Accounts receivable automation software helps businesses digitize and streamline cash application (including payment matching, bank account and statement management, and remittance advice management), credit and risk management, and collections processes. The best solutions reduce errors, cut the time it takes to apply cash from weeks to minutes, and improve cash flow visibility. Below are the top 10 AR automation platforms in 2025, including Serrala, HighRadius, and Hubifi, with key features and ideal use cases.
Robust, flexible, and transparent accounts receivable processes are a key element of any organization’s ability to grow and thrive. Without the ability to quickly and efficiently collect cash from your customers, your organization will struggle to make key investments in both existing work orders and strategic initiatives. High Days Sales Outstanding (DSO) and bad debt ratios are key predictors of a business’s capacity to keep functioning as a going concern. Slow cash application processes and high levels of unapplied cash are a significant bottleneck to operational success. And without strong credit management workflows, your business won’t be in a position to do deals that’re both right for your risk appetite and position and fair to your customers.
The major obstacles to efficient AR are nonstandard manual processes dependent on legacy technologies and non-integrated data sources that cause exceptions to be more common than rules, and the lack of visibility and control that results from these processes. With the right automation software, accounts receivable transforms from a back office operational department into a key contributor to organizational financial health, strategic decision making, and growth.
Choosing the right software partner means your organization benefits from an almost complete elimination of unapplied cash, reduced bad debt, faster collections with lower overall DSO, and instantly-accessible insight into current and forecasted cash flows, credit agreements, and customer financial health. All of which adds up to stronger global cash flow control, better customer relationships, and more confidence in strategic decision making and scenario planning for the CFO and the board.
But choosing the right AR automation software is like choosing any enterprise software: not easy. You can’t just pick something that’ll alleviate the challenges you’re facing now. It needs to scale with you, integrate and cooperate with your ERP platform and other systems of record, take some of the maintenance burden off your IT teams, and comply with all the regulations in the markets you do business in.
It’s a big investment. To help you make it the right way, we’ve created this guide. In it, you’ll find a list of the top 10 players in the space as of 2025, along with a few pointers on making the pick that’s right for you.
9 signs you need to automate accounts receivable
- Your teams have too much work to do meaningful work
Excess manual workloads are the canary in the coal mine for AR automation necessity. As we’ve said elsewhere, businesses currently lose an average of 44 hours per week to rote manual tasks in finance. If you’re managing tens or even hundreds of thousands of customer invoices—especially across multiple territories with their own banking partners, regulatory frameworks, and customer payment behaviours—managing them by hand represents a major drag on your AR teams’ productivity. Automation aside, your only options are to increase headcount or to put even more pressure on the people you’ve already got.
- Your processes are outdated, not standardized, or highly manual
This needn’t mean you’re still sending paper invoices through the mail: even if you’re working with digital invoices of one kind or another, your teams will lose minutes or hours re-entering data, switching between systems, and conducting checks to match product or work units, prices, and purchase orders to the correct customer accounts. In these circumstances, AR automation software is a must. Not just because it saves your teams time, but because it makes errors much less likely.
- Error rates in invoices, cash application, and collections are mounting
Highly manual AR processes are a breeding ground for human error. These can include annoying but mostly benign mistakes like entering the wrong purchase order or payment amount on an invoice, mislaying a remittance statement (something that’s easy to do if they’re sent on a different channel from the payment itself), or forgetting to follow up on an overdue payment. But they can also extend to more significant errors like extending credit to the wrong customer—something that can expose the business to unnecessary risk or even financial harm. AR automation reduces the scope for error by taking tedious tasks that require exacting precision out of human hands entirely.
- Matching payments to invoices takes days or even weeks
The average organization has about 33% of its working capital locked up in inefficient AR workflows. It’s very common for large or growing organizations—especially those operating internationally—to have to wait several weeks before they can clearly reconcile incoming transactions. If you’re working with a central AR clearing house in your head office and getting periodic retrospective reports from your regional teams, it’s likely you won’t only not be able to put cash that’s already in your accounts to work. You may not even know it’s there.
