Sage today released new research showing that Canada could unlock an estimated C$82 billion in annual productivity gains through wider adoption of e-invoicing. Yet only 7% of Canadian businesses currently use the technology.
The findings also highlight the impact of payment delays on Canadian businesses. An estimated C$103 billion is tied up in overdue invoices, while broader e-invoicing adoption could release approximately C$21 billion in trapped cash flow back into the economy.
Unlike emailed PDFs or paper invoices, e-invoicing enables invoice data to move automatically between businesses’ and customers’ accounting and finance systems, reducing manual processing and improving the flow of information between trading partners.
Released during Small Business Month, the research highlights the opportunity to help Canadian businesses spend less time on administration and more time focused on growth. The findings come as governments and industry leaders look for practical ways to improve productivity, strengthen competitiveness, and support greater adoption of digital technologies.
Based on a survey of more than 2,000 Canadian businesses, the study found Canada trails other markets in e-invoicing adoption, compared with 17% of businesses in the United Kingdom and 32% across Europe already using e-invoicing.
According to the research:
- If all Canadian businesses adopted e-invoicing, the time savings could be worth approximately C$82 billion annually, equivalent to roughly 2.5% of Canada’s GDP.
- Canadian businesses currently hold an estimated C$103 billion in overdue invoices, with adoption of e-invoicing capable of releasing approximately C$21 billion back into the economy.
- Half of businesses say late payments negatively affect cash flow, while 27% report they prevent investment in future growth.
- Seventy-four per cent of business owners and senior leaders deal with invoicing and payment issues at least monthly, and 38% do so every week.
- Forty-two per cent of businesses have never heard of e-invoicing, and only 14% say they are familiar with it.
The findings suggest that awareness remains one of the greatest barriers to adoption. Businesses identified education, implementation support, and financial incentives as important factors in encouraging greater uptake of digital invoicing solutions. The research also found businesses are nearly evenly divided on whether Canada should introduce a national e-invoicing mandate, with many preferring incentives over regulation alone.
For Sage, e-invoicing represents an important part of the broader digital infrastructure needed to help businesses embrace emerging technologies, including artificial intelligence. The findings point to a clear opportunity for Canada to strengthen productivity and unlock growth. Sage is calling on the federal government to begin a national consultation on e-invoicing and work with industry, provinces, standards bodies and the CRA to develop a clear path forward. By aligning with internationally recognized standards and supporting phased adoption across the economy, Canada can help SMEs reduce administrative burden, improve cash flow, combat invoice fraud and build the digital foundations needed for long-term competitiveness and AI readiness. Sage has supported similar efforts internationally, contributing to the UK government’s e-invoicing consultation and ongoing HMRC working groups, as well as working directly with the French government on testing and implementation of its e-invoicing system.
To learn more about the e-invoicing research, download the PDF.
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Sage research: E-invoicing could unlock C$82 billion for Canada
Sage today released new research showing that Canada could unlock an estimated C$82 billion in annual productivity gains through wider adoption of e-invoicing. Yet only 7% of Canadian businesses currently use the technology.
The findings also highlight the impact of payment delays on Canadian businesses. An estimated C$103 billion is tied up in overdue invoices, while broader e-invoicing adoption could release approximately C$21 billion in trapped cash flow back into the economy.
Unlike emailed PDFs or paper invoices, e-invoicing enables invoice data to move automatically between businesses’ and customers’ accounting and finance systems, reducing manual processing and improving the flow of information between trading partners.
Released during Small Business Month, the research highlights the opportunity to help Canadian businesses spend less time on administration and more time focused on growth. The findings come as governments and industry leaders look for practical ways to improve productivity, strengthen competitiveness, and support greater adoption of digital technologies.
Based on a survey of more than 2,000 Canadian businesses, the study found Canada trails other markets in e-invoicing adoption, compared with 17% of businesses in the United Kingdom and 32% across Europe already using e-invoicing.
According to the research:
The findings suggest that awareness remains one of the greatest barriers to adoption. Businesses identified education, implementation support, and financial incentives as important factors in encouraging greater uptake of digital invoicing solutions. The research also found businesses are nearly evenly divided on whether Canada should introduce a national e-invoicing mandate, with many preferring incentives over regulation alone.
For Sage, e-invoicing represents an important part of the broader digital infrastructure needed to help businesses embrace emerging technologies, including artificial intelligence. The findings point to a clear opportunity for Canada to strengthen productivity and unlock growth. Sage is calling on the federal government to begin a national consultation on e-invoicing and work with industry, provinces, standards bodies and the CRA to develop a clear path forward. By aligning with internationally recognized standards and supporting phased adoption across the economy, Canada can help SMEs reduce administrative burden, improve cash flow, combat invoice fraud and build the digital foundations needed for long-term competitiveness and AI readiness. Sage has supported similar efforts internationally, contributing to the UK government’s e-invoicing consultation and ongoing HMRC working groups, as well as working directly with the French government on testing and implementation of its e-invoicing system.
To learn more about the e-invoicing research, download the PDF.
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This entry was posted on October 19, 2026 at 9:59 am and is filed under Commentary with tags Sage. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.