Inefficient processes in any area of business can hinder profitability and growth. While many areas require expensive solutions to fix, there is one area so simple it's a no-brainer. We’re talking about paper invoicing.
Businesses exchange millions of invoices throughout the year. It doesn't matter what size the business is, managing account payables and receivables are challenging processes. Businesses must deal with long payment cycles, late payments, errors and delayed validation, high processing costs, and hindered cash flow.
Monthly manual invoicing is time-consuming and turnaround time is slow, which stifles a business's cash flow. These days businesses are facing pressure to increase revenue and reduce costs by striving for more efficient ways to operate.
Digital tools such as E-invoicing can bring greater efficiency to your billing and accounts receivable processes. It is a simple and powerful solution that can relieve many of the challenges that stem from manual billing and AR processes.
If you are still sending paper invoices, it may be time to upgrade to electronic invoicing.
Give your business an upgrade with E-invoicing technology.
A business sends a request for payment to the customer for services rendered or for an agreed upon contract. This is called an invoice. An e-invoice is the digital iteration of the time-honored paper invoice used to notify a customer that it's time to pay for services rendered.
Creating your electronic invoice is a simple process and can be completely customized to include your own logo and branding. You’ll be able to include all the same pertinent information that you would have on your paper invoice.
Electronic invoices go directly to your customers' email or they can retrieve it in your customer portal. The customer initiates their invoice payment online through your online payment gateway. They can click on the “pay” button right in the email, which takes them to your payment gateway portal. Customers have the convenience of choosing the payment option that best fits their needs. They can choose to pay either by entering credit card information or with bank transfer by simply entering their bank routing and account number.
Invoice tracking allows you to keep track of whether your customers have received and opened their invoice. It also keeps track of who has submitted payments for invoices as well.
The benefits of E-invoicing are many.
Electronic Invoicing is a practical way to streamline operations. It brings speed and flexibility to invoicing. And utilizing digital payments makes both sending and paying bills simpler and quicker.
E-invoicing brings many benefits:
Mobile innovations coupled with cloud technology have dramatically changed the way businesses operate. No longer do we have to sit behind a desk on our desktop computer doing hours of data entry just so we can print an invoice to mail. Online invoices give the ability to manage invoicing from anywhere at any time.
When you enter invoice data at time of service, there’s less chance of error. You're able to analyze data in real time and correct any errors quickly and easily. This cuts down on invoice verification times as well as editing and re-invoicing times. Everything happens almost instantly.
Automation saves time and money
E-invoicing allows you to automate many processes that are labor intensive. Easily create recurring invoicing for consistent customers so your regulars are billed in a timely manner. Businesses can still accept a deposit towards a job and even a partial payment on account.
Sending reminder email notifications and late notices is now automatic. If a customer doesn’t pay on time, late fees can be applied automatically.
This can greatly reduce outstanding payments and help you get paid on time. Getting paid on time means businesses enjoy a more regular cash flow.
Digital invoices also allow for quick and simple editing of invoices. If changes are required, edits are made and invoices are updated with the touch of a button.
Improved cash flow
Electronic invoicing allows you to quickly and easily invoice as soon as the service is completed. There's no reason to wait till month end and send all your invoices at once. Instead of waiting days or weeks to get paid, businesses get payments for services much quicker. Studies show that a full 39% of invoices will result in being paid late. And the main reason for late payments? Errors that caused a delay in making the payment.
Electronic invoices get paid much quicker than mailed invoices, and there is less incidence of late payments.
By cutting billing and payment processing time significantly, businesses enjoy a positive impact on cash flow.
Know exactly where you stand throughout every step of the invoicing process. Invoice tracking tells you when the customer receives the invoices and tracks invoice open rate. It also keeps track of which clients have submitted their invoice payment.
Real-time data and useful reports
Digital invoicing programs allow you to gather data surrounding accounts and turn it into valuable reports. Keep better track of accounts receivable by accessing real-time information. Easily see how many total invoices are outstanding and how many have been paid. Or dive into a particular client’s account history and track payments. Analyze sales trends and keep a better handle on cash flow.
Easily integrates with your current accounting software.
Most E-invoicing software will integrate seamlessly with your current accounting software. Even Quickbooks. The software can match payments with invoices to ensure your books are up to date in real time.
Clean and green
If being environmentally conscious is important to your company, e-invoicing is a great way to step up. Digital invoices and storing files in the cloud reduces waste and carbon footprint.
E-invoicing can in some businesses help reduce chargebacks by collecting more information and by providing an electronic paper trail. Easily find and pull up any invoice without going through boxes or file cabinets looking for old invoices.
Reduce costs of accepting payments
Many service and B2B businesses can be considered medium to high risk when they collect on services after providing it. On top of that, taking payment over the phone generally puts transactions into a more expensive interchange category. E-invoicing can help you qualify for better Interchange payment processing categories than phone payments - reducing rates.
Depositing and processing paper checks is more costly than most business owners think. But E-checks or banking transfers payments using account and routing information is not only fast, it's also cheaper than accepting credit card payments.
Convenient for your customers
Improving your customers experience with you will help you have a better customer relationship. No one likes friction when it comes to paying. E-invoices help to reduce friction by giving customers more options. The customer gets to decide when and how they want to pay.
Customers can quickly and easily handle their payables with just a click of a button. And they can rest assured their payments are secure. As with all methods of accepting payments, payments through electronic invoicing meet current data security standards and are all PCI Compliant.
Now they have a variety of payment options to choose from so they can pick the most convenient method for them. They no longer have to worry about mailing their check. Or worry that it didn’t get there on time and they’ll be charged a late fee. They can easily pay online with a credit card, debit card, or ACH.
Knowing that they can pay electronically allows them to wait to pay and still get their payment in on time. And electronic invoicing and account management lets customers have more control over their own accounts.
In contrast to a late notice, a friendly email reminder letting them know their payment date is drawing near is much more customer-centric. Especially when it includes a convenient “Pay Now” button that takes them directly to your secure payment gateway.
Streamline invoicing and payments with Electronic Invoicing from BIG.
If you’re looking to streamline your payment processes, look no further than Bankcard International Group (BIG).
Time is one of our most precious commodities. Anything that can turn a time-consuming, manual process into an efficient automated process is invaluable.
Physical invoices were fine in a time when there was no other way to bill and get paid. Today, they are labor intensive and expensive. E-invoicing is a simple yet powerful tool. Replacing paper-based invoicing helps reduce friction in both invoicing and receiving payments as well as reduces labor costs.
If you want to learn more about the electronic invoicing options available, call us today. Our team consists of highly experienced, ETA-Certified merchant service professionals. Our goal is to bring our clients legitimate and affordable solutions that support the success of their business. We’d love the opportunity to show you what integrity in merchant services means.
Come experience “The BIG Difference”!