E-invoice: turbocharging digital accounting and smart workflows

The introduction of the e-invoicing requirement from 1 January 2025 poses enormous challenges for smaller companies in particular. At the same time, it offers a great opportunity, because by switching to e-invoicing, companies can not only meet legal requirements, but also lay the foundation for comprehensive digitalisation and automation of their business processes. How can you optimally manage this transition and benefit from digital processes in the long term?

E-invoice as a starting point for digitalisation

The switch to e-invoicing goes beyond mere compliance with legal requirements and can be used as an entry point for broader digitalisation in the company. By digitalising the billing process, a basis is created on which further areas can be digitally mapped and automated – for example, accounting, ordering or payment reconciliation. The digital invoicing process makes it possible to provide information quickly and centrally, which in turn creates efficiency and clarity in other areas of the company.

Companies should see the ‘e-invoicing requirement’ project as an opportunity to analyse and, if necessary, optimise all relevant workflows. It is advisable to develop a clear digitalisation strategy that encompasses both the short-term requirements of the e-invoicing requirement and long-term automation goals.

What legal and tax requirements need to be observed?

When introducing e-invoicing, legal requirements must be strictly adhered to, particularly with regard to the GoBD (Principles for the Proper Management and Storage of Books, Records and Documents in Electronic Form). These regulations ensure that electronic documents and invoices are archived securely, completely and in an audit-proof manner.

• Audit-proof archiving: All electronic invoices must be stored in such a way that they are easily accessible and unaltered when needed. This protects both the company and its partners from legal risks and facilitates traceability.
• Data protection-compliant processing: Since personal and financial data are processed, compliance with the General Data Protection Regulation (GDPR) is mandatory. It is important that all steps in the invoicing process meet data protection requirements to ensure data protection.
• IT security standards: Since digital processes can be vulnerable to cyber attacks, appropriate security measures should be taken to prevent unauthorised access and data loss. This makes it easier to comply with compliance guidelines and increases the transparency of all financial transactions.
• Procedure documentation: For each electronic system, the content, structure, process and results of the data processing procedure must be correctly and completely documented.

The digital documentation not only supports legally compliant archiving, but also simplifies audits and tax inspections, since all relevant documents are available in a centralised and structured form.

What technical requirements and tools are necessary?

To implement e-billing and other digital workflows, suitable software is required. There are various software solutions for receiving and issuing e-bills. Companies should choose software that can be seamlessly integrated into their existing systems and covers all the functions required for the billing process.

Regardless of the software chosen, it is essential to create comprehensive procedural documentation that describes the processes, tools and software in a way that is always up to date. Smart solutions are also available for this (for example, the Acconsis VD application).

Further digitisation and introduction of digital workflows

The introduction of e-invoicing can serve as a springboard for further digitisation steps to simplify and automate administrative processes in financial accounting. This enables companies to sustainably increase the efficiency of their processes and reduce sources of error.

• Electronic dunning: automated dunning processes help to reduce payment defaults and improve cash flow. The automatic generation and sending of reminders reduces the manual effort involved, and defaulting payments can be identified and addressed more quickly.
• Digital document management: By electronically capturing and storing all documents, companies can handle the entire document flow digitally. This not only saves paper and storage costs, but also ensures that documents can be quickly retrieved at any time.
• Automated inventory management system: A digital inventory management system optimises warehouse management and ensures that orders are automatically triggered when certain stock levels are reached. This simplifies purchasing, improves inventory management and ensures that there are always sufficient supplies.

What are the advantages of digitisation and digital workflows?

Digitising your accounting processes brings numerous long-term benefits, including:

• Time savings through automation: digital processes reduce administrative effort and accelerate workflows, giving your team more time for their core business.
• Cost reduction: savings in printing and shipping, as well as optimised inventory management, contribute to cost efficiency.
• Optimised data availability and analysis: the central availability of all data makes it possible to carry out business analyses more quickly and in greater detail, facilitating informed decision-making.
• Increased transparency and compliance: centralised documentation makes it easier to comply with regulations and provides greater traceability of all business transactions.
• Environmentally friendly through reduced paper consumption: by switching to digital processes, you can sustainably reduce paper consumption in your company.

Practical implementation – with the support of DATEV solutions

Successful digitisation requires careful planning. The step-by-step implementation takes place in several stages:

1. analysis of existing processes,
2. selection of suitable tools and software
3. implementation of software solutions
4. training of employees
5. continuous optimisation of processes

One possible centralised solution: DATEV Unternehmen online

The DATEV software offers a comprehensive solution for implementing the e-invoicing requirement and other digital workflows in financial accounting. It enables companies to handle the entire invoicing process digitally and in compliance with the law – from creation and dispatch to audit-proof archiving. The software integrates seamlessly into existing systems and provides a centralised platform for managing and documenting all relevant data. DATEV is particularly beneficial for companies that already use DATEV applications for payroll or financial accounting.

With DATEV Unternehmen online, you can:

• exchange data directly with your tax office: receipts and other important documents are recorded centrally and can be accessed immediately by your tax consultant.
• directly integrate cash register data: the platform makes it easy to transfer cash register data to your accounting system, so that your income is always recorded correctly and updated daily.
• ensure seamless documentation of all business transactions: All financial transactions and receipts are stored in a centralised system and can be accessed at any time for business analyses.