By granting access to the real-time e-invoicing pan-European platform, Strands’ Open Banking solution will help cut down on costs, payment delays and environmental woes
Open Hub, Strands’ advanced interface that leverages Open Banking to connect multiple external services securely in one platform, is now a certified Pan-European Public Procurement On-Line (PEPPOL) access point. PEPPOL is an international e-invoicing network established by the European Commission that allows businesses to safely issue e-invoices to companies and governments worldwide.
By integrating PEPPOL-approved Open Hub into Strands’ white-label, AI-powered Business Financial Management (BFM) solution, banks will provide their SME customers with a personalized tool to issue and receive e-invoices, in one standardized format and in real-time.
Accessing the PEPPOL Network Allows SMEs to:
- Improve efficiency
- Cut costs
- Make cross border payments
- Reduce paper usage
- Get paid faster
Using Strands’ BFM, businesses will be able to communicate electronically with public buyers and other companies linked to the PEPPOL network, both locally and internationally. The swifter invoice validation and processing capabilities of this framework will reduce payment delays.
In order to access the PEPPOL network, a PEPPOL ID is required. With this unique number, which can now be obtained through Strands’ Open Hub, it is possible to easily identify all the members –that is to say, senders and recipients of e-invoices– within the pan-European network. The use of ID codes helps businesses track their invoices and ensure they are properly received, avoiding manual work and entry errors.
“Connecting to a PEPPOL access point provides a great amount of convenience, and flexibility to small businesses. Since it allows SMEs to issue and receive e-invoices in real-time and in a standardized way, the PEPPOL network facilitates faster payment cycles and notable time and cost savings,” Strands’ Senior Software Engineer Alex Nasarre says.
The PEPPOL e-invoicing system also represents an important cut in paper usage and the impact of shipping, which is a very significant advantage from an environmental point of view.
To sum up, and according to the IMDA, a statutory board in the Singapore government, e-invoicing improves on-time payment of invoices from 45% to 92%, avoids duplicated efforts, minimizes transcription errors—known to excessively delay processing and costing as much as $72 to rectify a single invoice—and reduces paper usage.
You can find out more about the PEPPOL network here.