Charlie-India the globally Introduction interoperable e-invoicing … · 2018-12-10 · •...
Transcript of Charlie-India the globally Introduction interoperable e-invoicing … · 2018-12-10 · •...
Introduction
Charlie - India Invoice Hub
Invoice related services by
banks – why?
Market potential
References
Charlie-India the globally
interoperable e-invoicing
network
Partner HUB Ltd -
Katalin Kauzli
10/30/2018
www.charlie-india.com
Incorporated in 2015
10+ years of experience
in developing invoicing systems
Flagship product:
CharlieIndia Invoice HUB for banks:
White-label e-invoicing platformCustomers sought:
Banks wanting to provide value added services
for SMEs
New markets:
Europe from 2018
Charlie-India Invoice HUB for banks is
an 80% ready-made white label software
product, which is to be integrated into
the internet bank for invoice related
services.
1. Customer and supplier invoice management:
a) Receiving and processing supplier invoices
b) User interface for paper based/pdf invoices together with OCR
c) Issuing tax regulation compliant e-invoices in any tax jurisdiction
d) Easy integration with ERP/accounting/invoicing systems
2. Integration with the bank’s payment system
a) 1-click supplier invoice payment generated from invoice data
b) matching invoice data with payment data
3. All required back office functions
Level of digitalization and integration of
purchase-to-pay processes
Why
Payment delays are often caused by
inefficient invoice processing,
which affects SMEs the most
• The penetration of e-invoicing is
the lowest in the SME segment
• No proper offering for SMEs for
interoperable invoicing services
• e-invoicing saves 60-80% of
invoice processing costs compared
to paper invoicing
• Banks shall provide invoice and
receipt and convenient payment
services
• Payment transaction will stay at
the bank even after the rise of
open banking (PSD2)
Invoicing 2.0
Connected invoicing with banks
as backbone of the network
• Banks form the backbone of the
network as every business has a
major bank, banks can support SMEs
to digitalize
• Data exchange among networks
• Fully available data assets for
analytics
• Prevent churn, provide additional
financing, decreasing risk costs
• Total efficiency increase potential
realized by enterprises (60-80%
on invoice processing costs) due
to interoperable networks
Market potential
Rationale for banks to
enter the market
• The global e-invoicing and enabler market size: EUR 16.6 Bn* in 2024
• European payment industry: EUR 267.8 Tr in 2016** (with related payment
revenues of EUR 370 bn in 2014), this means EUR 366 Bn financing
opportunity with an additional EUR 9.1 Bn annual interest income for
banks in Europe and 23.8 Bn savings for the enterprise sector) on equity
costs
• The SME sector in Europe will realize EUR 112 bn*** savings on invoice
processing cost on transformation from offline to online invoicing
*Billentis Report http://www.billentis.com
**European Central Bank:Value of payment transactions involving non-MFIs, McKinsey: Global Payments 2015: A Healthy Industry
Confronts Disruption, assuming 10% B2B payment ratio, taking an average 5 days extra financing, 2.5% loan interest rate, not
calculating with related savings on risk cost, 9% required rate of return for enterprises
***estimation based on employee categories per size, 250 invoices per employee (in-and outbound)/year, EUR 3.5 savings/invoice, based on http://www.billentis.com/e-invoicing-businesscase.pdf, for 23.3mn businesses employing 0-249 people in Europe
OTP ebiz functionality
Banking reference casestudy
CharlieIndia Invoice HUB is the core system for OTP Bank Plc’s eBIZ service
INVOICING, HANDLING INVOICES
• Issuing invoices with eBIZ invoicing solution• Time stamping e-invoices
• Sending and receiving e-invoices within the eBIZ network
PAYMENT SERVICES
• Instant one-click payment of received e-invoices, withoutthe need to separately enter the internet banking surface
• Invoices to be paid may be put into a payment package,
which may be digitally signed within the application
• Notification about the fulfilment of signed transactions
(payment of invoices)
LIQUIDITY MANAGEMENT
• Up-to-date information and forecasts about the liquiditysituation of the companes
• Charts relating to money transfers and expected revenues
and expenses based on invoicing data
BANK SYSTEM INTEGRATION
• eBIZ has a direct connection to OTP Bank’s account system, therefore it is possible to have up-to-date account
information, initiate and approve payments within eBIZ
UP-TO-DATE PARTNER
INFORMATION
• Online information about customers and suppliers thanksto the integrated official company registry into eBIZ
• In case of non-payment customers of the client may be
notified through eBIZ
ACCOUNTING SYSTEM INTEGRATION
• Within eBIZ, the banking client has an online connectionto its accountant. The accountant can see all sent and
received invoices, their payment status. The accountant
can set up payment packages for approval related to
wages and tax payments.
Proof-of-concept network in Hungary
• Operational and pilot
solutions• Participants can send and
receive/present invoices from
each other• In the center stands the
market leader bank (OTP Bank) with a full scale e-
invoicing solution for SMEs
• Second bank just has been contracted
• Utility companies and ERPs are already connected