Electronic invoicing has many advantages over the time-consuming, traditional manual process of invoicing. Shifting over to an automated, digitised invoicing processes comes with serval benefits and the results speak for themselves.
When you automate your invoicing process, the software will intelligently extract all the critical and relevant information from the invoices and validate according to a predefined set of rules. This sophisticated technology process ensures absolute accuracy of all the information, as long as it has been inputted correctly by humans. Thus electronic invoicing gives you real-time access to accurate and reliable information about your invoices between generating the invoice through to customer payment.
Here are some of the exciting benefits you can look forward to if you digitise and automate your invoicing process:
Digitising your accounts receivables process results in significant business efficiencies. It frees up employees who were involved in the time consuming, repetitive process of generating, sending and following up on invoices and instead they can focus on more productive work.
Electronic invoicing offers material cost savings in the long run. You no longer need to pay employees to do tasks that are far more efficiently handled by an automated accounting system. In automating the process, you eliminate the costs of printing which, over time, mounts up into a considerable expense for the business.
A more seamless, structured and efficient e-invoicing process also results in faster payments by customers and better cash flows, which is undoubtedly the most significant benefit of going digital.
Automating your invoice payment process gives you transparency of the entire invoicing process. You can see what’s happening because the payment status of invoices is immediately visible. The system allows you to generate reports, performance metrics and document analytics that will provide you with essential insights into how your business is performing and where there are problems areas that you need to address.
Ultimately, electronic invoicing empowers you to make quick decisions, based on real-time and accurate business information, about spending, hiring and taking on additional work.
Shifting over to a digital invoicing system will give you far more control on your invoicing process. You will be able to customise how you send out branded invoices that look professional and personal.
They are trackable so you can have a firm grasp on your real-time cash position as you monitor the invoices and check whether they have been delivered, received or paid. Digital invoicing also allows you to set up convenient automating collection systems, including EFTs and credit card payments.
Digital invoice solutions also usually support customer preferences and, in many instances, can slot into their software solutions to provide a seamless end-to-end payment process.
You can decide when you want to receive reminders about sending invoices or checking the payment of invoices. Automated reminders and alerts are fully customisable and ensure that you are alerted to anything that needs to be done, including reminding customers payment date is nearing or following up on late payments.
Online digital invoice solutions give you the ability to collaborate with other team members or your bookkeepers and accountants by giving them access to the invoicing system. Together, you can assess the current financial position of the business and make any decisions needed to improve your growth potential. More eyes on the invoicing process will also ensure that you can detect potential errors earlier and proactively deal with them.
The security of your businesses financial information is crucial, whether it is stored online, in a file on your computer or in a physical folder. Digital invoicing offers state of the art data protection, with multiple levels of security, including industry-standard data encryption and two-step authentication. So you can rest easy knowing that your information is secure and accessible by only those you have approved and given access. That is particularly important if you are planning on archiving and storing all your financial information for years.
Electronic invoicing provides you with the ultimate flexibility to invoice anytime, anywhere so that you can send an invoice as soon as you have completed the job and speed up payment. Most cloud-based invoicing solutions will also offer mobile versions of their digital invoicing software.
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