The main advantages of implementing electronic invoicing

On September 29, Law 18/2022 on the Creation and Growth of Companies, one of the main reforms of the Recovery, Transformation and Resilience Plan, was published in the BOE. This legislation is aimed at facilitating the creation of companies, reducing regulatory obstacles, fight against delinquency and boost its growth and expansion.

The purpose of the rule is to facilitate the creation of companies and reduce the procedures for the constitution of a Limited Liability Company since its creation is allowed with a share capital of 1 euro, compared to the previously established minimum of 3,000 euros. In addition, as a novelty, the Create and Grow Law includes the obligation to issue electronic invoices in commercial operations between businessmen and professionals. An obligation that extends regardless of the sector in which the activity is carried out.

This legislation establishes the obligation that the services provided in the field of electronic invoicing are capable of operating with each other and do so in a way that does not cost the user. To favor this exchange of documentation, the platforms must be versatile and robust enough to receive electronic invoices and not incur problems for those who use them.

The advantages of implementing electronic invoicing

Electronic invoicing is not only the future of commercial relations, it is also the present. According to a KPMG report, the use of electronic invoicing is approved in 38 countries around the world and its use is being tested in another ten. The experts at Generix Group, a company specialized in technological solutions for the management of B2B and B2C exchanges in the supply chain, have compiled the main advantages that the implementation of the e-invoice.

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  1. Reduce invoice processing costs. The average cost of a paper invoice is 13.8 euros, while the average amount of an electronic invoice is only 4 euros, resulting in significant savings of almost 10 euros. Spanish companies will save up to 60% on costs derived from issuing invoices, according to data obtained by users of the Generix Invoice Services solution, Generix Group’s electronic invoicing software.
  2. It shortens the processing cycle time. The average processing time for a paper invoice is 14 days, while the processing time for an electronic invoice is 3 days, that is, 11 days less. A considerable saving of time that allows the optimization of tasks and a better distribution of work tasks.
  3. Reduces the risk of error and fraud. The use of electronic invoicing seeks to combat and, ultimately, put an end to the traditional problems of paper invoices such as identity theft, services not provided, transfer fraud, duplicates or erroneous amounts, among others. In short, reduce the delinquency rate.
  4. Optimization of business margins. The use of electronic invoicing through solutions such as Generix Invoice Services helps to improve business margins since, in this way, penalties to suppliers are eliminated and their discounts are taken advantage of.
  5. Improves visibility and traceability of operations. Electronic invoicing makes it possible to improve the visibility and traceability of operations, since it allows actions to be coordinated between internal actors and external actors, thus breaking down interdepartmental silos. A solution that improves the level of customer satisfaction thanks to the traceability of exchanges, the use of attachments and access to the legal file.
  6. Expands innovation and creation of competitive advantages. Competitive advantages are created for all types of companies, regardless of their size, through the centralization of billing and the redesign of control processes through the use of E2E Analytic or IA/ML technologies that are integrated into APA solutions.

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