New regulations on the issuance of financial documents, introduced by the National Electronic Invoicing System (KSeF), are revolutionizing these processes not only in large companies. Small businesses also face challenges related to digitizing document circulation and adapting to new regulations.
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Small businesses, lots of documentation
According to the Polish economic information office Info Monitor, sole proprietorship (JDG) entrepreneurs issue on average a few to a dozen or so invoices per month. However, there are sectors such as transportation, services and the construction industry where these values are much higher, regardless of the size of the company itself. The introduction of KSeF may require investment, especially for companies that produce a lot of invoices – all documents must be issued in digital form.
Manually entering documents into the system can be time-consuming and expensive (the entrepreneur will also have to pay for the work time of the person responsible for this). Also, issuing paper invoices will not be profitable in most cases, because each document must have its own electronic version. Failure to comply with the new requirements may result in financial penalties. However, there are also long-term benefits from digitization: savings related to reduced use of paper to print documents, reduced backlog of payments and space needed to store physical documents.
– When there are many documents, after entering the commit using KSeF, manually entering them into the system will be almost impossible – points out Tomasz Sploška from OpenText. – Large organizations that already use digital documents will adapt to these changes more easily. Small businesses will have to look for solutions that allow them to meet their KSeF obligations without additional time and work. Entrepreneurs should now consider using a special platform for issuing invoices, which will be integrated with the Ministry of Finance system. This may require modifications to the company’s resource management system (ERP), says Spłuszka.
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How much do paper bills really cost?
KSeF will not only accelerate the digital transformation of Polish companies, but will also create a friendlier business model – the so-called paperless. It will have a significant impact on the environment by eliminating billions of sheets of paper used to print documents. The KSeF system offers the ability to issue up to 20 million invoices per day, which translates to 100 million documents in a five-day work week. Printing this large number of paper documents would require cutting down 119,750 trees and using the energy needed to heat 1,396 homes for a year. It also produces up to 8,160 cars of CO2 per year. The water needed to print these bills is enough to fill 162 Olympic-size swimming pools.
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Electronic invoices as an incentive for the digitalization of small businesses
The introduction of KSeF will not only change the billing process. It is also an incentive for companies to digitize and rebuild internal processes faster. In the case of small businesses in particular, the shift to digital circulation of financial (and other) documents can significantly impact business speed and increase operational efficiency, and therefore competitiveness as well.
– Digitization reduces the risk of errors, allows more accurate communication within the company and automation of processes. It also improves the flow of information, especially in the context of remote and hybrid work. Entrepreneurs, regardless of the size of the company, should invest now in the right solutions for data digitization and management in order to adapt to the new reality of electronic invoicing without any disruptions, says Thomas Spochka. ([email protected])fot.jm
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