Accounts Payable Challenges for UK Businesses

Accounts payable is basically what you owe to your suppliers for goods or services. It’s crucial for keeping your cash flow in check and ensuring you pay your suppliers on time. But if not managed properly, it can cause a lot of headaches.

 

Some common challenges UK businesses face are:

Delayed Payments
When you’re dealing with a lot of invoices manually, it’s easy to miss deadlines. This can damage your relationship with suppliers and lead to late payment penalties.

Manual Data Entry Mistakes
When you’re entering invoice details manually, it’s only a matter of time before mistakes happen. These errors can lead to incorrect financial records, which is the last thing you want during an audit.

Compliance with HMRC Regulations
In the UK, businesses have to comply with strict tax rules and regulations. Keeping accurate records for VAT reporting is critical, and any errors in accounts payable could lead to fines or failed audits.

How Dext Automates the Accounts Payable Process
So, how exactly does Dext make the accounts payable process easier? Here’s a breakdown of its main features:

Document Capture
One of the big advantages of Dext is how easy it makes it to gather all your invoices and receipts. This means you’ll never lose track of an invoice again, and you’ll have everything in one place. You can:

• Scan paper invoices or receipts using the Dext mobile app.
• Forward email invoices straight into Dext.
• Upload digital files from cloud services like Dropbox or Google Drive.

Data Extraction and Entry
Once the documents are uploaded, Dext uses AI technology to extract the key information – like the supplier name, invoice number, amount, and due date. This eliminates the need for manual data entry, which reduces the chances of errors creeping into your records.

Reconciliation
Another useful feature is how Dext helps with reconciliation. It automatically matches invoices with purchase orders and payments, making sure everything adds up and nothing is missed. This helps keep your records up-to-date, accurate and transparent.

 

The Benefits of Automating Accounts Payable with Dext
For businesses in the UK, automating accounts payable with Dext can offer some real, tangible benefits:

Time and Cost Savings
By automating time-consuming tasks like document capture and data entry, Dext allows your finance team to focus on higher-value work. Over time, this can lead to significant cost savings.

Improved Accuracy
Manual data entry is a recipe for mistakes, but Dext’s AI-driven data extraction ensures your records are accurate. This reduces the likelihood of errors and makes sure your financial reports are spot on.

Better Cash Flow Management
With Dext, you get real-time visibility into your accounts payable. This means you can make sure invoices are paid on time, improving cash flow and strengthening your relationships with suppliers.

Paperless Accounting
Moving to a paperless system with Dext doesn’t just make things easier; it’s also better for the environment. All your invoices and receipts are stored digitally, which makes audits easier and reduces your carbon footprint.

 

Seamless Integration with Popular UK Accounting Software

One of the reasons why so many UK businesses use Dext is its ability to integrate smoothly with popular accounting software. These integrations mean that once you’ve processed your invoices in Dext, the data is automatically synced with your accounting software. This eliminates the need for double data entry, keeping everything consistent and accurate.

By using Dext alongside your accounting software, you can:

• Cut down on manual data entry.
• Ensure your financial records are always accurate.
• Stay compliant with UK tax regulations and reporting standards.