Accounts payable outsourcing can be defined as the process which requires an organization to  hire a third party vendor or an outsourcing provider to handle your accounts payable services. The AP process consists of  receiving and reviewing invoices, approving the invoices and paying suppliers and vendors for the goods and services purchased by the company. Nowadays many companies have started to partner with outsourced vendors to meet their accounting needs. The accounts payable companies allow the businesses to effectively and efficiently pay their vendor invoices and manage other related tasks. In this blog, let us try to understand how outsourcing your accounts payable process helps to better manage your company’s AP processes.

5 Benefits of Outsourcing your Accounts Payable Process

Companies tend to find the accounts payable process quite tiring as it requires a lot of paperwork, lengthy approval processes and manual data entry. This lessens the efficiency to track the company’s cash flow and in optimizing processes. Therefore, many companies try to outsource their accounts payable processes as it comes with time saving benefits and helps to improve the process. Let us try to figure out the top 5 benefits of outsourcing your accounts payable process.

  1. Increased Efficiency:

      By outsourcing their accounts payable process, business owners can better focus on their other official commitments. This way their company can achieve and complete tasks with minimal resources and increased efficiency. According to data stats by Aberdeen Group, it was said that businesses that do not make use of outsourcing which uses automation only process about 5,886 invoices a month. Whereas, businesses who used AP outsourcing and automation could generate 24,171 invoices a month. With this you can have the time and resources to focus on core competencies too.

  1. Use of State of the Art Technology:

         With AP automation trends like Enterprise resource planning systems (ERP’s), Cloud technologies coming into picture, AP processes have started to become more efficient. Through the use of these technologies, the overall speed of  AP processes like processing invoices and data is managed conveniently. By adapting to efficient technology methods, expenses can be reduced and focus can be made on optimizing costs. With the help of an effective AP outsource provider who makes use of the best technologies, you can easily reduce your costs. By using  advanced modern technology, every step can also be tracked and companies can get information and real time access into their AP processes.

  1. Reduced Scope of Errors:

           Many businesses are still adapting to manual data entry processes for their accounts payable operations and are not aware of AP outsourcing solutions that can increase the overall efficiency of their account operations. The old methods of manual data entry increase the chances of errors and calculations mistakes. If you adapt to outsourcing your accounts process requirements to an external partner then you can easily forget the worries of making mistakes and thus reduce the scope of errors. With outsourcers who are more skilled in using automated systems, the errors can be minimized to a greater extent. When your billings and other accounts related assignments are free of any errors, it also leads to enhanced accuracy. 

  1. Access to Expertise from Experienced Service Providers:

      If you wish to have a streamlined workforce that provides you increased efficiency for your business, then partnering with an outsourcing provider can be the best choice. You can have access to expertise of reputed and experienced service providers who can help leverage your accounts process to the next level. They streamline your current accounts process and upgrade it by removing any technical glitches which helps make the entire process much more efficient. Experienced service providers also help your business by giving insights and highlighting KPI metrics. This leads to increased efficiency and gives time for companies to focus on core competencies.

  1. Improved Vendor Relationships:

    In contrast to working with traditional methods of managing your accounts payable processes, when you associate with an AP outsourcing provider it leads to improved vendor relationships. When your company is making timely payments that are accurate it will automatically build trust and widen your relationship with your vendors. It also relieves financial pressure as the outsourcing provider helps you make early and hassle-free payments. It is observed that more than 90% of companies fail to pay their vendors early. If your company pays its vendors early with fast approval of invoices, it smoothens the relationship of both the parties which is beneficial in the long term.

How to choose the right service provider for your accounts payable processes?

After being well versed with the benefits of outsourcing your accounts payable process, it becomes crucial to identify how to choose the right service provider for your business. Here are tips to consider while choosing the right service provider for your business:

  • Conduct Thorough Research on the AP Outsourcing provider: It is better to research about the outsourcing firm that will perform AP processes for your company. You can get information through customer reviews and testimonials. Looking onto the history and previous projects of the service provider also helps in getting better insights about them.
  • Communication: By communicating with your staff and management about the service provider you are going to opt for outsourcing your accounts payable processes, it will help to keep all a the same pace. When the company, its vendors and the service provider communicate well, chances of increased efficiency and accuracy reaches at a faster speed.


By leaving the accounts payable processes of your company in the hands of a trusted outsourcing provider, you can find solutions to make AP processes more efficient and cost effective. To ensure a smooth process of the accounting and financial aspects of your company, you need to consider the benefits of outsourcing your accounts payable and make wiser choices. The benefits like time savings, increased efficiency, enhanced accuracy makes outsourcing your accounts payable a better decision. If you want to improve your company’s scalability and align goals to meet up with the financial issues, start your research about the best AP outsource provider today!

It’s time to make Logs and Ledgers your accounts outsourcing provider

Do you wish to experience accounting excellence in your AP processes? Then it’s time to make Logs and Ledgers your partner today. We are a premium accounts outsourcing provider that specialize in delivering tailored solutions to streamline your financial processes. We don’t just offer AP processes, but also work for your financial operations like bookkeeping, tax preparation, invoice creation, payrolls and financial statements. Our tier A services to our clients is something we pride on. We also respect data privacy for which we have designed our processes to ensure the highest level of data security and privacy. To deliver flawless output, we focus on maintaining quality standards. We have clients that trust us and our testimonials are proof of that. Contact us now to discuss how we can assist you in achieving financial success.