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Read IDC’s MarketScape Report for Top Global AP Automation Solutions.
Common Small Business AP Challenges
Many small business owners start with spreadsheets or entry-level accounting tools. But as operations grow, those manual processes start to hurt:
- Time drain: Teams spend hours chasing invoices, approvals, or payment statuses.
- Errors and duplicate payments: Manual data entry often results in costly mistakes.
- Late payments: Invoices sit in inboxes, creating cash flow issues and vendor friction.
- Lack of visibility: No real-time view into liabilities, spending, or upcoming due dates.
- Scaling limits: Tools like Excel or QuickBooks can’t handle multi-entity or global payments.
These issues become major bottlenecks—and costly—when your invoice volume increases, you onboard more vendors, or expand globally.
That’s why forward-thinking finance leaders are turning to automation.
Benefits of AP Software
When a small business adds accounts payable automation software to the back office, it gains the ability to automate legacy accounting systems to complete the AP process. With robust payable solutions, small businesses can improve cash flow and tighten up accounts payable.
Other benefits include:
- Early payments: Never miss 2/10 net 30 opportunities.
- Avoid Late fees: Timely payments reduce penalties.
- Real-time views: Viewing real-time data leads to more intelligent decision-making.
- Remote Access: Supplier invoices are stored on remote servers, so documents can be accessed from anywhere at any time. This is a huge advantage over traditional hard-copy AP management, which is incompatible with today’s gig culture. Some software services also offer mobile apps, adding another layer of convenience.
- Fewer errors: AI-powered OCR eliminates data entry mistakes.Automation software is more accurate than accounting and finance team members using time-consuming, manual processes. Invoice automation significantly reduces human error. Digital accounting solutions provide attention levels that aren’t possible with traditional payment processing as manual work and flag discrepancies.
Ready to Stop Letting Manual AP Hold You Back?
As your business scales, so do your payables—and manual processes can’t keep up.
Tipalti grows with you, eliminating up to 80% of AP work and giving your team time back to focus on strategic growth.
What is Accounts Payable Software for Small Businesses?
Accounts payable software for small businesses automates invoice processing, approvals, and payments—giving finance teams a way to reduce manual work, gain better visibility, and scale operations.
Tools like Tipalti, QuickBooks, and Xero replace spreadsheets or siloed systems that create bottlenecks as companies grow.
Can you use Excel for AP? Sure—but as soon as your vendor list grows or you miss a payment, it’s time to switch to automation.
Top 7 Accounts Payable Tools for Small Businesses
| Feature | Tipalti | BILL | QuickBooks | Stampli | Xero | Beanworks | Melio |
|---|---|---|---|---|---|---|---|
| Supplier Self-Onboarding |  | | X | | X | | X |
| Global Payments | | | X | | X | X | |
| OCR + AI Coding | | | X | | | | |
| Tax Compliance Engine | | X | X | | X | X | X |
| Multi-Entity & Consolidated Views | | | X | | X | | |
Tipalti
Best for: End-to-end automation with global payments and tax compliance
Tipalti automates the entire AP lifecycle: onboarding, invoice capture, approvals, payments, and reconciliation. It handles 50+ payment methods across 200 countries and supports tax compliance in 62 jurisdictions.
Tipalti’s user-friendly cloud AP automation solution for end-to-end accounts payable workflow is an add-on with accounting software or ERP integration. Tipalti AP automation is a flagship product in its unified finance automation platform. Its accounts payable software for small businesses ranks as one of the best AP automation software for small businesses.
Other Tipalti products besides AP automation include Global Payments for payouts, Procurement, Expenses for employee expense claims management through a mobile app, and advanced FX software for foreign exchange in accounts payable (Multi-FX and FX Hedging). Tipalti provides scalability for small and medium-sized companies as they grow into large companies.
Top Features
Tipalti AP automation top features include:
- Self-service supplier onboarding
- Digital invoice processing with invoice data capture using OCR
- AI account coding
- Automatic approval workflows, including the invoice approval process routing
- Visibility of cash requirements when scheduling batch payments
- AI-driven spend analysis with queries
- Robust and easy global payments
- Automated regulatory compliance and tax compliance simplicity
- Instant payment reconciliation
- Audit trail
Features for AP automation include electronic invoice capture with AI-driven optical character recognition (OCR). The company’s software always obtains tax data from payees during the onboarding process before the first payment.
The software can quickly identify payment conflicts and obtain missing information from a payee. Sending cross-border payments is further simplified with tools that meet global regulatory and tax compliance. Tipalti AP automation provides instant payment reconciliation.
