How eInvoicing enables faster payments to reduce supply chain disruptions
Published: 28 November 2023
Supply chain disruptions can be, well, disruptive for businesses in the construction sector.
eInvoicing is one way to help get paid faster and deliver benefits across your supply chain.
eInvoicing is the secure digital exchange of invoice information directly between buyers’ and suppliers’ financial systems, even if these systems are different.
Say goodbye to PDFs and email and save on admin time. With eInvoicing, suppliers no longer need to generate paper-based or PDF invoices that are printed, posted, or emailed to customers.
eInvoices are also impossible to lose. This is because the digital exchange process is direct and secure – invoices aren’t lost in an overflow of emails. This means less time spent trying to find lost invoices. It is accurate and secure. It speeds up processing and payment times which also means improved cash flow.
Those within the construction sector supply chain – big and small businesses – all have cash flow pressures. eInvoicing is one way to help improve things for everyone
Construction work often slows down because of disruptions to delivery of goods or services where payment hasn’t been made. This can create delays onsite, or in some cases, the job is stopped until payment is made. This could result in lost time and revenue when you could have been on another job.
So, whether you’re a sub-contractor, an architect, builder, land developer or anything in between, your business will benefit from eInvoicing.
Late payments are also a reputational risk. If you’re taking longer to pay (or be paid) or taking longer to complete jobs because of supply chain disruptions, this could impact your ability to get future contracts.
Sub-contractors can end up waiting for payment because an invoice is still in the inbox of the contractor and hasn’t been forwarded on to the end buyer. Sub-contractors, or any supplier, will only choose to work with contractors known to pay on time.
eInvoicing is also helpful for winning government work, with government agencies updating their contract and procurement documents to include eInvoicing as a preference, instead of PDF invoices.
Hundreds of thousands of businesses have access to eInvoicing capability
Setting up eInvoicing is simple and free for most businesses. For example, Xero and MYOB offer this capability free as part of their usual subscription and most major providers are now eInvoice-ready.
With more than 11,000 businesses across New Zealand now registered to receive eInvoices, including thousands of businesses in the construction sector, eInvoicing is fast becoming the new norm.
Importantly, along with government, the list of large businesses leading the way is also growing, including some big brand building suppliers that are already, or close to being able to send eInvoices to their business customers.
The more you all get on board, the more this will help reduce disruptions to the supply chain for everyone.
Get started now
Join the thousands of others in the construction sector already signed up to eInvoicing.
Xero Business Edition and MYOB Business users can easily send and receive eInvoices now, and it’s free. Check out their websites on how to get started.
Register to receive eInvoices(external link) — Xero Central
Send an eInvoice(external link) — Xero Central
eInvoicing(external link) — MYOB
Don’t use Xero or MYOB? A wide range of other software providers support eInvoicing.
Want to talk more?
Get in touch with us for an appointment to help you take the next step and realise the significant savings through reduced processing costs and administrative delays and payment issues. Email us at :
Please note: This content will change over time and can go out of date.