you can hear how our customers feel about security at Zahara.

We also like to think our good reputation in the wider business world reflects our dependability when it comes to AP automation security. If you want proof of that reputation you can find it here, on a page of testimonials from our many contented customers.

How strong is Zahara’s security?

It’s strong. We probably don’t need to mention that Cyber Essentials Plus certification again (but we will for anyone who’s jumped to this section). On top of that, being hosted on Microsoft Azure gives you all the robust security the platform is known for.

We’ll get more into backups below, but they occur every 15 minutes. All information stored on Zahara databases is encrypted at rest, and in transit.

As for password security, Zahara’s secure AP software solution has higher-than-average requirements for password complexity, and uses two-factor authentication for an added layer of security.

We also have external tests conducted on our software every year to ensure that it remains reliable. These tests are done by a third party to ensure impartiality, and the results of the annual test (if there are any) will be acted upon by our developers.

To put it simply, when it comes to security we’re as good as we can be.

Are there any backups and are they safe?

Yes, hosting on Azure gives Zahara the ability to back up every fifteen minutes. All data stored in Zahara is held in mirrored data centres at different locations in the UK – if one fails you can still access your data from the other.

What’s more, Azure also performs distributed backups so your data is always available. 

Can I get my data back if I leave Zahara?

Yes, of course. We hope you don’t feel the need to, but if you choose to leave Zahara, we will return all your data to you.

What is Zahara’s protocol for responding to cybersecurity incidents?

Action and transparency govern our protocol. If a security threat is detected our team will work around the clock to shut the threat down. Damage would then be assessed and a course of action will be taken to decide how we clean up any damages with user and stakeholder best interests at the fore.

After the security incident has been handled, we would make an announcement to ensure that Zahara users are fully informed about the incident, damages and our course of action to set things right.

A word from Zahara

We hope what you’ve read here will help you put your faith in Zahara. We know security can be a tricky issue, and robust measures can be the thing that makes your decision. We were in your position when we were looking at platforms to host our software on. We picked Azure for its reputation of excellent security. That thinking feeds into everything we do.

Alongside our attention to accounts payable security, Zahara can give you benefits in efficiency and cost savings, streamlining what you do in ways that will work wonders on your operations. If you’d like to hear just how we can do that for you, take a scroll through our blog – we’ve got heaps of info already published. Alternatively, you can schedule a call with one of our experts or book a demo to see how the software works in real time. We’re looking forward to speaking to you.

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Zahara is here to fix this for you. Our accounts payable automation software is uniquely suited to construction firms in that it solves a lot of problems that are built (no pun intended) into the industry. In this article we’ll have a look at what those challenges are, and how Zahara can help.  

Construction: Accounts Payable is a pain point.  

Handling invoices the old way (manually) opens construction firms up to risks. These are:  

Labour-intensive manual invoice processing  

• Construction is an invoice-heavy industry, and all these invoices require hands and heads for processing. It’s tiring work, probably not as tiring as humping your materials around a building site, but tiring nonetheless.  
• Tired workers make mistakes. Invoices are lost or misfiled; suppliers don’t get paid, and projects are stalled. If it hasn’t happened yet, the risk still looms.  
• Manual processing also leads to bottlenecks that create awkward lags in accounts payable, as well as in the ability to see the full picture of your committed spends.  

Complex, decentralised operations  

• You’ve got multiple projects running at once, each with their own challenges, costs and crews. That makes for complex operations. Your finance dept. handles stacks of invoices from multiple locations with differing needs. It gets complex. 
• The high costs involved in construction naturally require a robust approvals system, but that adds yet more complexity.   

Cost tracking  

• We’re willing to guess your business software only lets you look back at your spends. That gives you a good read on your sunk costs, but not the ability to see how costs stand as a project goes on. In such a purchase-heavy industry this makes it easy for costs to skyrocket and budgets to swell.  

Difficult delayed payments  

• We know what month-end looks like in a busy finance department. It’s a madhouse. If that madhouse gets out of hand, invoices are processed slower and your suppliers aren’t paid on time.  
• When suppliers aren’t paid, they don’t supply and your project runs over. That’s affecting your bottom line, and your ability to get more projects into the calendar.  

Complicated compliance  

•   Another pitfall of manually processing invoices is that you’re opening yourself up to risk when it comes to audits. The number of invoices a construction firm processes magnifies this risk with lost or incorrectly filed paperwork. You don’t want these holes in your accounts when HMRC comes knocking.  

Zahara’s accounts payable solutions: the game changer 

• Zahara integrates with all major business software and plugs the gaps that those systems can’t handle for you. What are those gaps? Precisely the pitfalls that construction firms are exposed to in accounts payable. Here’s what Zahara can do for you and your bottom line.  

Real-time budget monitoring  

• With Zahara you won’t be looking back at your finances, you’ll be seeing it all in real time. If project costs are starting to snowball, you’ll know about it before it’s too late.  
• You will be able to see how every invoice is progressing step by step, from the raising of a purchase order to approval, delivery of supplies and payments – all in real time.  
• What’s more, you can set budgets by project and department to ensure that spending doesn’t get out of hand.      

Accessibility  

• Zahara is mobile compatible, meaning it can be accessed from anywhere – so long as you have an internet connection. Whether you’re in the middle of a construction site, back in the office, or who knows… riding an elephant on that much-needed Sri Lankan holiday, you can open your phone and see how things are looking finance-wise.  

Customisable approval workflows 

• In order to combat those unhelpful bottlenecks, we’ve added customisable approval workflows. This will allow you to control who has the ability to spend. You can assign project managers or department heads then, because the workflows are customisable, assign backup approvers in case your first choice is off sick or on holiday.  

Audit trails  

• Your invoices will now have records for every action taken from purchase order to payment. This visibility allows you to see into the history of every purchase.  
• Zahara will also archive your invoices in your business software so that you won’t have any discrepancies when your company is under audit.  

Digitalised invoice processing   

• This is the big one. From now on everything will be digital, no longer will your finance team be handling (or mishandling) paper invoices. The risk of lost paperwork is eliminated.  
• But the biggest benefit here is on time saved. Because Zahara is built to be simple, all you have to do is feed it digital invoices and the software will do the rest.  
• It reads and files invoices to your business software, using AI to three-way match (triple check) against purchase orders and goods received notes. That eliminates the threat of fraudsters sending you crooked invoices and protects you against double orders.  
• And while Zahara is doing this, your finance team can enjoy clocking off at regular hours and spending their work days focusing on more rewarding work than filing endless invoices – like finding ways to save the business money, or tuning up your profits.  

Using the best Account Payable software has real-world benefits for construction companies  

We’ve long said that our software is uniquely suited to construction companies. Because invoice processing is our game, we’re primely positioned to benefit companies that handle large numbers of invoices.  

Invoice processing no longer needs to be done manually. Advancements in technology have brought software to the point that it’s easy to deploy, inexpensive to run and far more efficient than processing invoices by hand.  

Not only will adopting automated accounts payable keep your bottom line low through protection from human error, fraud and duplicate orders, but it will add benefits too: the ability to track spending in real time, control your budgets and free up your finance teams.  

We’ve also heard back from a heap of construction companies that use our software about the money, the headaches and the time it has saved them. You can read about that here.  

If you’d like to speak to one of our experts about what Zahara can do for your construction firm, book yourself in for a demo or give us a call. We’d love to hear from you.  

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