Tipalti handles digital invoice processing, specializing in handling U.S. and global payments with 50+ payment methods. The brand delivers functionality in 120 currencies across 200 countries. Money can be sent via ACH, PayPal, debit cards, global ACH, wire transfer, and other methods. Tipalti is a trustworthy, licensed money services business (MSB).
Tipalti accounts payable automation software helps you spend less through better visibility and control, as well as by taking timely early payment discounts to improve cash flow management.
When your primary accounting or ERP software has multi-entity functionality, Tipalti provides multi-entity functionality with entity and combined views. Software features can be added to scalable Tipalti AP automation software as your business expands through organic growth, M&A, and international operations.
Integrations
Tipalti’s platform integrates with multiple ERP systems and accounting software programs, including QuickBooks Online, Xero, Oracle NetSuite, and Sage Intacct.
Price Range $ – $$ (See our pricing plans here )
Customers
Tipalti has over 5,000 customers and boasts a high customer retention rate. Its satisfied customers are featured in Tipalti case studies (customer stories) with testimonials.
Skillshare has been a fast-growing Tipalti customer (since 2018) using Tipalti AP automation integrated with QuickBooks in the online education industry. Skillshare has achieved efficiency in automated invoice processing and international payments.
“We used to spend three hours a week making payments. Now, it’s down to minutes. We have a seamless way of doing things now—with automation, we’re moving in the right direction.”
Leslie Pesante, Head of Finance, Skillshare
Akixi is a Tipalti AP automation customer using Tipalti AP automation integrated with Xero accounting software. Akixi offers real-time call reporting and business insights software to small and medium telecom companies through service providers.
“It’s a small company, and it has been run very tightly in the past. When I joined the company last year, part of my role was to modernise the finance function by introducing processes and controls to make it more automated and run more smoothly.”
Elena Cardnell, VP of Finance, Akixi
Akixi reached its accounts payable goals with Tipalti AP automation by improving supplier onboarding for payees, gaining invoice processing efficiencies, including faster approvals, and reducing invoice and financial reporting errors and fraud risks.
QuickBooks
Owned by Intuit, QuickBooks is popular for small businesses and freelancers. It’s available in web-based and mobile versions. QuickBooks can be used in either a cloud-based version, QuickBooks Online, or as a legacy program, QuickBooks Desktop.
Top Features
The top QuickBooks Online key features are:
- Invoice management
- QuickBooks Payments embedded in the software
- Payment tracking
- Exporting data to Excel
QuickBooks Online has an intuitive user interface and is customizable.
Invoice management includes invoice processing steps. The standalone QuickBooks Online software relies on manual data entry.
Approved QuickBooks Payments users can use Intuit as their payment processor to make payments via ACH, credit card, debit card, PayPal, Apple Pay, or wire transfer. Transaction fees and other fees are charged when making vendor payments through QuickBooks Payments.
QuickBooks doesn’t allow foreign bank account or foreign debit or credit card payments. But with integration of third-party AP automation software, you can make international and cross-border payments using multiple payment methods.
Integrations
QuickBooks Online has API integration with third-party add-on accounts payable automation software.
Price Range $
Customers
QuickBooks customers range from startups to small businesses and some mid-size companies in various industries. QuickBooks Desktop offers some industry-specific versions.
Xero
Small businesses on a budget should check out Xero accounting software as a starting point for accounts payable before automation.
Starting at just $20 per month, the low-cost plan offers the ability to enter quotes, send 20 invoices, and enter up to five bills. Xero offers a Growing plan for $47 per month and an Established plan for $80 per month. The SaaS plans offer optional integrated Gusto full-service payroll and Inventory Plus (in Growing and Established) with additional SaaS subscriptions.
Top Features
Top Xero features (by pricing plan) include:
- Reconcile bank transactions
- Multi-currency (Established plan)
- Project tracking (Established plan)
- Expense claims (Established plan)
- Advanced cash flow predictions with Analytics Plus (Established plan)
- Unlimited invoices (Growing and Established plans)
- Sales tax
- Short-term cash flow and business snapshot
Integrations
Xero has an open API for developers to integrate their third-party software with Xero accounting software. Xero integrates with over 1,000 third-party apps, including AP automation.
Price Range $
Customers
Xero’s small business customers work in various industries. Xero has 4.2 million+ subscribers in 180+ countries.
Beanworks (Quadient)
Quadient acquired Beanworks in March 2021. The Beanworks software is currently named Quadient Accounts Payable Automation by Beanworks. Quadient AP automation products include Invoice automation, payments, purchase orders, and expenses.
With a computer platform and mobile app, Beanworks helps AP offices quickly route purchase orders, payment approvals, and invoices. The platform also allows users to search for documents in real time.
