How the best invoicing software simplifies billing and boosts cash flow

Published Friday 29 August 2025

Table of contents

• Invoicing shouldn't be tedious or complicated
• The trouble with traditional invoicing software
• What makes invoicing software easy to use
• How easy invoicing software gets you paid faster
• Seven ways your business runs faster and smarter with online invoicing
• How to choose the right invoicing software for your business
• Online invoicing speeds up the flow of money and data
• Start invoicing smarter with Xero
• FAQs on choosing easy-to-use invoicing software

Key takeaways

• Prioritize invoicing software with automated reminders, customizable templates, mobile access, and online payment options to reduce manual work and get paid up to 56% faster within a week of the due date.
• Choose software that integrates seamlessly with your existing tools like banks and e-commerce platforms, as consolidating systems can save small businesses up to 20 hours per week on manual data entry.
• Implement online invoicing to provide real-time visibility into your cash flow, allowing both you and customers to see the same up-to-date information and reducing payment disputes.
• Select scalable invoicing software that matches your current business size and industry needs while offering features you can add as your business grows, such as inventory management or multi-currency support.

Invoicing shouldn't be tedious or complicated

Easy-to-use invoicing software is billing software that saves time, reduces errors, and gets you paid faster without requiring accounting expertise, as research shows that businesses using accounts receivable software are three times more likely to be paid before an invoice's due date. The best invoicing software for small businesses combines simplicity with powerful features that streamline your entire billing process.

Many small businesses struggle with their billing process because traditional software requires too much manual work.

Getting paid on time directly impacts your business survival, as cash flow shortages force many owners to forego paychecks and put nearly 1 in 5 businesses at risk of closure. Late payments disrupt cash flow, making it harder to pay suppliers, staff, and operating expenses. Easy-to-use invoicing software solves this by speeding up the entire payment cycle.

If your invoicing is easy, quick and available online, money moves faster. If you can generate an invoice while you're out or on a job, you get paid sooner.

The trouble with traditional invoicing software

Here are common troubles with traditional invoicing software:

• You often don't get paid on time
• The steps involved are too manual, easy to get wrong and time-consuming
• You can't customize invoice templates
• You can't easily see what stage your billing process is at
• You can't see the same information as your customers at the same time

What makes invoicing software easy to use

Truly easy invoicing software is designed for business owners, not just accountants. It feels intuitive from the start and simplifies your workflow rather than adding steps. Look for a clean, modern design and clear navigation that lets you find what you need without a manual.

Key features that make a real difference include:

• Automated reminders: Let the software chase late payments for you, which can increase your chance of getting paid within a week of the due date by 56%.
• Customizable templates: Create professional invoices that reflect your brand in just a few clicks.
• Mobile access: Send invoices and check payment statuses from anywhere, on any device.
• Online payment options: Make it easy for customers to pay you instantly with credit cards, ACH, or other popular methods.

How easy invoicing software gets you paid faster

Easy invoicing software eliminates billing stress by making the process simple and accessible. The best invoicing solutions let you create and send professional invoices from any device, anywhere.

Key features that make invoicing easy:

• Mobile accessibility: Create invoices on your phone or tablet
• One-click sending: Email invoices directly to customers
• Automatic reminders: Set up payment follow-ups without manual work
• Real-time tracking: See when customers view and pay invoices

With online invoicing, your customers can pay you instantly online, just like most businesses and consumers do today. There's nothing to get lost in the mail, and you can see exactly when your customers have opened your invoice.

Online invoicing lets you use e-invoicing networks, which send your invoice directly to your customer's accounting software. You can also receive invoices from suppliers in your accounting software, even if you use different systems. This can make payment quicker and more secure.

7 ways your business runs faster and smarter with online invoicing

Online invoicing transforms how your business operates by automating manual tasks and providing real-time visibility into your finances.

1. Time savings: Automate data entry and invoice creation to save time, so you can focus on growing your business. Studies show automation can reduce invoice processing time by up to 80%.
2. Cash flow clarity: Real-time updates show exactly what you're owed and when payments are due
3. Faster payments: Customers can pay instantly with online payment options built into invoices
4. Mobile flexibility: Create professional invoices from any device, anywhere, anytime
5. Payment tracking: Get instant notifications when invoices are viewed or paid, plus automated reminders for overdue accounts
6. Customer transparency: Both you and your customers see the same up-to-date invoice information
7. Financial insights: Clear dashboards show total revenue, outstanding payments, and top-paying clients

Choosing the right invoicing software for your business

Choose software that fits your needs. Think about your daily tasks and where you lose the most time. The right choice will solve your current problems and help you grow.

Consider these points when comparing your options:

Your business size and type

A freelancer has different needs than a small construction company. Make sure the features match your industry.

Integrations

Does the software connect with your bank, e-commerce store, or other tools you rely on? Seamless integration saves hours of manual data entry, and research shows that consolidating tools onto a single platform can save SMBs up to 20 hours a week.

Scalability

Will the software grow with you? Look for plans that allow you to add features like inventory management or multi-currency support as your business expands.

Support

Make sure you can easily reach support when you have a question. Check for access to training, help articles, and customer service.

Online invoicing speeds up the flow of money and data

Online payments benefit both you and your customers by creating transparency and speed in the billing process.

For your business:

• See exactly when customers open invoices
• Receive instant payment notifications
• Automatically update accounting records

For your customers:

• Pay invoices with one click using credit cards or bank transfers
• View current balance and payment history anytime
• Receive clear, professional invoices via email

Real-time synchronization means both parties always see the same information, reducing disputes and improving relationships, with 95% of firms using automated systems reporting more accurate processes.

Cloud computing has changed small business accounting. When you send invoices simply and seamlessly, you save time and get paid faster.

Start invoicing smarter with Xero

Choose invoicing software that works as hard as you do. The right solution saves time, improves cash flow, and lets you focus on growing your business instead of chasing payments.

Ready to streamline your invoicing process? Try Xero for free and see how easy invoicing can help your business.

FAQs on choosing easy-to-use invoicing software

Find answers to common questions about easy-to-use invoicing software below.

What is the best invoice system for a small business?

The best system saves you time, is easy for you and your team to use, and helps you get paid faster. Look for software, like Xero, with features like online payments, automated reminders, and professional templates.

Which software is best for making an invoice?

Software with customizable templates and mobile access lets you create invoices wherever you are. When you can save customer and item details, you can send new invoices in seconds. Xero gives you these features to make invoicing easy.

Can you use accounting software just for invoicing?

Yes, many small businesses use accounting software mainly for invoicing at first. As your business grows, you can use other features like bank reconciliation, expense tracking, and reporting. Choosing a platform like Xero means you have the tools you need as you grow.