What on earth is E- invoicing I hear you cry?
E Invoicing is Electronic Invoicing, a way that companies can send an invoice electronically into a clients finance system. Not only is this quick and efficient it reduces the amount of paper used to produce physical bills, it also reduces postage costs.
Companies can purchase E – Invoicing systems to integrate with their own systems. Sending an invoice in an email could be insecure, yet these new E- Invoicing programmes ensure invoices are properly formatted, have VAT options and are securely sent to the client.
There are some great benefits using such systems, two of which I mentioned previously with reducing costs. Invoices can be scheduled and promote payment on time. The system is secure and invoices shouldn’t go walkies. You can visibly see the amount of invoices raised and sent out to clients and track their progress. The system improves relationships across the supply chain. You are notified when a client receives and opens the invoice and at the end of the day you will not be storing thousands of invoices like the good old days, when it would take you hours to find the invoice you sent on the 2nd of may 2009. These invoices are stored online, and doing so reduces error and duplication.
E- Invoicing systems are the perfect way to streamline any company, information is calculated an inputted into the invoice so you don’t have to spend hours working out costs and so on.
E invoicing is also a great advantage when it comes to factoring, we can track the process of customer payment, and ensure everyone is paid up on time. The difference with factoring is you’ll receive your payments well before the clients pay the invoices, this is the joy and allows companies to gain capital tied up in invoices.