In Australia alone there is 1.2 billion invoices transacted annually and growing steadily. The most obvious benefit from e-invoicing would be the time and cost savings from the automation of the data entry process. It is estimated that a typical paper invoice would cost $30.87 and a pdf invoice would cost $27.67, and moving to e-invoicing would dramatically reduce cost to $9.18, a saving of over 70% vs. traditional paper.
Processing Cost of Invoices
As data entry is automated through e-invoices, there will be also fewer errors or lost invoices. The e-invoicing standards will ensure that information exchanged is correct and of high quality.
Given the above, e-invoicing is expected to improve cash flow, quicker payments from your customers, and avoid fees from late payments. Australian businesses are collectively owed $26Bn AUD in unpaid invoices at any given time mainly due to late payments, of which over 20% are due to errors on invoices and of those, and over 20% are due to the invoice being sent to the wrong recipient following manual data entry.
Given that e-invoices are received directly into the business's financial systems, minimising the risk of fake or compromised invoices. E-invoices are sent between the sender and receivers chosen service providers and software. The integrity of e-invoicing will streamline interactions between businesses and with government. It will reduce opportunities of billing scams and money loss, as the transaction is part of a secure and reliable framework.
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