Even though technology has become a big part of our daily lives, some companies still have to discover the wonders of automating their business processes. Take, for instance, a task like invoice processing. According to recent statistics, 86% of SMEs still process invoices manually. Not only is this a tedious and repetitive task, but it takes up a lot of precious time.
Companies that extract information manually from invoices spend approximately 25 days on a single invoice. And that is, of course, if the invoice does not present any errors beforehand. Why spend such a large amount of time manually extracting and typing important data points from invoices, when you can facilitate this process with invoice scanning software?
In this blog, we will discuss what is invoice scanning software, the criteria for choosing an invoice scanning software that fits your organization and we will look at a breakdown of the 8 best invoice scanning software in 2024. Let’s start!
What is Invoice Scanning Software?
Invoice scanning software reads, scans, and extracts data from invoices, using Optical Character Recognition and AI. Instead of completing this task manually, this document scanning software automatically extracts all desired information, including:
- Merchant address
- Merchant name
- Line items, including description, price, quantity
- Purchase order numbers
- Methods of payment
- Invoice number
- Delivery details
Using invoice scanning software can significantly improve the speed of extracting and processing information. In addition, it helps eliminate human errors that might occur during manual processing and prevent invoice fraud in your organization.
There are many things to take into account when implementing an automated solution for invoice scanning. So let’s take a look at the most important factors that need to be taken into consideration when choosing software for scanning invoices.
Criteria for Selecting Invoice Scanning Software
As previously mentioned, there are many things that you need to keep in mind when choosing invoice-scanning software. Take a look at some of the most important criteria when considering an invoice scanner:
- Accuracy: The extraction of invoice data and line items is accurate and does not present any misspellings or transcribing errors.
- Speed: An effective invoice scanner requires only a few seconds to read the invoice and extract the necessary information from it.
- Compatibility with other software: A seamless integration with pre-existing software creates a smooth operation of the invoice scanning process.
- Ease of use: The process to scan invoices is clear and straightforward, and works without any inconvenience.
- Customer support: In case of any unforeseen events that may arise, good customer service is crucial.
But how do you know which invoice scanning software is most suitable for your company? We have made a list of the 8 best invoice scanning software so that you can convince yourself of the best option for your organization.
Top 8 Best Invoice Scanning Software in 2024
1. Klippa SpendControl
Klippa SpendControl is a fully digital solution for business expense management and processing invoices and receipts. Using OCR technology, this document scanning software is able to accurately extract all information from an invoice and give you the ability to perform invoice scanning, invoice approval, and booking to your financial administration.
- Both expense management software and invoice processing software in one platform
- Europe’s best OCR technology
- Send invoices via app, website, and email
- Store documents in the cloud for up to 10 years
- 99% extraction accuracy
- Robotic accounting with self-learning booking suggestions
- Digital approvals with a standard bookkeeping system
- Integration with a standard bookkeeping system
- Integration with ERP system
- Automatic document fraud detection
- User sync, single sign-on, and 2FA
- Two-way matching of purchase orders and invoices
- Business expense cards for maximized cost control
- Does not perform three-way matching, yet.
- Effective pack: €95 per month, for 4000 invoices per year and access to 10 users
- Premium pack: €245 per month for 12,000 invoices per year and access to 30 users
- Custom pricing: tailored for every business’s needs
2. Klippa DocHorizon
Klippa DocHorizon is an automated data entry platform that uses OCR technology to accurately scan, extract, and process information. In addition, with Klippa DocHorizon, you have the ability to further classify, anonymize and verify documents, such as invoices.
In contrast with Klippa SpendControl solution, Klippa DocHorizon has no direct integration with your organization’s ERP or bookkeeping system. However, it can easily be integrated into existing applications via API and SDK.
Klippa DocHorizon is also specialized in scanning a variety of documents, such as invoices and other financial-related documents. The invoice OCR software is accurate and scalable, and most importantly, saves the accounts payable department a large amount of time and money.
- Fast and accurate data extraction
- Detection of fraudulent invoices
- Cross-checking between documents and data points
- Verifies authenticity of documents
- Classifies, labels, and sorts files and line items
- Data masking, data anonymization, and data redaction
- Convert documents from and to various extensions
- Fully customizable to your specific needs
- No support for non-Latin languages
- No document storage
- Not an all-in-one financial management solution
- Custom pricing depends on every business’s needs and case
- Customers can fill in a pricing request and get tailored advice
Docsumo is an invoice processing software powered by AI, that extracts and converts documents such as payslips, invoices, and bank statements into readable data. While it uses advanced OCR technology, it does not allow for seamless integration within an existing system.
Docsumo is suitable for companies mostly preoccupied with processing PDF files and scanning relatively simply structured documents.
- Extraction and validation of data
- Scanning data using OCR technology
- Corrects image contrast and performs de-skewing
- Conversion to excel and JSON format
- Selective data extraction using presets
- Inability to read handwritten text
- Inability to accurately process documents different than PDF
- A small variety of conversion extensions
- No API or SDK integration
- No fraud detection
- €500+ per month
- Custom pricing depending on every organization’s request
Rossum is a file-processing platform that digitally processes various documents and stores them in the cloud. This feature allows for cloud access, which leaves out additional maintenance costs for storing documents.
