Invoicing services were born out of the need to make invoicing and bureaucracy easier for people who want to work without setting up their own business. Many self-employed professionals, freelancers and gig workers had no need or desire to set up a business name or limited company, but still needed a legal and easy way to invoice their clients.

The main reasons why invoice services came into being:

• Reducing red tape: the administrative burden that comes with traditional entrepreneurship, such as accounting, taxation and insurance, was seen as too heavy for casual entrepreneurs.
• The popularity of light entrepreneurship: many people wanted to test their business ideas without risk, which created the need for a flexible invoicing solution.
• Easy invoicing without a company: it used to be difficult to invoice without a Y ID, but invoice services made this legally possible.
• Changes in working life: freelancing and gig work became more common, and simpler solutions were needed to manage them.

Making bureaucracy easier is the name of the game for invoice services. The invoicing service handles, for example, the transmission of payroll data to the Incomes Register, advance withholding and payment of taxes to the Tax Administration, calculation and payment of value-added tax (VAT), calculation of net pay and the production of pay slips.

The invoice service is an excellent option for a wide range of parties. It is particularly suitable for:

• For freelancers: graphic designers, copywriters, consultants and other self-employed professionals can invoice without setting up a business.
• For light entrepreneurs: those who want to test their business idea before setting up a formal business.
• For self-employed people: students, retired people and people in paid employment can do occasional gig work without having to set up their own business.
• For businesses and subcontractors: the invoicing service facilitates contracting and subcontracting work, significantly reducing administrative work
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Using an invoicing service has many advantages over setting up and running a traditional business.

1. No need for a Business ID
   One of the biggest advantages is that the user of the invoicing service does not need a company or a Business ID. This
   means that you don’t have to worry about accounting, VAT returns or other legal obligations.
2. Quick and easy payroll
   When your customer pays an invoice, the invoicing service will bill you for the net salary after deduction of withholding tax, pension contributions and other obligations. This will make it easier to manage your finances and ensure that all payments are made correctly.
3. No bureaucracy or accounting
   Traditional entrepreneurship involves a lot of administrative tasks. With an invoicing service, you can focus on your work without having to worry about complex financial management.
4. A safe and legal way to invoice
   Invoicing services comply with all Finnish tax laws and regulations. This means you can be confident that all payments and declarations will be handled properly.
5. Flexibility and the chance to try entrepreneurship
   If you are not sure whether you want to become a full-time entrepreneur, the invoice service offers you the chance to try your own business idea without taking big financial risks.

Many people are wondering whether to choose a invoice service or set up their own business. Both have their advantages and it depends entirely on your own situation which is the better choice. The invoicing service is best suited for people looking for a partner for their invoicing needs for gig work.