Every business needs to have a record of sales made. An invoice is a standard document issued by most businesses to serve that purpose. There’s no reason to present a case for invoicing, so let’s get straight to invoice automation.
There are two stages of automation here. The first one is create an invoice and the second is the processing of the invoice.
Invoice Creation: This process involves setting up a series of scenarios that will trigger the creation or automation of an invoice right in your CRM like HubSpot or Salesforce. For example, when a client makes an online order for your product, automatic invoice generator software like Windward Hub will automatically use the information entered by the client to create an invoice right in your CRM or other platform which can then be sent to the client automatically.
Invoice Processing: This occurs on the client-side. When an invoice is sent to the client, it is automatically scanned and the payment details extracted so that payment can be effected.
Both of these automated processes are increasingly becoming popular in many organizations and here’s why.
As the case usually is with most of the technology like an invoice automation software adopted by modern businesses, automating invoice creation improves efficiency.
This translates into the following benefits:
Automating invoices doesn’t give space for procrastination which can result in inaccurate income statements. With an automated invoice, the action is performed in real-time and the corresponding record of income made is recorded instantly.
If invoices are sent promptly, then payment is more likely to be on time. Most businesses struggle with AP while they try to manage cash flow. Automating invoices takes away the pressure to ensure invoices are sent and processed on time. It works for the vendor and the buyer if this process is automated since even manual checks that need to be carried out to verify data entered are no longer necessary.
According to the Institute of Finance and Management, processing an invoice can cost between $1 and $21. This is due to:
With automation, these issues get cancelled. Unnecessary admin tasks are eliminated and that makes invoicing cheaper, faster, and effective.
Processing of online invoices can be overwhelming especially when retailers have large numbers of orders. Automating invoices makes this something easier to deal with. Orders are immediately accompanied by invoices. Customers have a more pleasurable experience doing business this way.
Businesses can be sure that their account statements will not be tampered with or exposed to costly errors. The automation system ensures that the right data is entered into the accounts reports. There’s usually very little need to verify the entries.
With a few steps, a business can automate invoice creation and processing. Of course, there’s still the need to have the technology available.
These are the steps to automate:
Creating a sketch of all the processes involved in invoicing will help you get a clear picture of what has to be done to automate the process. Getting the timing right is very important. You should determine at what point the invoice should be created.
Using the mapped workflow created, set rules that determine what happens when a particular action is taken. Wholesale and retail clients may require different rules for issuing invoices.
Carefully choose a document automation software that meets the unique requirements you have - from designing an invoice to creating it. Remember, not all perform well when looking to create invoices right in your CRM. You need to ensure it integrates right into your CRM.
Invoice automation will make the accounting process within an organization flawless. Fewer people need to be involved in the process and that saves money and avoids human error. Any business seeking to have a more efficient transaction process would appreciate this.
If you've just discovered us, we're excited. Try Windward with our 14-day free trial and start automating invoices in quick time with our low/no code solutions.