What is Peppol e-invoicing?
Peppol E-invoicing is a standardised digital way of sending and receiving invoice between the accounting systems of two parties, regardless of the type of software they use.
Peppol is the network that facilitates the exchange of this information digitally.
Does E-invoicing mean online invoicing?
No E-invoicing is different from online invoicing.
In most current business scenarios, online invoicing refers to either a scanned copy of the invoice or a PDF file sent to the recipient organisation via email. The process relies on manual data entry as your recipient will have to re-enter the details of the invoice into his own accounting system (e.g. accounts payable). Similarly, you may be receiving many online invoices in the form of PDFs – you will also need to have someone manually input the invoice details or scan the pages of invoices into your system.
E-invoicing on the other hand is an invoice created digitally in a supplier’s financial system, transmitted electronically through the Peppol network to the recipient (buyer) where it is processed automatically without any human intervention. For example, E-invoices received in a PEPPOL Ready accounting solution can appear as draft bills automatically without any manual data entry.
Free on Xero!
Xero can now connect to the Peppol E-invoicing network launched by the Infocomm Media Development Authority of Singapore to speed up your invoicing process.
It can get you paid faster by your customers and help you maintain healthy cash flow in your business.
Best of all, it comes free with your Xero subscription!
Contact us now to start getting paid faster!