Invoice data capture software - What is it and how does it work?

Managing invoices can be a tedious task, especially when dealing with a large volume of data. Manually inputting information is not only time-consuming but also prone to errors. This is where invoice data capture software comes into play. In this post, we'll explore what invoice data capture software is and how it can revolutionize your workflow. We also take a look into one of the best available softwares out there for capturing your invoices data and converting Emails to Google Sheets.

What is Invoice Data Capture Software?

Invoice data capture software is a tool designed to automatically extract information from invoices and other similar documents. It uses advanced technologies like optical character recognition (OCR), machine learning and large language models (Like GPT) to identify and capture key data points such as invoice numbers, dates, amounts, and vendor details. This information is then organized and stored in a digital format, ready for further processing and analysis. Data capturing in general is the action of automatically extracting data from unstructured text and image data. You can read more about data capturing in our blog post on "What is data capturing?".

How Does Invoice Data Capture Software Work?

Step 1: Invoice Submission

The process begins with the submission of invoices. These can be in various formats, such as PDFs, scanned images, or even digital documents received via email. With Docsight, you can easily forward these invoices to a dedicated email address set up for data capture.

Step 2: Data Extraction

Once the invoice is received, Docsight OCR and machine learning algorithms get to work. They scan the document, identify key fields, and extract relevant information. This includes details like invoice number, date, total amount, tax amounts, and vendor information.

Step 3: Data Validation

After extraction, the software performs a validation check to ensure accuracy. This step involves comparing the extracted data against predefined templates and rules to catch any anomalies or errors. Docsight's machine learning models improve over time, reducing the need for manual intervention.

Step 4: Data Storage in Google Sheets

The final step is storing the extracted data in an organized manner. Docsight automatically populates a Google Sheet with the captured information. Each invoice gets its own row, with columns representing different data fields. This structured approach makes it easy to analyze and report on invoice data.

Automating Invoice Management with Docsight

Imagine you're managing accounts payable for a mid-sized company. You receive dozens of invoices daily, each containing multiple data points that need to be recorded accurately. Manually entering this data into a spreadsheet is a daunting task that consumes valuable time and resources.

By implementing Docsight, you can automate this entire process. Here’s how it works in practice:

1. Email Integration

   Suppliers send their invoices to a designated email address.

2. Automatic Capture

   Docsight receives the invoices and immediately starts extracting data.

3. Real-Time Updates

   The extracted data is validated and instantly updated in a Google Sheet.

4. Easy Access

   Your team can access the organized data in real-time, allowing for quick reviews and approvals.

How Docsight Invoice Capturing Software Works in Practice?

Below we will give you an example of how exactly you can use Docsight to automatically capture data from your invoices and store them in Google Sheets.

Start Using Docsight Invoice Data Capturing Software

Let’s say we have the following invoice and we want to capture invoice data from it:

After you sign up and login into Docsight dashboard, you will see the following page:

As stated in the onboarding page, your first step is to define a template.

In the templates page, you can click on New button to create a new template:

You see the following page that you should enter your desired data fields to be captured:

Specify a name for your template (We have chosen Invoice Data Capture) and add the fields that you want to capture. For our invoice we have chosen these fields:

As you can see in the image above, you can also define a description for any field that you think needs explanation. For adding description to a field you can simply hit on the dark button just right to the field input.

After adding all your data you hit Save button.

You can see that a Google Sheets and a Unique Email Address is created for your template.

Now let’s send the above invoice as an attachment to our unique email address and see how data gets extracted.

After sending the email, you can monitor the dashboard to see the incoming email. It should not take more than 5 minutes for the incoming email to gets appeared in the dashboard.

Let's check our Sheet to see if data is captured properly:

You can see that invoice data is captured by Docsight software with 100% accuracy in seconds.

Benefits of Using Docsight for Invoice Data Capture

• Time Savings

  Automation reduces the time spent on manual data entry, freeing up your team to focus on more strategic tasks.

• Accuracy

  Automated extraction minimizes errors, ensuring your records are precise and reliable.

• Efficiency

  Real-time updates and easy access to organized data streamline your workflow, improving overall efficiency.

• Scalability

  Whether you're processing 10 invoices or 10,000, Docsight can handle the volume without compromising performance.

Conclusion

Invoice data capture software like Docsight is a game-changer for businesses looking to streamline their invoice management process. By automating data extraction and storage, Docsight helps you save time, reduce errors, and increase efficiency. If you're tired of manual data entry and looking for a smarter solution, Docsight is the answer.

Try Docsight today and transform the way you handle invoice data!