Best Third-Party Invoicing Solutions in Africa
With cross-border trade being highly dynamic and the ease of doing business ever so critical, efficient and reliable invoicing solutions can be the deciding factor in the success of your transactions.
You run a fast-growing business in Africa and are ready to streamline your invoicing process. However, creating and managing invoices yourself is tedious and time-consuming. Why not outsource it to a third-party solution?
These solutions make invoicing a breeze through automated invoice generation, multiple payment options, reporting tools, and more. However, with the variety of options available on the internet, choosing a reliable third-party invoicing solution can prove a hard nut to crack.
But don’t worry; we’ve done the research for you, so you can easily make your choice depending on your business needs and choices.
In this guide, we explore 6 of our best Third-party invoicing solutions in Africa to help you streamline your business operations. But first, let’s give you a little breakdown of what third-party invoicing is all about.
What Is Third-Party Invoicing?
Third-party invoicing solutions are services that handle the invoicing process for your business. Instead of you creating and sending invoices to your clients, these services do it for you. They automate the entire invoicing workflow.
Third-party invoicing services integrate with your accounting software, billing system or payment processor to automatically generate invoices on your behalf. They pull in details like your company info, customer data and billing amounts to create professional-looking invoices.
Once the invoices are generated, the services handle emailing them to your customers or printing and mailing physical copies. They also track whether invoices have been viewed, paid, or past due. Some services even handle following up on late payments for you.
Why Use a Third-Party Invoicing Solution in Africa?
Why deal with invoicing yourself when there are services that can handle it for you? Using a third-party invoicing solution in Africa comes with some major benefits:
- Save Time and Money
Doing your invoicing requires valuable time and resources that could be better spent running your business. Automated solutions eliminate the need to manually generate and send invoices, follow up on payments, and keep track of accounts receivable. The time savings can translate into money savings.
- Get Paid Faster
Professional invoices tend to get paid faster. Third-party services provide professionally designed, customized invoices that clearly communicate your customers’ payment details. This makes the entire payment process more efficient and helps ensure you get paid on time
- Reduce Errors
Manually creating invoices leaves room for mistakes like incorrect product information, pricing, sales tax calculations or payment terms. Automated systems generate accurate, error-free invoices every time.
- Better Record Keeping
Invoicing platforms provide a centralized place to view, manage, and keep records of all your invoices in one place. You’ll have an easy time locating any past or current invoices and monitoring the payment status of accounts receivable.
As your business grows, your invoicing needs will increase. Manual methods won’t scale well and will become more difficult to keep up with. Automated solutions can handle high volumes of invoices and scale up as your needs change.
Using a third-party invoicing solution is a smart move for any business. The time and cost savings, faster payments, reduced errors, improved record keeping, and scalability provide significant benefits that manual methods can’t match.
6 Best Third-Party Invoicing Solutions in Africa
When it comes to third-party invoicing solutions in Africa, small businesses have several good options to choose from. Here are the top 6 to consider:
1. Pastel Payroll
Pastel Payroll is a popular cloud-based accounting solution used by over 60,000 small businesses in Africa. It offers an invoicing module that lets you create professional invoices, track payments, and send payment reminders. You can customize invoices with your logo and brand colors. Pastel Payroll integrates with multiple payment gateways to accept credit card and mobile money payments
Quickbooks is a leading accounting software for small businesses worldwide. Their invoicing solution lets you create custom invoices, track expenses, monitor payments, and automate reminders. You can also give customers the option to pay invoices online using a credit card, debit card or PayPal. Over 4.5 million businesses use Quickbooks to simplify their finances.
Xero is an award-winning cloud-based accounting solution with a full set of invoicing features. You can design tailored invoices, send payment reminders, and get paid faster using multiple payment methods like credit cards, PayPal, and wire transfers. Xero connects directly to many major banks and payment gateways in Africa to automatically sync invoice and payment data. They have over 2 million subscribers in 180 countries.
Wave is a free, cloud-based accounting solution that includes invoicing. They offer customizable invoices, payment reminders, and the ability for customers to pay online using a credit card, PayPal or wire transfer. While Wave is free, they charge small transaction fees for credit card payments. They have over 4 million users worldwide.
