Payhawk Teams With Invopop to Bolster eInvoicing
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Payhawk and Invopop partner to Simplify European E-Invoicing Compliance
What Happened?
Finance orchestration platform Payhawk has partnered with Spain-based eInvoicing company Invopop to streamline eInvoicing for businesses operating across Europe. The collaboration, announced on November 25, 2024, integrates Invopop’s PEPPOL connectivity with Payhawk’s accounts payable (AP) automation.
This integration allows finance teams to receive, validate, approve, and pay structured electronic invoices directly within the Payhawk platform, eliminating the need for separate systems and complex integrations. The partnership aims to address the growing complexity of eInvoicing compliance driven by recent EU reforms.
Why This Matters: The EU E-Invoicing Reforms
The European Union is undergoing significant eInvoicing reforms designed to modernize financial processes and enhance transparency. These changes aim to combat fraud, reduce administrative burdens, and accelerate digital transformation across the continent. However, the implementation is fragmented, with differing national frameworks and invoice formats (like Factur-X and UBL) creating challenges for multinational companies.
The reforms are being rolled out in phases. Mandatory e-invoicing for B2G (Business-to-Government) transactions has already begun in some countries, and the scope is expanding to include B2B (Business-to-Business) transactions. The timeline varies by member state, adding to the complexity.
| Country | B2G Mandate Start Date | B2B Mandate Start Date (Projected) |
|---|---|---|
| Italy | July 2022 | January 2024 |
| Germany | december 2020 (limited) | 2025 |
| France | ongoing (gradual) | 2024-2026 |
| Spain | Ongoing (gradual) | 2025 |
Note: Dates are subject to change. Consult official EU and national government resources for the most up-to-date information.
How the Payhawk-Invopop Integration Works
The partnership leverages the strengths of both companies. Invopop provides connectivity to the PEPPOL network, a secure and standardized infrastructure for exchanging e-documents across Europe. Payhawk’s AP automation platform then handles the validation, approval, payment, and reconciliation of these invoices.
Here’s a breakdown of the process:
- Invoice Receipt: Structured eInvoices are received through invopop’s PEPPOL connection.
- automatic Validation: Payhawk automatically validates invoices against local standards and regulations.
- Approval Workflow: Invoices are routed through Payhawk’s approval workflows.
- Payment Processing: Approved invoices are paid directly through Payhawk.
- ERP Reconciliation: Real-time reconciliation with existing Enterprise Resource Planning (ERP) systems.
This streamlined process reduces manual effort, minimizes errors, and ensures compliance with evolving eInvoicing regulations.