9 Reasons Why Businesses Prefer Online Invoicing

Creating, tracking, and organizing invoices is tedious and time-consuming, however it is an important part of doing business. The faster an invoice gets sent to its recipient, the sooner it will be paid, so it’s worth utilizing an efficient invoicing method in order to accelerate the cash flow.

While many companies still create invoices using outdated solutions, like Word or Excel invoice templates that they fill in and send by email or post, there are a variety of online invoicing tools which can significantly improve workflow.

Online invoicing solutions like invoicely allow entrepreneurs to create and send invoices online, a process that saves time and reduces errors and costs.

Here are some of the reasons why more and more businesses choose online billing tools.

1. Faster payment

Sending invoices through an online invoicing platform encourages clients to pay faster, by eliminating many of the delays and barriers to payment.

Invoicing solutions such as invoicely allow entrepreneurs to choose several payment methods like credit cards, PayPal or Authorize, which will be integrated in the invoice itself, allowing the client to pay with the click of a button. This method saves time and increases the probability that the client will pay faster.

Additionally, companies can choose to send a reminder with a click to customers who have forgotten to settle their bill or to set up automatic reminders.

2. Time and money saving

Handling invoices the traditional way takes time and is costly. Creating an invoice online is quick and easy and requires no training. Using online invoicing tools, it’s also possible to turn quotes into invoices with a few clicks.

Additionally, with online invoicing software, companies can create user-friendly invoice templates that just need to be populated with the necessary information and sent to the clients.

3. Better invoice tracking and cash flow reports

Online invoicing makes it easy to keep track of payments. Entrepreneurs can choose to receive a notification when the client receives their invoice. They can also easily see which invoices have been paid, which ones are due or overdue, which clients always pay on time or what payments they can expect until the end of the month.

By running reports at regular intervals entrepreneurs can check the status of their business at a glance and pull information which can help make improvements in collections and in the communication with the clients.

4. Workflow automation

Online invoicing solutions offer companies the possibility to automate repetitive tasks, like recurring invoices or payment reminders, eliminating a lot of administrative work.

Businesses can set up automatic recurring invoices at pre-established intervals for long-term clients or create a subscription-based business model.

Similarly, automatic follow-ups and payment reminders for upcoming and overdue invoices can easily be configured.

5. ​Improved invoice management

Online billing platforms make managing a company’s finances easier by keeping all financial documents in one convenient place. Invoices created online are easy to store and retrieve and they are filed, stored, archived and indexed automatically, with no additional effort from the staff.

6. Access to invoices anytime and anywhere

With online invoicing, invoices can easily be created and accessed anywhere and anytime, whether while commuting to work or doing a project at a client’s venue. Working as an online filing system, online platforms keep important financial documents well organised and accessible.

7. Less room for errors

By utilizing online invoicing tools, companies allow less room for human error. For example, when choosing sequential, consecutive invoice numbers to be assigned automatically by the system, there is no more need to search for the previous invoice number when creating an invoice and no chance of forgetting an invoice and messing up the numbering system. Also, the details for each client have to be added to the system just once, and can then be retrieved for the following invoices.

8. Better security

E-invoicing software is secure and safe to use. It uses special encryption similar to that used by other financial institutions such as banks.

9. Environment friendly

Businesses that still rely on paper invoices can reduce their carbon footprint and become more sustainable by switching to online invoicing.

invoicely offers a free basic subscription that allows businesses to send an unlimited number of invoices to multiple clients. The plan can be customized at any time in order to fit the needs of a growing business. It takes only a couple of minutes to sign up and create the first invoice.