Zoho is a popular business software suite that offers an invoicing solution called Zoho Invoice. You can create professional invoices, set up payment reminders, give customers multiple ways to pay and automatically reconcile payments. Zoho Invoice integrates with Zoho’s other financial tools like Zoho Books, Zoho Expense, and Zoho Subscriptions. Over 150,000 businesses in Africa use Zoho’s products to run their operations.
YoguPay is an innovative fintech solution that revolutionizes business payments, particularly for cross-border businesses in Africa and beyond. This entails helping businesses to send, hold, and receive multiple African currencies, manage bulk payouts and employee payroll systems, and carry out FX exchanges without the hassles.
NB: While Yogupay does not offer third-party invoicing solutions to businesses, it allows African importers to easily pay vendor invoices in Europe, and across Africa. This helps to eliminate traditional payment challenges and empowers businesses with seamless, transparent, and efficient payment processes. The platform enables intra-Africa and international traders who deal with diverse currencies, varying customs regulations, language barriers, and complicated banking systems to streamline their payment, enhance customer experience, and optimize their cash flow.
Key Features to Look for in a Third-Party Invoicing Solution
When checking out a third-party invoicing solution, several key features are must-haves. Look for a solution that checks all the boxes on your list of requirements. These include:
The solution you choose should adapt to your unique business needs and processes. It should handle multiple invoice types – from simple to complex, with the ability to create customized templates. You’ll want flexible payment options for your clients too, like credit cards, EFT, and wire transfers.
Why do repetitive tasks manually when a solution can automate them for you? Look for a tool that can automatically generate, send and track invoices. It should have reminders for things like payments coming due or overdue invoices. Automating follow-ups and payment reminders will save you time chasing payments
- Reporting and Analytics
Robust reporting and analytics provide insights into your invoicing and payments. Look for a solution that offers reports on invoices sent, paid and overdue. It should track which clients pay on time and provide aging summaries of overdue accounts. Reporting features help identify areas for improvement in your invoicing processes
If you use other business tools like accounting, project management or CRM software, look for a solution that integrates with them. Integrations reduce double entry of data and ensure your systems are in sync. Popular integrations include QuickBooks, Xero, Salesforce, and more.
- Data Security
Following these tips will help you find an invoicing solution with the key features your business needs. Take time to evaluate different options against your must-have list to find the best fit for your needs. The solution you choose can save you time, provide insights, and ensure a great experience for your clients.
How to Choose the Right Third-Party Invoicing Provider for Your Business
When choosing a third-party invoicing solution for your business, there are a few factors to keep in mind. The right provider for you will depend on your company’s specific needs and priorities. They Include:
Consider your budget and how much you can invest in an invoicing solution. Prices vary but typically range from around $10 to $50 monthly. Look for a provider with a free trial so you can test it out first before committing long-term. Some offer monthly, annual or multi-year subscription plans.
Consider the most important features to your business, like estimates, payment processing, expense tracking, or time billing. Some providers specialize in certain industries like construction, consulting or ecommerce. Look for a solution with the essential features you need to send professional invoices and get paid on time efficiently.
3. Ease of Use
Choose a solution that is simple to set up and easy for you and your customers to use. Look for an intuitive interface, customizable templates, and automation features like recurring invoices. The easier it is, the more likely you will stick with it.
Consider what other business tools you use and if integration with your accounting software, payment processor, or CRM is important. Some providers offer open APIs and pre-built integrations with major platforms like Yogupay, QuickBooks, Xero, and Stripe. Integrations can save you time by eliminating the need to enter data into multiple systems
5. Customer Support
Look for a provider with helpful customer support if you have any questions or issues. Options include phone support, live chat, email, knowledge bases, and video tutorials Good support can help you get the most out of the solution and resolve any problems quickly. You’ll find an invoicing solution tailored to your business needs by evaluating providers based on these key factors. The right choice can help streamline your billing and collection processes so you get paid faster and stay cash-flow-positive
So there you have it, a look at five of the top third-party invoicing solutions currently operating in Africa. Any of these platforms would be a great choice for simplifying your business’s billing and accounts receivable processes. At the end of the day, the right solution for your company comes down to factors like cost, features, and user-friendliness.
Take some time to explore the options, try out a few free trials, and determine what’s most important for your needs. With the increasing move to digital payments and financial services across Africa, third-party invoicing solutions are poised to grow and develop even further in the coming years. The future is bright for innovation that helps businesses and their customers save time and money.