Processing invoices and getting paid is about to get a whole lot easier with the introduction of eInvoicing. Using an international standard called Peppol, eInvoicing allows sellers to create invoices in their accounting systems and have them magically appear in their customers' accounting systems - say goodbye to paper invoices and PDF files! The New Zealand Government is promoting eInvoicing to help small businesses reduce administration costs and speed up payment of invoices to improve cash flow.
eInvoices are sent through a secure network, and the Peppol standard allows different account and financial systems to talk to each other. So it doesn't matter what accounting system your suppliers and customers are using; the eInvoicing network will ensure that invoices arrive in the right place. MYOB and Xero both support eInvoicing. All you need to start using eInvoicing is to provide your suppliers with your NZ Business Number and add your customers' NZ Business Numbers to your records. If you're not using an eInvoicing capable account system, you can still send and receive eInvoices using these free systems.
eInvoicing is easy to use. Once you've added your customers' NZ Business Number, sending an eInvoice is as simple as selecting the eInvoice option on your accounting system's invoicing screen. You can even add your bank account number and send additional documents with the invoice. When a supplier sends you an eInvoice, it will appear in your draft bills or supplier invoices section. There's no need to key in the date, the invoice number, and lines of detail. All you need to do is check it, code it to the correct GL accounts, authorise it, and pay it.
Helpful eInvoicing Resources: