While the information age has changed the face of business one area that is still not fully utilised is that aspect of bookkeeping: E-Invoicing or as it is known elsewhere – Electronic Bill Presentment and Payment (EBPP). Why this is the case is not certain but there are several very tangible benefits to EBPP and in fact using this system in your bookkeeping may not only speed up your cashflow but even improve your bottom line.
Firstly there are the savings generated by cost reductions. There is less mail handling and associated time usage; there is no need for re-keying data; there are no postage costs and little cost associated with online file archiving as opposed to printed forms and their associated storage costs. In addition your accountant has immediate access to all forms submissions saving them time on searching and ultimately your bill.
The next area to look at is the real time data sharing and improved cashflow. With all parties able to access the information with associated passwords and security procedures there is little time wastage and all changes in information can be updated immediately for better cashflow communication with the accountant. This leads savings in another costly area namely dispute resolution. With disclosure of information to all parties there is little room for confusion and any problems are more easily sorted out.
Generally, the system is EU VAT directive compliant and thereby making the submission of forms online faster and better for bookkeeping. Finally the EBPP is environmentally friendly reducing your paper trail and expenditure on office supplies, pleasing the accountant again.