E-invoice Exchange Process in Germany

In 2025, Germany will mandate e-invoicing for B2B transactions. For businesses preparing to adapt and transition to paperless operations, understanding the e-invoice exchange process and choosing the right solution is essential.

Keep reading to learn about:

• The mechanics of e-invoice exchange
• Key considerations for selecting the best approach
• Solutions that can simplify the transition.

How e-invoice exchange works

The e-invoice exchange process facilitates the secure and structured transfer of invoice data between suppliers and recipients. Each stage of the exchange ensures compliance with technical and legal standards, reducing manual errors and accelerating transaction timelines.

Roles in the e-invoice exchange process

• Supplier EDI: Suppliers using electronic data interchange (EDI) transmit invoices directly to the recipient's IT systems. This method requires robust IT architecture for secure invoice verification, approval, and integration with enterprise resource planning (ERP) and accounting systems. Ensuring CEN compliance and supporting multiple formats are key requirements. Businesses can opt for external service providers to simplify format conversion and use PEPPOL for secure exchanges.
• Supplier web EDI: Large companies often provide SMEs with access to a web portal. Here, suppliers enter invoice details into a structured form, automatically generating machine-readable formats for transmission to the recipient’s IT systems. This option is cost-effective for smaller businesses but depends on portal usage costs and invoice volume.
• Supplier email: Suitable for low-volume invoice exchanges, this method involves sending invoices via email. Recipients must manually check compliance with CEN standards or use invoice management tools to streamline verification. While affordable for small businesses, it is less scalable for high-volume operations.

Five main factors for choosing the right e-invoicing solution

1. Cost: EDI systems demand upfront investment in IT infrastructure and ongoing costs for format mapping and security. Web portals offer a more budget-friendly solution, particularly for SMEs, with costs determined by user volume. Email-based systems are generally the most affordable for businesses with low invoice volumes.
2. Integration capabilities: For businesses with existing ERP systems, EDI provides seamless integration, automating data entry and reducing manual workloads. Web EDI portals and email systems may require additional steps to ensure compatibility with internal systems.
3. Security: Robust security measures are critical for protecting sensitive financial data. EDI solutions utilize encrypted protocols such as AS2/AS4 for secure data transmission. The adoption of PEPPOL is highly recommended for enhanced compliance and security.
4. Volume of invoices: High-volume operations benefit most from EDI’s scalability, enabling efficient handling of large transaction quantities. Conversely, email-based methods are better suited for small-scale invoicing needs.
5. Compliance: Ensuring that your chosen method adheres to local and international standards, such as CEN compliance, is essential. EDI systems often provide superior compliance capabilities, adapting to various legal and technical requirements.

Comarch’s e-invoicing solutions

To help you achieve compliance and reduce stress, Comarch offers comprehensive e-invoicing solutions for 2025 and beyond. Whether your business processes invoices through EDI, web portals, or email, Comarch provides the tools and expertise to ensure seamless integration and operation.

Key features and benefits of Comarch’s solutions

• Comprehensive support: From system setup to ongoing support, Comarch ensures that your IT infrastructure is equipped to handle various invoice formats and compliance requirements.
• Simplified transition: Our solutions streamline the transition to compliant e-invoicing systems, minimizing disruptions to daily operations.
• PEPPOL integration: Secure and compliant exchanges are guaranteed with built-in PEPPOL support, meeting international standards for e-invoice exchange.
• Cost efficiency: Comarch’s scalable solutions are tailored to meet the needs of businesses of all sizes, offering cost-effective options for SMEs and large enterprises operating in Germany.
• Automation and accuracy: By automating invoice validation and processing, our systems reduce manual intervention, ensuring error-free operations and faster transaction cycles.

Are you ready for e-invoicing in Germany in 2025?

As businesses prepare for the 2025 e-invoicing mandate in Germany, understanding the exchange process and choosing the right solution are vital steps. With our comprehensive offers, companies can achieve seamless integration and ensure compliance—all while focusing on their core business as we handle the heavy lifting.

Ready to go paperless in Germany and beyond? Schedule a 30-minute, no-obligation call with our expert and take the first step toward streamlined, compliant operations.

There’s more you should know about e-invoicing in Germany – learn more about the new and upcoming regulations.