E-invoicing (short for electronic invoicing) is the process of creating, sending, receiving, and processing invoices electronically, rather than using paper-based invoicing methods. E-invoicing allows businesses to exchange invoices in a standardized digital format, eliminating the need for paper-based processes, reducing manual data entry, and enabling faster, more accurate invoicing.

E-invoicing can be initiated by the supplier or buyer, depending on the agreed-upon process. The invoice data is then transmitted electronically between the parties using a secure digital network, such as the Peppol network, which ensures data confidentiality and security.

E-invoicing can bring numerous benefits to businesses, including:

  1. Reduced processing times and improved cash flow
  2. Increased accuracy and reduced errors and discrepancies
  3. Lower administrative costs
  4. Enhanced security and fraud prevention
  5. Improved sustainability by reducing paper usage
  6. Improved compliance with tax and regulatory requirements

Overall, e-invoicing is becoming increasingly popular and is seen as an important component of digital transformation for businesses of all sizes and industries.