PayPal vs. Manual Invoice Payments for B2B eCommerce

Which System is Better for Business to Business eCommerce?

A comparison of how well PayPal and Manual Invoice Payments work for B2B eCommerce

Business to Business (B2B) eCommerce can be very different from Business to Consumer (B2C) eCommerce. B2B eCommerce usually involves larger orders with particular requirements. B2B eCommerce companies may offer different prices to different companies while B2C companies usually offer the same prices to every consumer. The list of differences goes on and on. One thing that B2B and B2C eCommerce companies do have in common is the need for payment to take place. While conventionally this was done by manual invoicing payments, more and more businesses are taking advantage of online payment processors, such as PayPal.

Manual Invoice Payments

invoiceAlmost all businesses have dealt with manual invoicing. B2B companies feel comfortable with it, and that is its biggest pro. However, manual invoicing has a greater chance of human error than PayPal. Also, your company must pay one of your employees to create the invoices, which can be costly and divert resources. Then your business has to wait for the other business to receive the invoice and send payment, which can delay your company receiving payment until the other business responds.


PayPalPayPal is most often associated with B2C eCommerce, but it can also be very functional for B2B eCommerce companies. PayPal is able to save your company time and resources because it is automated. You won’t have to pay someone to invoice other businesses because they will have already paid using PayPal. This also lowers the chance of human error that often comes with manual invoicing. If the other business isn’t ready to pay at the time of purchase, PayPal enables you to send out invoices through email that can easily be paid by the other company with only a few clicks. PayPal only charges per transaction, which means that you only have to pay when you get paid.

Which is Better for B2B eCommerce?

 Give your customers the option of using PayPal or choosing to be invoiced.

While some businesses may prefer to be manually invoiced, it can cost your business more time and money than PayPal. However, it is true that some companies prefer not to use PayPal. The best choice is to give your customers options. Your business should have the PayPal option, but if certain customers are uncomfortable with using PayPal, then allow them to be manually invoiced. This will allow your company to become more efficient while not alienating some customers.

Clarity Can Help

Our team at Clarity has years of experience helping B2B eCommerce companies start and improve their online B2B stores. Clarity can help your company implement PayPal or come up with a more customized solution, to fit your business’ needs. To find out more about how Clarity can help your B2B company, contact us today!