A Tasmanian Federal MP is behind a move to help Australian small businesses reduce the risk of invoice scams and improve their cash flow.
Small Business Minister Julie Collins joined a roundtable in Hobart on Friday with local business owners and accounting software company Xero to discuss the benefits of eInvoicing.
It comes as the Federal Government prepares to invest $23.3 million in a bid to reduce the risk of invoice scams and improve cash flow for small businesses across Australia by encouraging the adoption of eInvoicing.
The initiative, which enables invoices to be sent and received digitally through existing accounting software, has already been embraced by over 130,000 businesses nationwide, including 2,200 in Tasmania.
“Our government is backing small businesses to take up eInvoicing because we know it can make a big difference to small businesses, like those I met with in Hobart today and right across the country,” Collins said.
“eInvoicing can save businesses money by reducing the time and effort it takes to process an invoice, so they can focus on what really matters – the running of their business.”
Xero ANZ Managing Director Anthony Drury said with the rise in AI and other intelligent systems used by scammers, it is extremely important for businesses to ensure their systems are secure.
“You have a range of phishing-based scams out there, where the third-party scammer would send fake invoices and links,” he said.
“The [business] would log onto that, and depending on what system they’re on, their systems could get hacked and their credentials could get stolen.”
“Through eInvoicing, that is taken away, because it’s a point-to-point, secure connection between downstream vendors and upstream suppliers.”
Invoice scams were one of the most common scams reported by businesses in Tasmania in 2023, with losses exceeding $91 million nationally.