- You can’t enforce regulatory compliance—and it’s slowing your expansion
Many jurisdictions are making increasingly onerous demands of businesses in terms of tax compliance. Know Your Customer mandates and continuous financial reporting mandates make automation in AR essential if your organization wants to expand into many markets—it’s simply not possible to comply without software anymore.
- Legacy systems are disrupting your finance operations
Most organizations buy enterprise software on an ad hoc basis to solve specific challenges. Unfortunately, this creates IT landscapes where multiple “best-of-breed” solutions operate without any kind of data integration. Passing information between systems like your ERP platform, your accounting software, and your procurement and vendor management systems either has to be done manually or requires complex customizations. The right AR automation software can easily solve these challenges and ensure smoother, faster workflows.
- Poor visibility leads to poor cash flow control
An AR department that relies on manual processes and disconnected systems is an AR department that isn’t in full control of the cash it’s responsible for collecting. Compiling reports and deriving insights on cash flow performance becomes a protracted and tedious affair—and completing the month-end close within the following month becomes a real challenge, let alone accurately forecasting future revenue and risk. Many companies find that AR automation software not only makes navigating their available working capital simpler, but also reduces time needed for routine events. It can even allow for the progression from retrospective quarterly reporting and forecasting to a continuous, real-time approach.
- Customer disputes and defections are on the rise
The single biggest reason a customer might leave you isn’t poor service—it’s poor AR and collections processes. If your customer doesn’t receive accurate invoices with clear payment terms and processes (and if you can’t accurately record their payments), they’ll be much more likely to raise disputes or complaints. What’s more, your AR teams will waste their time responding to these rather than reviewing and improving overall strategy.
AR automation software ensures your customers get the right bills, can pay them promptly, and that you can keep a close eye on both their behaviour and yours. Leading to greater satisfaction all round, improved relationships, and healthier cash flows.
- You’re missing out on opportunities because you can’t pay for them
As mentioned above, if 33% of your working capital reserves are locked in obsolete AR processes, your organization is trying to pursue its investment and growth goals with one hand tied behind its back. You can’t make use of unapplied cash, you can’t invest late payments, and you can’t maintain your operations on the back of poorly advanced lines of credit. AR automation ensures that your unapplied cash is minimized and common working capital bottlenecks like slow collections and sub-optimal credit decisions are stopped before they start.
What is AR automation software?
AR automation software is exactly what it sounds like: a solution or set of solutions that digitizes and automates some or all of the processes involved in cash application, credit management, and collections workflows—along with analysis and reporting on all of the above across different bank accounts, payment channels, and countries and regions.
- Deploying accounts receivable software comes with tangible business benefits like:
- Faster cash application (Serrala’s customers often automate their entire matching and application process and see unapplied cash drop by over 90%).
- Improved overall collections efficiency (Serrala customers typically see 50% improvements to their collection process efficiency).
- Reduced bad debt (Serrala’s customers report a minimum reduction of 10%).
- Reduced data entry workload through automated invoice generation, bank statement, remittance, and payment reconciliation, master data management, and integration with other common tools across credit management and collection processes.
- Improved cash flow and working capital availability through better credit decisions, faster collections, and instant cash application.
- Better risk management and security against customer defaults.
- Greater scalability and interoperability/integration with other systems like ERP platforms and accountancy software.
Not all AR automation software is created equal. Some solutions are specialized for niche parts of the workflow. Others, like Serrala’s cloud-based Alevate AR and SAP-embedded FS2 AutoBank, FS2 Credit, and FS2 Collections cover the entire workflow. And also integrate with other systems to seamlessly incorporate other sources like customer master data, bank account data, and customer performance, financial health, and credit rating history.
The best AR automation software on the market today eliminates 80% or more of the manual labor associated with accounts receivable workflows—with some processes like cash application seeing automation rates of 99% or even 100%.
Solutions achieve this by:
- Automatically associating incoming payments with centralized customer, invoice, and sales data.
- Performing automated matching of remittance statements from a variety of sources (including embedded transaction data in incoming payment files, email remittance statements, and more).
- Identifying action needs in processes and escalating them automatically (e.g. automatically sending reminders on pre-defined communication channels when invoices are near due, recommending follow up actions for overdue invoices, and automatically instituting payment plan or credit adjustments).
