Implementing e-invoicing requires companies to make strategic decisions that will have a long-term impact on efficiency, compliance and costs, in addition to meeting regulatory requirements. The mandatory requirement for companies in Germany to be capable of receiving e-invoices in B2B commerce from 2025 has left many companies facing the challenge of finding a suitable e-invoicing provider. The following criteria are key to making an informed choice.
1. Ensuring legal certainty and future-proofing
The e-invoicing landscape is largely shaped by regulatory requirements. A provider should not only fulfill the current provisions but actively monitor developments in the regulatory framework and proactively implement changes as required. This includes support for standard formats such as XRechnung, ZUGFeRD and Factur-X or connections to transmission channels like Peppol, AS2 or SFTP.
2. Scalability and seamless integration
It should be possible to integrate the e-invoicing solution seamlessly into existing ERP systems. Scalable architecture is also crucial to keep pace with business growth and company expansion. Flexibility when it comes to connecting with a wide variety of communication channels and the opportunity to tailor the service to dovetail with existing workflows play critical roles in the efficient digital transformation of billing processes.
3. Security and compliance
Safeguarding sensitive financial and business data is another critical factor. Providers should therefore by certified in accordance with recognized security standards such as ISO 27001 or ISAE 3402. In addition, it is essential that the data is processed in secure, audit-ready data centers, ideally located within the EU, to ensure compliance with the GDPR and other local data protection regulations.
4. Support and service level
Good support plays a crucial role in smooth operations. Providers with multilingual, local support and dedicated contacts provide clear benefits over faceless call centers. Comprehensive service level agreements (SLAs) which lock in availability targets as well as response and resolution times are essential, especially for companies with business-critical processes.
5. Extending the portfolio
The digital transformation of billing processes is by no means a one-off project, but rather requires ongoing, continuous development. That’s why a properly qualified provider should not only provide e-invoicing in the narrowest sense, but also ancillary services such processing electronic orders and delivery notes or facilitating EDI integration.
6. Transparent costs
Pricing models vary widely when it comes to e-invoicing services. Companies should take care to ensure the model they opt for meets their requirements. Flexibility in modes of billing, e.g. based on the volume of invoices, can deliver cost benefits. At the same time, companies should avoid incurring hidden costs for implementation, updates or integration.
