What is the e-bill? Why is it being made mandatory?
An e-invoice is an electronically created and transmitted invoice in a structured format (e.g. ZUGFeRD, XRechnung) that is machine-readable and legally standardized. It differs from a PDF in that it can be processed automatically.
The e-billing obligation has several objectives:
- Promoting digitalization and more efficient business processes
- Combating VAT fraud through better control
- Implementation of EU directives (2014/55/EU) for standardization
- Reduction of time and costs for companies
- Adapting to the international trend to facilitate global trade
Small businesses are also affected by the e-invoicing obligation, even if they are exempt from many other tax obligations. In future, they must be able to receive and archive electronic invoices and also create and send them from 2030.
![AdobeStock_71194986 E-invoice obligation for small businesses](https://www.dataglobalgroup.com/wp-content/uploads/2024/12/AdobeStock_71194986-scaled.jpeg)
E-invoicing obligation for SMEs: Important facts for small businesses
From 2025, all companies in Germany, including small businesses, will be obliged to use electronic invoices. This means that from January 2025, you must be able to both receive and properly archive electronic invoices.
The sending of e-invoices will also become mandatory in subsequent years: The original plan was to implement the changes in 2028. However, on November 5, 2024, the EU Council decided to postpone the start date to July 1, 2030.
Important for the transition
Companies and self-employed persons who do not prepare for the introduction of e-invoicing in good time run the risk of losing tax advantages or even being subject to penalties. Timely adaptation to the new requirements is therefore crucial. Targeted preparation is the key to avoiding problems and ensuring a smooth transition.
However, the introduction of suitable e-invoicing software and the adaptation of internal processes are not only crucial in order to meet legal requirements. They also help to increase efficiency and transparency in invoicing processes. Companies that do not take these steps early on could be excluded from the benefits of digital invoice processing, such as faster payment processing and a reduced error rate.
![AdobeStock_290674949 E-bill SME](https://www.dataglobalgroup.com/wp-content/uploads/2024/12/AdobeStock_290674949-scaled.jpeg)
Timely action is crucial
The switch to e-invoicing in 2025 will require adjustments to existing processes and systems. Companies should introduce suitable software solutions at an early stage in order to meet the legal requirements and ensure smooth integration.
In this context, e-invoicing software not only facilitates compliance with regulations, but also offers advantages such as faster payments, reduced susceptibility to errors and better traceability.
Digital invoice management with e-invoicing from dataglobal Group
The dataglobal Group’s e-invoicing solution enables you to manage invoices easily, quickly and securely. Our software extracts the contents of your invoices, checks them automatically and forwards them to standardized workflows. This provides you with a clear overview of all relevant data so that invoice verification is just as convenient as with conventional invoices. Of course, the solution also offers audit-proof archiving.
Small business e-invoicing software: Digitize your invoice management
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The switch to e-invoicing represents an important milestone in the digitalization of your business processes. Regardless of whether you previously worked with paper invoices or digital formats such as PDF: With the dataglobal Group solution, you can automatically validate, read and prepare all invoices for further processing, securely and efficiently.
In addition to meeting the legal requirements, which will become stricter from 2025, e-invoicing helps your company to position itself for the future. It is an important building block for the successful digital transformation of your company.
Switch to e-billing now – we support you with our advice!
Switching to e-invoicing can be a challenge, especially if you are a small business owner who is not yet familiar with digital invoicing processes. We will be happy to help you make the switch in an uncomplicated and efficient manner. Our team of experts will advise you on choosing the right software, help you with implementation and ensure that your systems are fully aligned with the requirements of the e-invoicing obligation.
Take advantage of our consulting services and send us your inquiry conveniently using the contact form. We will support you with customized solutions so that you can successfully master the changeover and benefit from the advantages of digital invoice processing.