Often shortened to EIPP, electronic invoice presentment and payment is a system relating to document management. EIPP allows the electronic sending of invoices to a client using e-mail. Then further allows them to make payment of this invoice as soon as it has arrived. The speed at which electronic invoice presentment and payment permits transactions to occur is revolutionizing the business world, and the way in which monetary business interactions occur.
Using EIPP to speed up your B2B Payments
Electronic invoice presentment and payment is an extremely popular way to obtain payment for a service received. Computerized document management means that invoices are sent out as soon as a service has been used. While their use of this service is still fresh in a company’s mind, they will receive their invoice by EIPP, and hopefully pay it quickly. This is an important feature of electronic invoice presentment and payment because an early transfer of a large payment means more interest can be generated from that money for the receiving company.
Why Electronic Invoice Presentment and Payment is Cheaper
EIPP automates invoice distribution, which takes away the need for a business to employ personnel to conduct this role. As well as saving money on wages, a company using electronic invoice presentment and payment will avoid bulk expenditure on paper, envelopes and postage; all features of postal invoicing, the primary document distribution method prior to EIPP.
Security in Electronic Invoice Presentment and Payment
A document sent using EIPP will be accessed by a client via their e-mail inbox. This instantly offers document security because the invoice is harder to mislay or be stolen when in electronic form.
Also, in order to view a document sent using electronic invoice presentment and payment a client is required to answer security questions which verify their identity. This makes it very difficult for a third party to hack their account. This would also be undesirable to a hacker as the customer’s bank details will not be stored in their account, and goods suddenly requested to a different address would trigger a security breach in the EIPP system and further security questions would need to be answered.
When offering a service to another business, it is important to exude reliability. If your electronic invoice presentment and payment system is new to your company, glitches and teething problems may mar the service you are able to give your clients. Outsourcing your EIPP needs to a company such as Corcentric means you will not need to go through this ‘teething’ phase and can offer a professional, reliable service.