Do you often find yourself sitting on your desk and wondering how some businesses get paid on time every time?
What’s that magic bullet that helps them send accurate, professional invoices that their clients can’t ignore?
Well, there’s no magic bullet. Or maybe there is. It’s known as cloud billing and invoicing software.
By the end of this post, you’ll learn how a billing and accounting system can make your invoicing and accounting operations more accurate and efficient.
What Is Online Invoicing Software?
Online invoicing software is a computer program that helps you generate invoices and manage your accounts. It acts as a digital alternative to a cash register and a physical invoice booklet. With a digital invoice system, you can digitize and automate your finances and increase your billing, invoicing, and accounting efficiency to a large extent.
Automating accounting operations is essential for businesses in today’s digital age. Digital accounting allows you to manage your financial records, generate invoices, and manage taxes quickly and effortlessly. It also helps you reduce operational expenses by automating recurring administrative tasks.
The Increasing Use of Invoicing Software
The use of cloud billing and invoicing software is on the rise. A report from CPA Practice Advisor indicated that close to 80% of small businesses use accounting and invoicing software.
This has led to the surge of the billing and invoicing software market. The market is currently valued at $4.0 billion and is expected to reach $7.8 billion by 2025 with a CAGR of 14.0%, showed a report by Markets and Markets.
This steep increase in the demand for accounting software hasn’t been witnessed before, which indicates that more businesses than ever are using online accounting solutions.
Several factors have contributed to this increasing adoption of recurring billing and invoice system. The primary factor is the rising demand for efficient financial management. Small and medium businesses (SMsBs) are looking for ways to make their billing and accounting operations faster and more productive.
Why Every Business Needs Invoicing Software?
As discussed, about 80% of small businesses use an Invoice Receipt Maker App Android or iOS. But this also means that 20% of SMBs still rely on traditional, paper-based accounting. If you’re one of them, stay tuned, as we’re delving into why every business needs an invoicing system.
1. Send Invoices Immediately
Invoice delays can hurt your business in multiple ways. Not only will you receive late payments, but late invoices also ruin your reputation as a business. A billing software solution helps you create and send invoices immediately.
You can schedule invoices for specific dates and times. When the time arrives, the system will automatically send the invoice to the desired recipient.
Most invoicing solutions come with accounting management capabilities. Therefore, you can skip the hurdle of waiting for your bookkeeper to send the invoices for you.
Moreover, cloud billing and invoicing software allow you to create invoices anywhere and anytime. So, you can create and send invoices on the go without waiting to get to the office.
2. Improved Invoice Tracking
Tracking invoices can be difficult. You need to continuously glance at your bank account to check if you’re received the payment. At the same time, you also need to keep a note of the final due date. If you don’t receive the payment by then, you can plan a follow-up.
All of this is time and effort-consuming. With a recurring billing and invoicing system, you can automate this entire process.
You can create alerts to get notified if invoice payment is processed or the due date has surpassed. Within the software, you can create and send automated reminders to your clients once they skip the final due date.
The software’s intuitive dashboard provides you with a clear insight into the invoicing process. You can view the payment status of all clients in real-time and determine which clients have paid you and which ones are yet to pay.
3. Get Paid Faster
Late payments have been a hurdle for small businesses. A BACS survey stated that 43% of SMEs experienced late payments in 2018, incurring a loss of £13 billion. Occasional late payments are fine, but if it comes into practice, it can knock your business off.
Late payments can affect your cash flow and impede your ability to conduct business. A billing software solution resolves this hurdle.
An Invoice Receipt Maker App Android or iOS reduces the likelihood of late payments. One of the major reasons for late payments is inaccurate invoices. Since invoice systems eliminate human intervention, they ensure accurate invoices that are destined to get paid on time.
Besides, these solutions integrate with various payment methods. Hence, you can accept payments in various ways instead of relying on only checks or cash.
4. Saves Time and Money
Let’s picture a scenario without an invoicing system in place. You need to generate and send an invoice, so you’ll communicate with your bookkeeper. Your bookkeeper will then prepare and send the invoice manually. Thus, you’ll waste a substantial amount of time.
Furthermore, you’ll need to pay the bookkeeper, of course. This will be an additional expense and will hurt your overall budget. And don’t forget the cost of the paper.
You can eliminate both these hurdles with cloud billing and invoicing software. First, billing software is digital and cloud-based, so you don’t need to work with paper anymore.
Also, the software is automated, so you can generate professional invoices within seconds. And since the software creates invoices automatically, you don’t need to hire a separate bookkeeper.
All in all, a billing and invoicing software solution can help you save both time and money.
No one likes to pay, not even your clients, even if they love your work. You need to nudge and poke them every time to make sure they remember that they need to pay you. With a recurring billing and invoice system by your side, you can create and send professional invoices that will get paid one time.
If you’re looking for a robust Invoice Receipt Maker App Android and iOS, check out Moon Invoice.