Beanworks’ payments can be approved and released effortlessly. The company claims the software reduces more than 80% of traditional data entry tasks.
Quadient AP automation by Beanworks is by custom quote.
Top Features
Top Beanworks-Quadient AP automation features include:
- Automatic header and line item invoice data capture
- Automated approval routing
- Approve and release vendor payments
- Checklist of AP workflow completed for AP document
- Real-time expense management
Integrations
Beanworks-Quadient integrates with QuickBooks, Xero, Sage Intacct, and other small business accounting software.
Price Range $ – $$
Customers
Small businesses in various industries use Beanworks.
Melio
Melio is a payment platform that small businesses use to automate and process accounts payable invoices. Melio has three standard price plans (started with a free, very limited-use plan) and uses custom quotes for pricing its fourth (highest-level) Platinum plan. Melio also offers an accounts receivable automation product.
Top Features
Top Melio accounts payable automation features include:
- AI-powered sync, scan, or invoice upload
- Approval workflows
- Recurring payments
- Payment methods include instant payments, same-day ACH, checks, pay over time, and card payments.
- Choice of vendor’s preferred currency
- Cross-border payments
Integrations
Melio integrates with QuickBooks and Xero small business accounting software.
Price Range $ – $$
Customers
Melio’s small business customers operate in the following industries: professional services, food and beverage, wine and spirits, construction, retail, healthcare, nonprofits, logistics, and wholesale.
BILL
BILL can be used if your business needs to automate both accounts payable and accounts receivable. The BILL software is a mobile app (Android or iOS) and on a browser-based system.
Using either platform, it’s possible to capture invoices electronically. This makes data more searchable and facilitates administrative tasks. Approvals are made from either platform, which means employees can always work remotely.
For payments, BILL is compatible with domestic and foreign systems, credit cards (including virtual cards), ACH, checks, and wire transfers.
BILL offers several pricing schedules starting at $45 per month. Setting up a custom plan suitable for businesses with special needs is also possible.
Top Features
BILL features include:
- Capture invoice data
- Unlimited document storage
- Invoice approval routing
- Paying bills
- Accessing credit lines
- Syncing with integrated small business accounting software
Integrations
BILL integrates with small business accounting software from Xero, QuickBooks, Sage Intacct, and some ERP systems.
Price Range $
Customers
BILL primarily serves small businesses in different industries, although it has some midsize customers. The number of customers for BILL’s standalone platform in 2023 was 201,000.
Stampli
Stampli provides an accounts payable small business software solution that automates payables processes. It also includes procurement solutions.
Top Features
Stampli AP automation features include:
- Collaborative messaging for employees and vendors
- Tracking dispute resolution
- Digital invoice capture and invoice processing
- Handling complex POs and applying 3-way or 2-way matching
- Approval routing and payments
- AI copilot called Billy the Bot
- Recurring invoices
- Real-time visibility
- Audit trail
Integrations
Stampli integrates with accounting software, including QuickBooks Online, QuickBooks Desktop, and Sage Intacct, used by small businesses. It has 70+ software integrations.
Price Range $ – $$
Customers
Stampli’s customers are in various industries. It serves businesses of all sizes, from small businesses to medium-sized and enterprise.
Choosing the Right Software
Consider your invoice volume, vendor location (domestic vs. international), and payment complexity. If you:
- Use QuickBooks or Xero but need more control → Tipalti integrates directly
- Are expanding globally → Choose a solution like Tipalti with built-in FX and tax compliance
- Need faster close and less manual work → Pick tools with OCR, auto-coding, and ERP sync
Testimonial:
“Tipalti eliminated 60 hours/month of manual AP work. We can now focus on strategy, not tasks.” —
Therabody, Healthcare Tech
FAQs: AP Software for Small Business
Can you use Excel for accounts payable?
Yes, small businesses can use Excel for basic AP tracking, but it lacks automation, audit trails, and scalability. As invoice volume grows, switching to dedicated accounts payable software helps reduce errors and save time.
What is the easiest accounting software for a small business?
QuickBooks and Xero are two of the easiest accounting software options for small businesses, offering user-friendly interfaces and core bookkeeping features. For businesses ready to scale or automate payables, Tipalti integrates seamlessly with both platforms—adding powerful AP automation without the complexity.
Is AP automation worth it?
Yes. AP automation can reduce manual workload by up to 80%, minimize payment errors, and improve cash flow visibility. It’s especially valuable as small businesses scale or manage multiple vendors.
Automate AP and Cut Manual Work by 80%Tipalti integrates with your accounting system to digitize, scale, and secure payables—from invoice to reconciliation. Request a Demo
