What is invoicing?
Invoices can be a piece of paper or a digital document with a carefully defined structure, on which there is a detailed bill of the services or goods offered to the buyer by the seller. These invoices are legally binding, are very important as well, and contain many different elements to them. There are certain things without which an invoice cannot be called an invoice. The term "invoice" should be written on top of your invoice so the buyer can immediately know what the said document is. Moreover, your invoice should also contain the details of the product or the service bought, including its name and brief description, along with the rate and quantity it was bought for.
These things are essential regarding invoices since they can give the buyer a quick preview of what they are paying for. Moreover, this bill also should contain the branding of your brand or company, which should also include your contact information. Your contact information is vital when it comes to the invoice because it would be handy for the buyer to call you with any queries. Also, make sure to add varying payment methods to make it convenient for the client.
Manual invoices have pros and cons, now that invoicing software has made its mark and has proven itself better than manual systems. Manual invoicing systems take a lot more time than electronic software, and there is room for human error. This invoice error can cost the company financially; hence, double-checking these invoices is a standard procedure in manual invoicing systems.
However, double-checking manual invoices takes more time for the invoices to be approved and sent to the buyer, which would mean late payments and could give a bad rep to the company. Using a manual invoicing system would also be costlier, using more paper and leaving a more carbon footprint. Moreover, the cost would increase in terms of more workforce needed to draft, check and send these invoices.
Could manual invoices be better?
It is not all negative, though; manual invoices offer much more secrecy if you do not want the information on the servers, which could be the target of a hacking attack. Moreover, a manual invoicing system can also give you much more control over the data. The technical skill required to draft manual invoices is lesser than the skill needed to learn and operate the invoicing software; hence that is a plus point.
Invoicing software is far superior to manual invoicing systems in many ways. Invoicing software allows you to digitally draft, check, and send your invoices to clients without the hassle involved in manual invoicing. Invoicing software is far more credible in tracking payments and checking the figures before sending them to the relevant parties. Moreover, invoicing software helps free the workforce and uses less paper for a lesser carbon footprint, making it much more efficient and cost-effective than manual invoicing systems.
Invoicing systems these days are very advanced and can encrypt your data using digital markers and seals, so you can control who has access to the information. However, this system may still be a target for hackers.
Invoicing software comes in a wide variety of designs and algorithms. You should choose the one which suits your needs the best. This software can vary in its pricing plans, the number of invoices you can draft, and other features. If you are a startup or a small-scale business, we urge you to try out some of the best and easiest-to-use software on the market, like Zenbill's invoice builder.
We can safely say electronic invoicing systems are better than manual ones. The benefits of using electronic invoicing software far outweigh the cons. Hence, we urge you to find software suitable for your business or brand and start electronically invoicing your clients!