Everything You Need to Know About Crypto Invoices in 2023

What are Invoices?

Invoices are financial documents used in business transactions to request payment from a buyer for goods or services provided.

Invoices typically include details such as the seller's and the buyer's information, a description of the products or services, the quantity, unit price, total amount due, payment terms, and any applicable taxes or discounts.

They can be regarded as a legal record of the transaction and are crucial for tracking income and managing finances. This is why Bizzllet is taking them to the next level and using them for crypto transaction purposes.

‍

‍

Can You Send Crypto Invoices and How?

The short answer is yes, of course.It is possible to send crypto invoices, and this practice is becoming increasingly common as crypto gains wider acceptance. To send a crypto invoice, you would typically follow these steps:

1. Select a Wallet - When you want to receive payments in cryptocurrency, it is essential to have a non custodial crypto wallet (list of best wallets for 2023). This wallet will allow you to store, manage, and transact with your digital assets. However, it is vital that the wallet you choose supports the crypto you want to receive. If you want to learn how to create a wallet, check out this blog.
2. Generate Crypto Invoices - Use a crypto invoicing platform or create a custom invoice that includes your wallet address, the amount in cryptocurrency, and a link or a QR code for easy sharing and scanning. Make sure you insert all the necessary information so the invoices serve as a complete document in case you need it later.
3. Send Crypto Invoices - Share the invoice with the buyer via email or a messaging app. Make sure the buyer knows your wallet address and the exact coin to use. QR codes are a convenient way to transmit information, including wallet addresses and payment amounts, between devices. They will typically open their digital wallet app and pre-populate the payment details. This makes it easy for the buyer to confirm the payment and complete the transaction.
4. Receive Crypto Payments - Once the buyer sends the payment to your wallet address, you can monitor the blockchain for confirmation of the transaction. It's important to note that this confirmation process can take anywhere from a few minutes to several hours, depending on the specific blockchain network and the transaction fee paid. In the meantime, you may want to consider sending a confirmation message to the buyer to let them know that their payment has been received and that you are waiting for confirmation from the network.
5. Crypto Bookkeeping - Take this opportunity to review your inventory and prepare the item or service for delivery so that as soon as the transaction is confirmed, you can quickly and efficiently complete the deal with the buyer.

Challenges of Crypto Invoices

As great as invoices can be in general, the described process poses a few problems specially for crypto payments. Let’s discuss those challenges and propose a solution that could make the whole process a lot easier.

1. Price Volatility: Crypto prices can be highly volatile, leading to significant fluctuations in the value of payments received. Sellers may need to adjust their prices or hedge against this risk. This is why payments should be made in stablecoins to avoid any unnecessary price fluctuation and loss of value. You can check the price fluctuations here.
2. Technical Complexity  Using cryptocurrencies requires technical proficiency, and both the sender and receiver need a good understanding of how wallets, addresses, and blockchain technology work. This is why the process is prone to errors from both sides that can’t be reversed.
3. Internal Time Consumption -  Generating an invoice can take up a lot of time since there is a lot of information to be filled in and a lot of calculations to be done. Navigating between wallets, choosing the currency, and inserting buyer information takes a lot of time and adds up if you have multiple buyers during the day.
4. External Time Consumption - To receive payment via cryptocurrency, include the invoice link or QR code in the email, send it to the buyer, and wait for the payment to be sent. Once you receive the payment, verify that it was sent to the correct wallet address and for the correct amount. If the payment is incorrect, the process becomes more complex. You must notify the buyer and request the correct amount to be sent. Needless to say, time-consuming again.‍
5. Accounting Challenges - Usually, accountants attempt to match the transaction to a particular customer and then manually enter the data into their accounting software (such as Quickbooks). This is doubling the accountant’s/CFO's job instead of making it more accessible. If you are doing crypto accounting for your treasury, here is and additional resource.

How Bizzllet Solves the Challenges of Crypto Invoices?

We know invoicing has been a pain. This is why we want to tackle this problem differently and make it easier and more convenient for you to get paid in full.

With Bizzllet, you will be able to create, track, and manage your crypto-related invoices effortlessly, aligning with your professional standards, all within our business crypto wallet.

Bizzllet Invoicing simplifies the invoicing process with an elegant and user-friendly approach.

Here is how to do it:

Step 1 - To create a new invoice using Bizzllet, navigate to the "Invoices" section in the side menu and click "New Invoice." Then, input the invoice details, such as the invoice number, date, and due date.

‍

‍

Step 2 - Your company details are generated automatically from the already provided information. No need to waste time filling it out. However, there is always an option to edit.

‍

‍

Step 3 - Select the billing recipient from your saved contacts without having to do it manually. All your new contacts can be saved and used for upcoming transactions.

‍

‍

Step 4 - To send a crypto invoice, you need to choose the cryptocurrency for payment and designate the receiving wallet. Then, enter the price details, such as the amount and the currency, and create the invoice.

‍

‍

Step 5 - Finally, effortlessly share the invoice as a link or send it as a PDF via email. This allows you to quickly and easily get paid for your work without having to worry about sending paper invoices or dealing with complicated payment systems. So why wait? Start using our invoicing system today and take your business to the next level!

‍

What’s next for Bizzllet Crypto Invoices?

This is not all, we are still improving the crypto invoicing feature, and an exciting new invoice upgrade will also be added in the future.

Invoices will be paid directly through Bizzllet, which will automatically fund your designated wallet and update the invoice status.

This streamlined process will save time and eliminate the need for back-and-forth communication between you and the buyer. Everything will happen within the platform.

To supplement this feature, Bizzllet provides detailed transaction history, allowing you to keep track of all payments made and funds received through the platform.

This feature provides greater transparency and accountability, making it easier for you to manage your finances and stay on top of the game.

Technical complexity will no longer be an issue, as you only need to know which coin you wish to be paid in and where to receive the funds.

If you look back at the challenges we identified in crypto invoices, the challenges 1 and 2 have already been solved with the current feature, and with this feature upgrade we aim to solve challenges 2,4 and 5.

‍

‍

Conclusion

Invoicing is a fundamental aspect of financial transactions in business, providing a clear record of goods or services exchanged for payment.

With the increasing adoption of cryptocurrencies, sending crypto invoices has become a viable option for businesses.

Businesses considering crypto invoices should carefully assess the challenges and ensure they use platforms that allow them to automate most of the work in one place, which is why Bizzllet will have the invoicing part covered for you.

If you enjoyed this blog and found it helpful, try Bizzllet today.

‍