- Pushing approvals for collections plans, credit agreements, and the like to channels where key stakeholders are more likely to act immediately (such as Microsoft Teams).
- Acting as a single source of truth that uses clean data sources and generative AI to create bespoke reports on your KPIs on-demand.
Must-have features for AR automation software in 2025
- Flexible, rules-based real-time automation
A worthwhile AR automation solution will significantly reduce your teams’ everyday workloads. Top performing solutions aim to eliminate around 80% of day-to-day tasks.
- Intelligent data capture and approval routing
The most advanced AR automation systems make use of AI to capture structured and unstructured data from outgoing invoices, customer contracts, and credit agreements to automatically match payments to accounts, send reminders, and recommend changes where necessary to the appropriate stakeholders. Your people only become involved in basic AR workflows when their intervention is needed.
- Self-service supplier tools
Customer portals for onboarding, billing, queries, and dispute handling are an increasingly common feature of the best AR automation platforms. These take further strain off your teams by giving your customers the ability to manage their part of the process and overcome obstacles frictionlessly, and by creating a single documentary source of all communications, contracts, payment requests, payments made, outstanding balances, and payment plans.
- Continuous compliance and always-on security
Cloud-based AR automation solutions make use of their vendor-side architecture to manage the overhead of tax and legal compliance and security on your behalf. Protecting you from legal risk, data breaches, and the consequences of human error in data entry and mandatory reporting.
- Global visibility and control of all pending and realized receipts
The best AR automation solutions don’t just automate invoice creation and sending; they automate cash reconciliation, all aspects of credit and credit associated risk management, and collections workflows and task routing. Helping your organization transition from retroactive period-based reporting to real-time visibility. And making more robust and accurate forecasting, planning, and analysis possible for the entire finance department.
Top 10 AR automation software solutions to consider in 2025
- Serrala Alevate AR
- YayPay by Quadient
- Versapay
- Invoiced
- Billtrust
- HighRadius
- Hubifi
- Sage Intacct
- Cforia
- Tesorio
1. Serrala Alevate AR
Serrala Alevate AR is a cloud based AR automation solution with integrations for all ERPs. Key features include fully automated cash application and intelligent collections workflows that boost overall AR efficiency by 50% or more. Is it perfect for fast-growing companies with high DSO and poor cash flow due to manual and fragmented AR processes.
Alevate AR is the ideal solution for CFOs and AR teams in agile organizations struggling with challenges like:
- Complex, error-prone processes reliant on nonstandard manual workflows.
- Poor data quality and visibility caused by varied invoice and payment formats and siloed systems.
- Stringent digitized compliance regimes that demand instant reporting.
Alevate AR completely automates your entire AR workflow, allowing for reduced billing support, streamlined collections, and complete visibility of all incoming cash. Its AI-enabled approach to automation lets your organization collect and apply cash optimally in any circumstances, eliminate error, and stay compliant. All while eliminating 80% or more of the manual work that keeps your teams from more important tasks and providing instant generative AI reporting and analytics that yield actionable insight to fuel your organization’s growth journey.
AR teams report the solution allows them to:
- Reduce DSO by up to 30%
- Reduce total AR workloads by up to 25%
- Significantly boost working capital availability
2. YayPay by Quadient
YayPay provides a real-time view of receivables and allows teams to quickly identify at-risk invoices, and automates routine communications and follow ups. It’s a strong contender in collections specifically, and a good bet for businesses looking to take a more structured approach.
3. Versapay
Versapay offers a cloud-based platform designed for mid-market and larger organizations, and automates the entire invoice-to-cash process. Its strongest feature is its customer portal, which aims to connect AR teams directly to customers and create a more collaborative environment. Perfect for companies looking to reduce customer disputes and queries.
4. Invoiced
Invoiced is a specialist provider that aims to improve the B2B customer payment experience, and is designed with the aim of making paying invoices as simple as possible. Great for growing organizations with disjointed collections processes that need to migrate to a simpler and more streamlined approach to getting paid.
