Invoice Scanning Software

Even though automation is reshaping how companies handle financial workflows, many organizations in 2025 are still stuck in the past, relying on manual entry and paper-based invoices. According to recent research, 86% of SMEs still process invoices manually, often spending up to 25 days on a single invoice.

The result? Inefficiencies, costly delays, and greater exposure to fraud.

That’s where invoice scanning software makes a real difference. By automatically extracting and processing invoice data, these tools help businesses reduce errors, speed up approvals, and improve financial accuracy.

In this blog, we’ll explain what invoice OCR software is, why it matters, what to look for in a solution, and introduce five of the best tools available in 2025.

What Is Invoice Scanning Software?

Invoice scanning software automates the extraction of key information from vendor invoices using Optical Character Recognition (OCR) and AI. Instead of manually entering data from PDFs, scans, or emails, the software automatically reads and structures the content, saving time and reducing human error.

It can extract details such as:

  • Invoice numbers and dates
  • Payment terms and amounts
  • Supplier names and contact details
  • Delivery dates and shipping information
  • Line-item breakdowns and tax codes

The goal? To turn complex, unstructured documents into clean, machine-readable data that flows directly into your financial systems.

Why Is Invoice Scanning Software Important?

Invoice data extraction software plays a key role in speeding up approvals, reducing errors, and protecting your business from fraud. By automating invoice processing, companies can eliminate time-consuming manual work and gain better control over their financial operations.

In fact, the global invoice processing software market is projected to grow from $2.4 billion in 2022 to over $7.1 billion by 2030. Businesses of all sizes are realizing that invoice scanning isn’t a nice-to-have anymore; it’s a competitive advantage.

With that in mind, let’s explore five standout solutions in 2025.

1. Klippa SpendControl

Klippa SpendControl is an intuitive, all-in-one platform designed to streamline invoice workflows and unify financial operations.

It’s a complete pre-accounting solution that uses AI-powered OCR to automate invoice processing from submission and approval to ERP integration, combining expenses, receipts, and card transactions in one centralized platform.

Highlights:

  • 99% OCR accuracy
  • Fraud and duplicate invoice detection
  • Custom multi-level approvals
  • GDPR & ISO27001 compliant
  • Easy-to-use web and mobile app
  • Two-way matching (coming in 2025)

Best for: Small to medium-sized companies looking for an all-in-one solution to automate invoice processing, expenses, and credit card reconciliation.

2. Hyperscience

Hyperscience is an advanced intelligent document processing solution that uses AI, OCR, and NLP for accurate invoice data extraction and validation across various document types.

Despite its advanced automation, Hyperscience often needs human oversight to ensure accuracy. Its high cost and limited ERP integrations can be a challenge for smaller businesses.

Highlights:

  • Automated classification and extraction of structured/unstructured data
  • Duplicate detection and business rule workflows
  • AI-powered OCR with natural language processing
  • Integrations with platforms like Blue Prism and Salesforce

Best for: Enterprise-level businesses handling complex documentation needs that require high customization, robust validation, and advanced AI models.

3. Tungsten Automation

Formerly known as Kofax, Tungsten Automation is a legacy powerhouse trusted by large organizations for fast, high-volume invoice capture and validation. It supports both two- and three-way matching, helping enterprises enforce strict procurement controls.

Tungsten can extract invoices from paper, PDFs, and emails, then route them through custom approval paths and integrate the data into ERP systems like Microsoft D365 or Oracle.

Highlights:

  • Fast, high-volume invoice capture
  • Two- and three-way matching
  • Real-time invoice tracking dashboards
  • Deep ERP integration

Best for: Large enterprises with multi-entity operations, complex approval structures, and a high volume of incoming invoices.

4. Klippa DocHorizon

Klippa DocHorizon is built for businesses that want full control and flexibility in their document automation workflows.

It’s a powerful Intelligent Document Processing (IDP) platform designed to automate complex document workflows with precision. It provides fast and accurate OCR, document classification, data extraction software, and advanced validation features such as two-way matching.

Highlights:

  • AI-powered OCR with high extraction accuracy
  • Two-way matching
  • Fraud and anomaly detection
  • Document classification and line-item extraction
  • Redaction, anonymization, and data masking
  • API-first architecture and flexible deployment

Best for: Companies of all sizes looking for a customizable, scalable invoice scanning engine to automate document workflows.

5. Docparser

Docparser is a cloud-based document parsing tool that extracts data from invoices, PDFs, Word files, and scanned images. It’s designed to automate document workflows by turning semi-structured data into machine-readable formats like CSV, JSON, XML, and Excel.

While Docparser supports custom parsers and cloud integrations, it lacks native automation for filtering and classification. Users must manually set parsing rules, which can slow down large-scale operations.

Highlights:

  • Invoice data extraction from PDFs, scans, and more
  • Custom parsing rules for known and unknown layouts
  • Cloud integrations for importing documents
  • Export to CSV, Excel, XML, and JSON

Best for: Small to mid-sized businesses looking for a customizable yet lightweight solution to digitize document workflows without advanced automation needs.

How to Choose Invoice OCR Scanning Software

When evaluating your options, here are a few key criteria to keep in mind:

  • Accurate Data Extraction: Look for software that uses advanced OCR and AI to handle a wide range of invoice formats with high precision.
  • Fraud & Duplicate Detection: Essential for financial security, features like anomaly detection and invoice cross-checking help catch issues early.
  • Matching Capabilities: Two-way and three-way matching ensure that invoice details align with purchase orders and goods receipts.
  • Integration Options: The best tools integrate with ERP and accounting systems like SAP, Oracle, or QuickBooks to streamline workflows.
  • Custom Approval Flows: Look for customizable, multi-level approval routing and mobile-friendly functionality.
  • Security & Compliance: GDPR, ISO, SOC 2, etc., make sure the software meets your compliance standards.
  • Scalability & Support: Whether you’re a startup or an enterprise, solid onboarding and customer support make a big difference.

Smarter Invoice Processing Starts with the Right Tools

Manual invoice handling slows down financial teams and increases the risk of errors, delays, and fraud. As companies grow and invoice volumes rise, automation becomes essential, not just for efficiency, but for compliance, accuracy, and better decision-making.

Whether you need an all-in-one platform to manage spend or a flexible engine to automate document workflows, today’s software landscape offers a variety of options to fit your needs. Tools like Klippa SpendControl, Rossum, Klippa DocHorizon, and Tungsten Automation each bring their own strengths to the table.

For businesses looking to centralize invoice, expense, and card processes, Klippa SpendControl offers a unified platform to manage everything from submission to ERP integration. For more advanced document processing use cases, Klippa DocHorizon supports intelligent automation with OCR, validation, matching, and over 50 integrations.

While your ideal solution depends on your specific needs, automation has become an essential part of staying efficient, accurate, and competitive today.