Before the introduction of technology in the business world, business owners used to create invoices at the end of each billing period, print them, place them in an envelope then mail them to their clients. When using the traditional invoicing system, there is a high risk of the clients not getting the mail on time and also the period within which you will receive payment will be prolonged, as it takes time for the invoice to be processed by the client. Creation and sending of invoices has been made easy through the introduction of electronic invoicing systems. By using electronic invoices, you will be able to enjoy a multitude of benefits as will be discussed here.
The electronic invoicing system will enable you to send out your invoices immediately. Considering that electronic invoices can be sent directly to the client, you do not have to worry about waiting for your accountant or bookkeeper to do the sending on your behalf. Electronic invoices can also be created at anytime anywhere as opposed to conventional invoices which can only be created at a specific place such as an office.
As opposed to the traditional invoices, electronic invoices are easy to track once sent to the clients. The electronic invoicing will help you view the payment status by identifying which invoices have been paid, as well as those that due or past due dates. By using electronic invoicing, you will be able to run reports on your accounts receivables thereby getting an insight on which clients are poor payers. In case you need to carry out an audit on your accounts, you will not have to worry about the process as the electronic invoicing system will help you keep track of all your accounting transactions.
Being paid faster is another important benefit that comes with the use of electronic invoices. Considering that electronic invoices have the same day delivery aspect, you will not have to worry about whether the invoiced was received by the client as the system automatically updates you once he or she opens it. Through online payment, you will be able to save on time as the clients can pay you instantly as it is a fast and easy way of making a payment. Since electronic invoicing is safe to use, you will be assured of the better security of your finances as compared to other alternatives.
Since having an accountant or bookkeeper to do all the invoicing for you costs money, electronic invoicing will enable you to save time and money you would have spent on the staff. With the use of electronic invoices, you will not have to worry about dealing with complex accounts reconciliations, as you will be able to keep track of your business’s cash flow, by sending the invoices to your clients on a weekly, monthly or quarterly basis. To enjoy the numerous benefits that come with using electronic invoices, I would suggest that you try it out.