Reasons to digitise invoicing in your business
24th November 2021
You mean other than “working from a beach”?(Don't you have to actually go to a beach for that? What's the point then?) Yes, other than that you’re right – the reasons are innumerable! In this blog post I would like to share with you the major benefits of digitising invoicing.
What is digital invoicing?
Simply put, digital invoicing is the process of replacing paper invoices with electronic ones. Electronic invoices can be sent and received through email or a website, eliminating the need for paper copies. This system is more secure because it eliminates the risk of paper documents being lost or stolen, and it also eliminates the cost of paying for postage for paper invoices.
What are the benefits of digitising invoices?
The benefits of digital invoicing go beyond simply saving money, however. For example, companies can use digital invoicing to create an automated payment system that will automatically invoice clients when certain criteria are met. This allows businesses to recognize revenue more quickly and can even improve cash flow. Digital invoicing can also help businesses identify problems with inventory or product sales at an early stage by giving you real-time information about your business' finances.
A lot of businesses don't offer customers the option to send invoices to their customers because they don't want to digitise their invoicing. The old-fashioned way is much easier -right? One of the major benefits digitising invoicing can offer your business is speed and accuracy. Digitising allows you to create and send an invoice in seconds, while some businesses still need to enter all their data by hand on printed paper.
It is estimated that sending invoices digitally could save UK businesses up to £10 billion a year. This power of digital is something more SMEs should look into. Digitisation also means that every invoice will be exactly the same, which helps eliminate any room for mistakes or fraudulently altered documents.
So should I switch from paper?
Although the concept of a 'paperless office' has been around for a while now, most businesses still rely on paper to conduct their day-to-day operations. On the surface, setting up a digital invoice system doesn't seem to make a great deal of sense - but as you dig deeper, it's clear there's plenty of good reasons to make the transition from paper invoices to an electronic system.
Ultimately, it is about understanding where this technology can make a difference to you, your business and your customers. Once you have established this, the process of digitising invoicing will be smoother. Nonetheless, whatever the size of your company or business, it is likely that there are savings to be made by digitising these processes. A good way to begin with the switch is by adopting an automated invoice software solution. This will help you understand if digital invoicing is right for you, and if so which platform suits you best.