Electronic invoicing, or e-invoicing, is a form of billing that is presented to the buyer in an electronic format via a predefined structured data exchange. E-invoicing includes a number of different technologies and entry options, and is usually used as an umbrella term to describe any method by which invoices are electronically transmitted and processed. An e-invoice can be defined as structured invoice data issued in Electronic Data Interchange (EDI) or XML formats, possibly using Internet-based web forms. These documents can be exchanged in a number of ways including EDI, XML, or CSV files. They can be uploaded using emails, virtual printers, web applications, or FTP sites. The company may use imaging software to capture data from PDF or paper invoices and input it into their invoicing system.

E-invoicing offers considerable advantages for both sellers and their customers. Businesses supplying products and services can automatically generate e-invoices from sales transactions, instead of having to create and print them manually. Electronic invoicing software can transform accounts payable staff from data entry clerks to business analysts, starting by freeing them from tedious, paper-intensive processes. E-invoicing enables the automation of time-consuming and error-prone tasks like data entry, matching, and approvals so you can reallocate staff to higher-value initiatives. The benefits of e-invoicing include increased efficiency, fewer errors, shorter payment cycles, better cash flow, and lower days sales outstanding.