What is E-invoicing & How it is different from traditional invoice system

Previously, we had studied about invoice system thoroughly. We discussed that what actually is an invoice system??? , we also discussed that what things are mandatory to be included in an invoice, and various other interesting information regarding it.

Today we are going to discuss E-invoicing & how it is different from traditional invoice system.

Let us discuss first that what actually is an invoice system???
Actually, an invoice system is a system which tells us about a particular transaction between a purchaser and buyer by generating a bill or invoice.
          Where an invoice is actually a bill which consists of various mandatory information like name& address of buyer as well as purchaser, their contact details, tax details, terms & conditions etc.

Now let me tell you about E-invoice system

E-invoicing means electronic invoicing which enables us to exchange of invoices in between a seller & purchaser in a typically integrated format.

Electronic invoice system enables us to send structured invoice data or information in XML or EDI (Electronic data exchange) formats. It also aims to reduce not only paperwork but also manual work.

Take a look at e-invoice formats:

·         Sequential invoice number

·         Invoice date or its date of creation

·         Name & address of buyer

·         Name & address of vendor

·         VAT details

·         Date when goods are supplied

·         Quantity & type of product

·         Currency

·         Unit price

·         Any sort of discounts

·         When payments are made

·         SEPA number

·         SWIFT code

Now let us talk about traditional invoice

Traditional invoicing is that particular type of invoicing that makes use of extensive paperwork & manual work in order to create invoices or bills. The format of traditional invoices is nearly same.  Traditional invoices are actually more prone errors due to very much manual work which further increased cost.
Paper invoices are actually labour intensive

Multiple sources increase the chances of errors

These paper-based invoices are hard to monitor.

Below is a diagram which shows the difference in processing of an E-invoice system & traditional invoice system.

Above figure shows processing steps of an invoice systems. And a red line eliminates those steps that we don’t need to add in E-invoicing. This elimination of various steps makes E-invoicing more efficient & appropriate.

Benefits of E-invoicing

Reduced costs

Increased accuracy

Improved cash management

Faster payments

Better productivity and so on.

This is all regarding E-invoice system & traditional invoice system. For more information please visit www.scopidea.com

How to handle issues regarding invoice

 

So far we had discussed a lot about invoices. We study about various invoicing software and tools available in the online market. We discussed various features as well as advantages and disadvantages regarding invoice system or invoice tools. This discussion helps the clients or user to efficiently choose that particular invoice system or invoice tool that is required by the client or user as per their requirement. I mean sometimes the user got confused about which invoice system he must go for, therefore, if a brief introduction describing various features and characteristics regarding a particular product is there for the client, then he or she can make an easy choice for their product for sure.

Although we had discussed many times about invoice system and about various tools and their feature, but before discussing various invoice issues I think we should once revise what is an invoice system??

Actually, an invoice system is a software system that produces invoices where an invoice is a commercial document or you can say a bill that consists of various important information regarding the transactions which are mandatory to be included in the transaction list. For example seller as well as purchaser contacts details along with full address, cost per quantity, taxes information, terms & conditions.

There are many occasions when the invoice system does not produce the expected results. There are many unwanted issues that rendered our transaction incomplete and awful. Therefore, we should seriously learn how these problems may be handled. First I must tell you which sort of issues might be there during transaction through invoice.

Invoices or payment reminders are not generated

 This mostly occurs issue in invoices. This problem generally occurs when the user forgets to tick overdue “notice option” at the client's profile tab. So he/she should make sure to tick this notice option in order to avoid such issues.

Server modules

Server modules should also be checked in order to avoid server module issues.

Hosting control panels

VPS

Shout cast panels

Backup etc.

Items are not invoicing

The most obvious reason for non-generation of the invoice is cancellation request for the service or it’s a sort of fraud, fake or terminated. In order to avoid this, the user needs to check disable auto renew.

Sometimes tax not applied to invoices

If the tax is not applied then we believe that it is not eligible under tax rules. Therefore, in order to remove this issue, the user need to first ensure that tax is enabled and then apply tax options are ticked on.

Multiple invoices with the same service generated

Sometimes multiple invoices are generated along with the same service with different due dates if the service has a due date in the past.

This is all for today’s post for more please visit https://www.scopidea.com/

5 MYTHS YOU DEFINITLY NEED TO IGNORE ABOUT AN INVOICE SYSTEM!!

In previous posts, we already had discussed a lot about online invoice system. In IT field, there are a number of interesting facts as well as boring myths about invoice billing system.

In today's post, we are going to discuss those myths about the online  invoice system that you should surely ignore as they are not worthy to believe upon.

Let's discuss these myths one by one to prove them wrong.

• ONLINE INVOICING SYSTEM IS TO EXPENSIVE

It is a common view of most people that E-invoicing or online invoicing system/software/too are very expensive to hold on. But it is also a matter of fact, in this case, that mostly people do not know that what actually online invoicing system costs them. They don't really know that how to estimate the overall cost of the invoicing as it also includes direct cost, indirect cost and other hidden costs.

An online invoice system actually helps us financially a lot and in general, it reduces yearly financial overhead a lot by removing many general issues such as:

1. Storage
2. Time consumed by the clients queries and  their respective resolving time.
3. Time taken by the service provider to match the documents.

• ONLINE INVOICING IS GOOD ONLY FOR BIG COMPANIES.

When the invoicing system was new to IT companies then most of the companies hesitates while using online invoicing software in their companies. The reasons behind this could be many, most probably the one could be due the fact that most of the companies thought that online invoice system or software is an expensive tool to be used.
Much small to medium size companies use to think that this E-invoice system is mostly used by and well suited to only well reputed big companies or enterprises and hence they never tried to incorporate its functionality into their business,

• ONLINE INVOICING IS A STANDALONE TOOL

Many companies and enterprizes use to think that an online invoicing system is a stand-alone tool or software. But I am glad to tell you that E-invoicing system is not a stand-alone project but it aims to operate efficiently along with a number of hardware and software systems.

• DIFFICULT TO IMPLEMENT

Although I believe that E-Invoicing was quite difficult to implement when it was new to the market but as it becomes familiar to us with a period of time we can easily able to implement invoice software.

In fact if a simple reporting tool is present in your system then installing or implementing is just a matter of few minutes.

• ONLINE INVOICE SYSTEM ISN'T SAFE

Many people think that online invoice software is not safe  to use. But I must tell you that online billing or online invoicing is the safest way to pay bills. If your username and respective password are safe enough in your hands then there is no need to fear that it could go wrong.

For more such inhttps:/https://www.scopidea.com/