The Complete PEPPOL Guide
Jan 03, 2022
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After running your business for a while, you will notice some room for improvement in the procurement process, particularly with e-invoices.The issues could increase when you are doing the interaction across the border. Each company in a different country might have different account receivable solutions in their tech stack.Due to the differences, there are risks of errors and misunderstandings. When one exchanges information with the other parties, it can be challenging to manage the communications through different systems.
Obviously, your company has its own set of standards that follow the local regulations or practices in your location. But you must consider the same for your document's recipient. They are also accustomed to their own culture.
So, the question is, what kind of standards do you and your business partner need to adopt to streamline electronic procurement?
There are some standards that can be adopted there. But most recently, the best recommendation that we could think of is the Peppol solution.
The Peppol e-invoices framework has been proven to be an effective and efficient solution for small to mid-sized businesses. Back then, only large companies were able to handle the large volumes of e-invoices. Well, it is because they have a large capital to start with.
Nowadays, smaller companies will have the same chance to participate in the global marketplace by joining the Peppol network.
A lot of nail stories have drawn a lot of attention from across the globe. Governments outside the EU have mandated their public and private entities to adopt the Peppol solution in their e-procurement practices. With such an effective set of standards, it will also open more gates for revenues.
The Peppol network is no longer exclusive to EU members. More countries have been using the network to exchange important documents with their partners overseas.
Whether you've decided to pursue it or not, it's critical to first grasp the fundamentals of the Peppol before moving forward.
Peppol Definition
First things first, you will need to know about Peppol. Peppol-Pan-European Public Procurement Online is a set of standards allowing the members of the network to exchange documents with other members. The main objective of Peppol is to streamline and simplify the procurement process.
Members of the Peppol Network can exchange business electronic documents through a safe and secure network across the border. Since all of the participants are inside the network, they are using the same standards for e-procurement practices, including e-invoicing. For that reason, there is no risk of errors or misunderstandings because you have different systems with your partner.
The automation of the framework will help both the sender and receiver finalize the exchange in no time.
Sending invoices over the Peppol network is secure, safe, and efficient. But the businesses will need to connect to the network first through a trusted Peppol Access point. Using the Peppol ID granted to them, the businesses will be able to send or receive documents from and to their business partners.
The Peppol network is international. It allows the members to exchange business documents with their partners who are also Peppol network members. Since the costs of these practices are much more affordable than paper invoices, it will also provide opportunities for small-to mid-sized businesses to take part in the global market.
Utilizing the peppol guide
Many companies are looking for the perks of the Peppol network. Exchanging the documents through the Peppol network is safer and quicker than sending digital PDF invoices through their email or other platform.
To join the Peppol network, you will need to connect with a Peppol access point. The peppol service provider will grant you a unique Peppol ID to use for your company identification. Use the ID later for conducting document exchanges with your business partners who are also members of the Peppol network.
Once the businesses are in the Peppol network, they will be able to exchange documents without any problems. Peppol network reliability has evolved in a good direction from time to time. It is arguably the best framework to be used to streamline electronic procurement around the world. Regarding that fact, many governments also request electronic invoicing in the public and private sectors. As mentioned, in order to participate in the network, a business must first attain a Peppol ID.
What is a Peppol ID?
Peppol ID is your organization's identification in the Peppol network. The other parties in the network will identify your party through your unique Peppol ID. It is important to note that there are different ID numbers for public and private groups. Regardless, both private and public organizations can use the Peppol network to exchange documents.
It is highly possible that the private company is working with a government entity and using the Peppol network for exchanging documents. The scenarios are limitless.
Connecting to the Peppol network
To connect to the Peppol network, you must register your organization with the official Peppol access point provider like Tickstar. All you need to do now is to reach out to their representative and talk about what you need. They will gladly help you from the beginning to the end. It is okay if you are new to this. The professionals will help you register your company until your party is connected to the Peppol network. After getting your Peppol ID, you can start using your accounting software or ERP software to issue an invoice and send it to your partner in the same network.
As we know, each country has its own e-invoicing protocol. Here is where things can be a bit tricky to conduct the procurement. But these different protocols won’t be a problem anymore once your organization is connected to the Peppol network.
Use the Peppol guide service from Tickstar and you will be ready to participate in the global market without any hassle.
Not only nationally, you will be able to send invoices and other business documents across the globe, allowing you to expand your business reach and networks. Take your opportunity now and reach out to Tickstar as your trusted AP provider to help you out.