Since the introduction of computers, business are striving to limit the use of paper in the transaction process. In order to get paid for the services offered or goods supplied, businesses have to generate invoices and if the workload is high, the number of invoices to be send will also be high which is why it will be better if it is done electronically. Emailing an invoice cannot be considered as e-invoicing because the client cannot get every aspect of the bill at a glance. Also, another problem with emailing the invoices is the mail float issues which can prolong the delivery time. It is not even better with paper-format invoices given that even express mailing still takes some time especially if the distance to be covered is long. With e-invoicing, there is no hassle of reading between the lines in order to get all the information you want. You will not have to worry about delays in the delivery of the invoice because the documents are delivered very fast. This is time saving which is something every entrepreneur always works towards.
Businesses which submit electronic invoices will get their money faster. There is usually a protocol for making payments and not getting the figure and writing a check. The buyer will have to validate the existence of the business sending the invoice, the number and vendor name as well as the fact that there was a business transaction between the two businesses. This could have been a lot of work were the companies to go through manual validation. After the invoice has been sent, the vendor will still have to place a phone call in order to confirm that it has been received. This is probably the most expensive part of invoice processing. You can do away with this process if you send electronic invoices.
When using paper invoices or sending the information in email form, there is no guarantee that there will be a chain of ownership until you get the money. Upon a loss, there will be efforts to find what has been lost and this might actually take some time and by the time it gets back to you that you will have to prepare a fresh invoice it might be several day later and if you were pressed for cash it will be a great inconvenience. The good thing in this process is that it is not just meant to benefit the seller but also the buyer because he or she will be able to see the urgent payments and a good display of the payments so that proper preparations on how to distribute the funds can be made on time. You will not have to keep on borrowing money because the buyers did not deposit the money on time.