However, Rossum can only scan invoices and extract the selected data. It is not able to perform additional tasks, for example, tracking the invoice processing time or monitoring business expenses.
- Offers cloud access
- Ability to receive data from multiple channels
- API integration
- Automated learning mechanism, from observed invoice scanning patterns
- No need for an invoice template creation
- Inability to track time of invoice scanning
- Incapacity of monitoring further business expenses
- No options for converting the extracted data
- Cannot detect invoice fraud
- Does not perform two-way matching
- Custom pricing, depending on the business’s requirements and needs
Nanonets is an automated data entry software that uses artificial intelligence. It lets you scan invoices, bills, and receipts and extract data in real-time.
Despite the advanced technology it uses for scanning invoices, Nanonets does not offer the possibility of converting the extracted data into multiple extensions.
- Customizable data extraction
- Ability to read and scan unstructured data
- Seamless integration with common channels, such as DropBox, email, or Google Sheets
- Available to use only when connected to the internet
- Only JSON extension available for conversion
- No cloud storage option
- No invoice fraud detection
- Inability to upload files in batch
- €499 per month for only one document model
Kofax is an automated data entry software, created for automating financial-focused processes and tasks. It helps the user capture data from invoices and validate them.
Although Kofax helps with automating the process of scanning invoices and is able to convert data into multiple formats, it lacks the ability to customize actions within the software. This means the user has a small variety of tasks they can perform with the scanned data.
- Ability to scan invoices regardless of their format
- Keep track of the placement of scanned documents
- Track KPIs of the scanning process
- OCR technology to scan invoices
- Performs three-way matching
- Limitations to customizing the software
- Few tools for configuration
- No detection of invoice fraud
- No ERP integrations
- Inability to upload files in batch
- €3.500 for 100.000 pages and 10.000 per year
Docparser is a cloud-based invoice parsing and automation tool. It lets you extract data from scanned images, PDF files, and Word documents and convert it to JSON, CSV, XML, and Excel.
While it offers the user the ability to convert the scanned data to various extensions, it lacks the capacity to filter and divide it. Essentially, the software has trouble separating data and differentiating names, locations, line items, numbers, and dates.
Moreover, Docparser does not automatically read the file as it is uploaded. The user is required to manually select the data that needs to be scanned and mention what type of document they have uploaded.
- Suitable for e-commerce, wholesale, and retail business
- Good PDF parser for real-estate-related invoices
- Ability to convert unstructured data into readable information
- Filtering and division of scanned data is an issue for the software
- No batch uploading of files
- Inability to perform two-way matching
- Limitations recognizing the file type
- Cannot automatically read information from documents
- Starter pack: $40 per month for processing 100 documents per month
- Professional pack: $75 per month for processing 250 documents per month
- Business pack: $160 per month for processing 1000 documents per month
- Custom pricing depending on the business’s requirements
Hyperscience is an automated-data entry software that uses a combination of OCR technology, computer vision, machine learning, and natural language processing to read and extract data from invoices.
While it preaches that the intelligent document processing software has the ability to accurately extract data from documents such as invoices, it still requires implementing human-in-the-loop. On its own, the software encounters errors, therefore human input is required.
Moreover, users have reported that Hypersciene’s customer service is still to be improved, as the level of service and help that was offered to them was unsatisfactory.
- 99% accuracy in data extraction
- Security measures against data breaches
- Use of OCR technology
- Poor customer service
- No invoice fraud detection
- No ERP integration system
- Need for human input
- The inability for batch upload
- Lack of options for converting extracted data
- Custom pricing depending on the business’s needs
There are numerous Intelligent Document Processing software used for scanning invoices, as we have just discovered. While they all fulfill the purpose of scanning invoices, many lack important features that actually improve the invoice scanning process.
Klippa SpendControl however, meets the most significant needs and fulfills all necessary criteria to successfully automate invoice scanning, without any kind of compromise. Why settle for software that can perform only part of the task?
Let’s find out together how you and your business can benefit from using Klippa SpendControl Invoice Processing software.
Why Choose Klippa SpendControl to Automate Invoice Scanning?
Klippa SpendControl is an all-in-one financial management solution that significantly improves the accounts payable process within your organization. Using OCR technology, it can automatically read, scan and process invoices within a matter of seconds.
How can automated invoice scanning benefit your organization? These are just some of the advantages of using Klippa SpendControl:
- Easily submit files via the Klippa app, website, or email. Submitting them in bulk is also possible, to reduce effort and maximize efficiency.
- Gain access to all past invoices, located in a designated cloud environment. Keep track of all invoices and be well-prepared for your next audit.
- Extract data, using AI-data extraction technology, which helps recognize details such as the invoice number, payment address, and even different currencies.
- Prevent fraud, with the help of a built-in analysis that detects duplicates and protects you from invoice fraud.
- Automate approval processes and improve your organization’s productivity course. Create fixed or variable invoice approval processes and facilitate the workflow of your business.
- Experience seamless integration with a variety of ERP or accounting software, such as NetSuite, SAP, Xero, and many more.
Our experts would be happy to assist you with any questions or inquiries you might have. Contact us or schedule a free demo and get more information about Klippa SpendControl.