If your business sends out invoices frequently, invoicing software is essential. Having to prepare manually entered invoice repeatedly is very tedious. You must send out the invoice within a day or two after completing the task at hand. This increases your chances of receiving prompt payment.
If the invoice doesn’t get out within a short period of job completion, quite often the customers also take some time before they respond. With that in mind, you need invoicing software that works for your business sending invoices quickly so as to receive prompt payment.
N/B: There are free invoicing solutions however they do not allow customizing templates. Free templates may lack features such as time-tracking among other features.
12 advantages of using online accounting invoices
1. Cloud-backed
As long as your invoicing and expense information is safely stored online, you do not have to incur filing costs. Upon logging in, all information you need to know is displayed in summary and can be expounded in detail.
2. Secure
Humans are creatures of habit -that goes without saying. So this explains why some would rather stick to what they are used to than jump into online invoicing. Others would rather hop onto online payment to safeguard their security concerns. Security should be the biggest drawer to online invoicing software given they operate under strict PCI Security standards.
Not just any company that applies for a PCI Security clearance gets it as advanced security protocols a system from loss and interference are involved. To be precise SSL encryption is at the fore.
3. Professional branding
Cloud-based invoicing solutions reinforce a brand’s identity. You can add a logo. Fonts and a color scheme that matches the brand voice. A strong identity marker such as a logo can increase your chances of getting paid threefold. Alternatively, you can rely on brand messages such as “Pleasure doing business” or upsell an additional product through an attached link.
Always guard your brand identity as this a measure of your expertise at what you do.
4. Simplicity and speed
Manually entering figures can drag on for almost half an hour depending on the complexity of the transaction. Enter your address, then the invoice number, not forgetting the itemized list of all products and services provided in a list-like manner. It doesn’t sound like something that could take a lot of time until you have to create than send out multiple invoices.
Here is where online invoice accounting software comes to the rescue. All information is stored in the cloud. All details including the clients’ names, address terms of payment and preferred payment method. Log into your account then select the client you intend to invoice. The process should take a minute or two.
5. Automated
The biggest advantage of online invoicing is the automation factor. Long-term clients can benefit from recurring payments. For instance, a subscription-based model requires you to pay small monthly sums that are heavily discounted if you opt for a year-long package.
6. Multi-lingual
Technology has created a “global village” where people from different countries can do business in harmony. For instance, someone from country A can order goods from country B where the language barriers are different. The conversations and communications will be facilitated by translation software and payments via invoice accounting software. Cloud-based computing is helping customers use their preferred invoicing platforms opening up possibilities that were previously non-existent.
7. Saves on costs
Online invoicing gets rid of costs associated with ink, paper, and postage. Studies show that adopting online invoicing can significantly reduce your operational costs.
8. Available 24/7
Online invoicing platforms are cloud-based meaning you do not have to make your way into the office to send them out or receive payment instantly. It can be operated from a laptop, tablet, or smartphone. The flexibility is unrivaled by any other accounting method today.
9. Good environmental footprint
Digital invoicing is much friendlier than paper billing. The use of digital options saves on the environmental destruction of trees that are vital for the carbon cycle. Saving on water and energy puts curbs on pollution. The best way to gauge how online invoicing reduces the carbon footprint is by examining looking at the statistics on trees chopped down daily for timber.
10. Reduce disputes and errors
Paper processing occurs in several steps. Human-driven processes are largely prone to error. Incorrect bill processing and sending out payments to wrong clients are a thing of the past. The payment process is often exposed to errors that can run into thousands of dollars. Having to send an invoice only for it to return back for correction is expensive in the long run. Online invoicing will calculate the amount required for you to prevent errors, add tax and billing information accurately – a process that should easily take a minute.
11. Modern and professional
Businesses get a more professional look and feel when using proper invoicing as opposed to requesting payment through unstructured channels. It might not seem like a big structural change but it does smooth out your receipts which are vital for your small business. Not all businesses are comfortable with cash only payments, some prefer the formality of electronic money.
12.Great for building relations
Online invoicing gives businesses the option of accurate billings, professional appearances, methods of currency payment, and brand reinforcement. You can make your clients feel at ease by receiving accurate and verifiable invoices on time.
