Back then, businesses used to settle transactions with their clients by sending a sales invoice to their home. There were times when the business would send one of their employees to collect the payment because the clients wouldn’t pay them on time, or they never wanted to pay at all.
It was a tough time for businesses struggling with collecting payment because they had no proper sales invoice system. After a while, sending letters was becoming a tedious job for businesses. Thankfully, computers took over the world, and a web-based invoicing software was created.
Gone are the days where companies and businesses had to send physical invoice letters to each of the clients’ homes. Through the internet, sending thousands of sales invoice letters is as simple as clicking a single button.
Know What an Invoice Is
Businesses will never exist without clients, and clients would give the businesses money for the services or products received from them. Sometimes, the payment won’t be given directly, so the business would usually send an invoice to their clients and ask for updates about their payments.
Aside from the agreed prices, the other details you will see in a typical invoice are the products and the quantities of the product or service. It’s a complete breakdown of what the client paid the business to do. You can say that an invoice letter is somewhat a reminder for clients to pay on or before the agreed date of payment.
Why the Need for E-invoicing?
The main reason for companies and businesses to switch from sending a physical invoice letter to an electronic one is its ability to send multiple invoice letters all at once. Whenever a company uses a web-based invoicing software, clients and customers will be able to see their invoice through their phones or computers quickly.
They won’t have to go outside and check their letterboxes from time to time because their gadgets will let them know if they already have the invoice letter or not. Another reason for using a web-based invoicing software is that businesses can monitor how many invoice letters have been followed up and paid by the client. It can also help your business avoid missing any due dates.
Checking the clients’ payment status has never been this easy, thanks to the web-based invoicing software. This software lets you check the payment status, figure out which ones are due, and which clients have already resolved their payment.
Plus, the software gives your business personalized notifications for each client to ensure there won’t be any confusion whether the client has paid or not. One other reason for a business to use invoicing software is to help with recurring payments with long-term clients.
You don’t have to necessarily keep on checking every single client because it’s a tiring and time-consuming job to do. The software automates the entire payment process if there’s a subscription-based model set up by the business. Lastly, an invoice letter needs to have a brand identity for the company. The invoicing software can do just that.
If you happen to have a business that’s still flourishing, make sure you have all of your products branded with your business identity, even with the invoice you send to clients. You have the option to customize the colors, logo, and scheme of the e-invoice letter. It is one method for you to build trust between your business and the clients.
Are E-invoice Letters Secure?
Now that you know what an invoice is, it poses a risk of falling into the wrong hands. Sending an invoice letter is sensitive because it usually has important details that no other person should get a hold of. No need to fret because many companies exist to ensure there won’t be any issues regarding the security of invoice letters.
Security protocols are always important for any company, especially if they’re tight in terms of finances. Companies need to adhere to all security standards like the PCI security standards. By following these security standards, clients will be assured there won’t be any valuable and sensitive information distributed to the public.
Web-based invoicing software has granted businesses and companies many benefits. Every one of them would want to improve their way of conducting business, which is why switching from a physical invoice letter to an electronic one is the best improvement they can ever do. It’s even beneficial in today’s world since everyone needs to stay at home for the duration of the pandemic.