There would be many businesses who might be barely surviving on paper-based invoicing as it is time-consuming while today’s world needs everything at the speed of light may it be product, service or solution. However, there seems to a change in this pattern as many of them are now adapting to instant invoicing and billing services. Paper-based invoicing is tedious as well as costly and not eco-friendly.

The online invoicing app makes it easier to quickly be done with invoicing and moreover also present many other solutions such as payment, time tracking, expense tracking, quickly convert your estimates into invoices, purchase order, reports, sync, print, etc.

Following are the few reasons we have tapped for you to know why it is important to quit paper-based invoicing in this day and age.

A general understanding has suggested that paper-based invoice could cost a business nearly $15 to $30 to complete it. Additionally, it also takes time to create, process and sends it to the recipient. Some of the core reasons are as followed:

the cost that comes with preparation and printing of paper invoices
the cost associated with storing and archiving
stamp, postage and shipping fees
linked to the payment options which incur additional fees or charges
bills getting lost or not delivered and loss of time & money for the same

How To Shift To Online Invoices:

The decision to shift to an online invoice maker should be on the priority list for a business or company owner. However, it is also important for them to make an informed choice of any small business billing app which can integrate well with their current process as well as accounting software. As we have discussed above few of the features like invoicing, estimates, payments, etc are supposed to kept in mind while making a choice. However, you need all-in-one invoicing solution provider to suit every kind of your business requirement and which can perfectly integrate with business operation and process.

With regards to the following characteristics-cum-features, you can make an informed decision of shifting to the online invoicing system:

Simple & Easy: Is the new platform easy to use? In what ways my current business will be affected when moving to an online invoicing service?

Cost: What is the cost associated with regards to shifting or setting-up the best invoice app for my business?

Payments: Does the system provide multiple payment methods for customer and vendor convenience?

Tracking: Does the small business billing app allow you to track the status of sent invoices and provides notifications when invoices are delivered to the client?

Client Management: Does the professional invoice service provide you to easily manage clients, customer or vendors?

Reporting: Does the invoice generator provides you with a summary and overview of invoices and also does it prompt you for recurring invoice and payment reminder for the due invoices?

Integration: Does the invoice estimate app gels perfectly well with my existing billing and accounting system or with the business process and operation?

Data Migration: Does the system allow invoice details to be imported/exported to a spreadsheet or excel and also can you send it to print?

Wrapping Up:

You need to look for an invoicing solution that suits your personal or business needs. You will need something satisfying on the service aspect as well as device compatibility and even pocket-friendly. In such scenario rely on a trustworthy name such as ‘Moon Invoice’. Moon Invoice takes cares of your all kind of invoicing needs may it be large or small.

Moon Invoice not only performs essential and mandatory features such as managing invoices, purchase order, credit notes, payment but also puts on an add-on-value with other features like add multiple businesses, manage customers & vendors, manage products & tasks and many more. In short, you’ll need to opt for an online invoicing platform that provides end-to-end services.

Recurring Payments Vs Recurring Invoices

Recurring Payments	Recurring Invoices
Recurring payments charge the customer’s credit card account or debit card account on a predetermined schedule for the same amount as preapproved.	Send an invoice to your customer on a regular basis. The client receives the invoice but, money is not paid unless the customer approves.
A business that takes prepayment of money and sells a monthly subscription service and product. Subscription services are excellent examples of this.	A company that provides fixed services with billable hours is an excellent choice for recurring billing. For example law firms and consulting agencies.

Pros and Cons of Recurring Invoices

Pros	Cons
You eliminate the possibility of human error by automating the billing process. If you use a recurring invoice, you will not be concerned about forgetting to charge your customers for the things they ordered.	You must exercise caution while recurring billing to prevent issuing inaccurate pricing. This also holds for price changes that could take place right once an invoice is created.
If you provide your customers with the option for recurring billing, they are more likely to buy products regularly.	It could be difficult to cope with recurring invoices if a transaction fails for any reason.

Net 45	Invoice is due in full within 45 days with no early payment discount offered
2/10 net 45 terms	2% discount if you pay within 10 days; otherwise full payment of the invoice is due in 45 days
1/15 net 45 terms	1% discount if you pay within 15 days; otherwise full payment of the invoice is due in 45 days
1/10 net 45 terms	1% discount if you pay within 10 days; otherwise full payment of the invoice is due in 45 days
1/7 net 45 terms	1% discount if you pay within 7 days; otherwise full payment of the invoice is due in 45 days

Category	Net Method vs. Gross Method	Explanation
Calculation Approach	- Applies tax credits first; reduces taxable income before computing tax liability.	- Doesn't apply tax credits; computes taxable income without considering tax credits.
Tax Credit Eligibility	- Allows for greater likelihood of tax credit eligibility due to reduced taxable income.	- Limits tax credit eligibility because taxable income hasn't been reduced yet.
Itemized Deduction Requirement	- Lowers threshold requirement for itemizing deductions due to decreased taxable income.	- Raises threshold requirement for itemizing deductions due to higher taxable income.
Advantages	- Leads to lower taxable income and increases chances of meeting qualifications for other tax benefits.	- Results in higher taxable income compared to net method.
Disadvantages	- May miss opportunity to reduce tax burden if taxpayer doesn't itemize deductions or take advantage of tax credits.	- Increases taxable income and may result in higher overall tax bill.