A7. The top five eInvoicing financial benefits are:
(1) Save Time
When you receive a traditional invoice, it is usually entered into your accounting system. This can be time consuming and lead to errors, as the data is extracted electronically or manually entered. While third party applications can make data extraction easier, there is time involved while documents are processed. If you enter the data manually, it is a very time consuming process and errors can occur. eInvoicing eliminates the need for these processes saving you time and also reducing errors which can be costly to remedy.
(2) Reduce Costs
eInvoicing can reduce the cost of receiving an invoice by up to 90 per cent or €17 per invoice. Furthermore, the cost of sending an invoice can be reduced by 44 per cent or €13 per invoice. These estimates include everything that is involved in the process of sending or receiving an invoice.
(3) Faster payments
For suppliers in particular, eInvoicing helps to ensure they are receiving payments from their customers as quickly as possible. With money coming in faster and businesses being paid on time more often, this then causes an increased cash flow for business.
(4) Save the environment
eInvoicing cuts down, and in some cases can eliminate, paper from the invoicing process because it’s transferred electronically. This means eInvoicing reduces the amount of paper consumed considerably. Not only this, it can save business on costs such as paper, printers’ maintenance and ink.
(5) Improve communication / customer service
Chasing people to get an invoice paid on time can be stressful on business relationships. With e-Invoices the sender is notified when invoices are sent and the buyer receives notification when they receive the invoice in their system. As the initial communication is done for you and is available in the accounting system, it allows business relationships to stay as positive as possible.