5. Billtrust
Covering the entire AR lifecycle, Billtrust combines automated payment processing with electronic invoicing and a smart collections approach. A great fit for companies at the beginning of their finance’s digital transformation journey that provides a modern, flexible payment experience for customers.
6. HighRadius
An AI-powered AR automation platform built for enterprise level companies. Automates everything from invoices to collections and cash application. HighRadius is particularly strong when it comes to optimizing collections workflows, using predictive AI to narrow down payment dates and prioritize your collection teams’ efforts. A good bet for organizations with high invoice volumes.
7. HubiFi
Designed for high-volume businesses looking to both automate AR and better understand data flows across different systems and gain better control of complex revenues streams. Particularly strong in the areas of digital compliance and auditing readiness, especially for ASC 606.
8. Sage Intacct
An accounting system with a very strong AR module. Its user-friendly interface and simple workflows make it particularly useful for mid-sized organizations with less specialized AR teams.
9. Cforia
Built to handle high volumes of transactions across multipl currencies, languages, and business units, Cforia is a good choice for large and complex organizations looking to rationalize and streamline worldwide AR operations.
10. Tesorio
Tesorio puts cash flow management at the core of its product offering, and is an excellent option for teams that need enhanced visibility for strategic decision making.
Which AR automation software is right for your business?
The answer to this question depends a lot on your size, trajectory, priorities, and needs. Smaller businesses will generally need less complex AR automation software – but if you’re a smaller company with high growth potential or you’re looking to expand into new markets in the near future, enterprise-grade solutions might be the only thing that matches your ambition.
At every level, you’ll need to make your choices based on your immediate tactical needs and pain points, your medium- and long-term strategic goals, and considerations like your existing technology investments.
How can Serrala’s software solutions help your organization automate its accounts receivable workflows?
Serrala’s AI-powered AR automation solutions are trusted by over 2,800 world-leading brands to achieve the highest possible process automation rates. Eliminating over 80% of manual efforts in accounts receivable, saving weeks’ worth of time, and unlocking new possibilities in strategic decision making and company achievement.
Serrala solutions make real-time cash application, credit decision making, and fully automated collections workflows a reality, integrate seamlessly with both other software systems of record and external data feeds, and provide CFOs and their teams with total visibility and control of all order to cash processes.
Serrala’s AR automation software solutions are available as fully standalone cloud or hybrid deployments with multiple ERP integrations, or as fully-embedded extensions of SAP S/4HANA and EEC.
If you’re interested in learning more about what we can do for you, get in touch with us today to book a demo.
Frequently asked questions
Are the Serrala AR automation solutions available on a standalone basis?
Although Order-to-Cash process optimization is maximized by using Serrala’s AR automation solutions together, each solution is also available on a standalone basis and can be combined as needed. This gives your organization the flexibility to automate and optimize the areas that matter most, with the option to add additional solutions at any time.
How does AR automation help reduce days sales outstanding (DSO)?
By automating the invoicing and payment process, AR automation eliminates delays caused by manual workflows. Features like automated payment reminders and self-service portals for customers ensure payments are made faster. Plus, with tools to track overdue accounts in real time, your team can address issues proactively and keep DSO in check.
What should I look for in an accounts receivable automation solution?
- When evaluating AR automation solutions, focus on finding a tool that offers:
- Intelligent automation: streamline processes and reduce manual input
- Seamless integrations: compatibility with your ERP, CRM, and other key systems
- Real-time analytics: actionable insights to optimize cash flow and receivables
- User-friendly design: easy adoption for your team and your customers
- Self-service customer payment portal: empower your customers to view invoices, make payments, and manage their accounts independently, improving their experience and accelerating payment cycles
- Scalability: a solution that evolves with your business needs
Can AR automation help with calculating net working capital?
Yes. AR automation provides accurate, real-time data on accounts receivable, a critical component of your working capital. By accelerating collections and improving transparency, AR automation ensures you have the insights needed to optimize net working capital and maintain financial stability.
How long does the solution implementation journey take on average?
The specific automation and optimization requirements typically vary from company to company. To establish an accurate estimate of the required effort, our solution experts will scope a journey tailored to your organisation’s needs, requirements and budget. Our experts are happy to provide more information upon request.
