Innovation is inescapable in our regular daily existences. This is on the grounds that existence without innovation is trivial in the present powerful world. One can use this technology to increase the quality of the service provided by them this will indirectly help them to increase their business. Read about invoice presentment.
One important thing in today’s business world is not to fall behind or miss any opportunity and stay ahead of Competitors. invoice presentment, also known as e-invoicing or electronic billing is the sending of invoices to their clients and vendors electronically in order to speed up the payment process.
Invoices are actually documents that hold the information of the transaction which is done between the buyer and the seller. Invoice presentment is basically an alternative of paper invoices with many additional features such as less time consuming, less expensive at the same time being more secure and flexible.
It is as easy as making receipts in a word format converting it into pdf format and mailing them to the respective client. Anyone holding basic knowledge of computers can find it easy to do as it not as complex as the name sounds.
Kinds of invoices presentment
Suppliers can use various types of invoices for the clients depending on the respective industry and the billing procedure of the service.
- Standard invoice
- Credit invoice
- Debit invoice
- Mixed invoice
- Commercial invoice
- Timesheet invoice
- Expense report
- Pro forma invoice
- Interim invoice
- Final invoice
- Past due invoice
- Recurring invoice
- E-invoice
Advantages of Invoice Presentment
- Safely dispatch of invoices over the internet in different formats to anywhere in the world by the providers/suppliers.
- Electric invoicing no matter what does not needs any paper or any physical document as it viewed as digital information.
- It is quick. The whole process of electronic invoice presentment is very speedy. When it is compared to the distribution of paper invoices, the time taken by e-invoices is much less.
- At the time when manpower is becoming so expensive and uncertain electronic invoice is a way out of it. It saves all the manpower which was otherwise required for sorting, opening, routing, and handling of the paper invoices.
- Electronic invoices can provide greater security as it can be easily monitored.
- Also when electronic invoices are easy to send at the same time it is easy to search. On the other hand, looking through paper invoices can take hours.
Disadvantages of Invoice Presentment
- E-invoices also have got safety issues as it is not in a form of hard copy. It should hold digital signatures and the ones having the permission used to be allowed to access the invoice as the invoice may contain some important information about the company or the client.
- An ambiguously drafted invoice may result in dispute and at times the company can face delay in payments.
- The invoice should be sent right after the transaction is done without any delay as the client can form a wrong impression about the company.
- Sending electronic invoices is not always efficient especially when your clients have no access to the internet or if one is staying in the rural area with no internet connection, in such places paper invoices are more preferred.
We are moving towards the era of automation. There is much software available in the market that can do the work of sending the electronic invoices. The main advantage of these software are that the customer gets the facility to make the payment directly from the invoice resulting in the quick payment to the business owner.
When the payment is done, a few frameworks will gather the information such as client accounts and can give a report on who has paid, how quick they paid, and if there were any issues, making it simpler for an entrepreneur to determine debates, mistakes, and oversee accounts all the more precisely at the same time keeping the record of all the information for further reference.