Landing a deal with a big-name retailer should feel like a win—and it is. But then the technical emails start rolling in: “Send an EDI 856 before shipment,” “Invoices must follow the EDI 810 format,” or “Noncompliance may result in chargebacks.” Suddenly, you’re knee-deep in acronyms and requirements you didn’t sign up for.
To stay compliant — and stay on good terms with your trading partners — you need EDI compliance software. Without it, you risk late shipments, rejected documents, extra fee, or even being dropped from a vendor list.
In this guide, we’ll explain what EDI compliance means, what’s at stake if you miss the mark, and how the right tools help you optimize operations.
What’s EDI Compliance?
Electronic Data Interchange (EDI) compliance means sending the right documents in the right format on time, every time. It refers to your ability to exchange key business documents like purchase orders, invoices, and advance shipping notices in a standardized electronic format that meets your retail partners’ requirements.
To meet those expectations, many businesses use EDI compliance software. It automates key processes, reduces manual data entry, and ensures every EDI transaction is formatted correctly. With the right software, you can integrate your enterprise resource planning (ERP) system, send documents without errors, and avoid costly delays.
Possible Consequences of Not Being EDI Compliant
Falling short on EDI compliance can directly impact your bottom line and business relationships. Without reliable EDI software solutions, even small mistakes can lead to significant consequences.
You Might Be Removed from Vendor Lists
Retailers expect accuracy and consistency. If you're late, send incomplete EDI documents, or fail to meet transaction formatting requirements, you may be removed from their vendor list altogether. And when that happens, you’re not just losing a customer—you’re cutting off a major revenue stream.
You Might Face Retail Chargebacks
Chargebacks are one of the most common penalties for EDI noncompliance. If you send an invoice in the wrong format, forget to include a required advance shipping notice, or simply miss a deadline, it could cost you. And those fees add up fast. Without a dependable EDI system that automates the process, you’re stuck fixing costly errors manually.
You Might Be Fined
Repeated mistakes with EDI transactions or business documents — like missing files, inaccurate data, or late submissions — can trigger fines from retailers or even lead to legal issues. To stay compliant and protect their brand, more businesses are adopting cloud-based systems from trusted EDI software companies.
How to Become EDI Compliant
Ensuring that you’re EDI compliant might sound technical, but it really comes down to speaking the same digital language as your retail partners. And the easiest way to do that is to use reliable EDI compliance software.
The right EDI software solutions simplify onboarding, automate repetitive tasks like data entry, and take the pressure off when it comes to formatting, timing, and partner-specific rules. Instead of stressing over what goes where, you can focus on running your business.
Most retailers expect you to exchange EDI documents in a specific way, and if you don’t, you risk chargebacks or worse.
Here are some of the EDI transitions you’ll need to support:
EDI 810 (Invoice): This is your digital invoice. The EDI 810 replaces paper invoices and speeds up payment cycles by delivering all the necessary billing details electronically.
EDI 850 (Purchase Order): The EDI 850 outlines exactly what the buyer wants, when they want it, and where to ship it. It’s the starting point for most EDI integrations.
EDI 856 (Ship Notice/Manifest): Before your shipment arrives, your partner needs to know what's coming. This document notifies them and includes packing and delivery details so they’re prepared to receive the shipment when it shows up.
EDI 855 (Purchase Order Acknowledgement): This confirms that you’ve received the purchase order and indicates whether you can fulfill it as requested. The EDI 855 keeps both sides aligned and prevents confusion during order processing.
EDI 846 (Inventory Status): The EDI 846 keeps your partner updated on stock levels. It helps prevent overselling and backorders and improves visibility across the supply chain.
EDI 860 (Purchase Order Change): Orders aren’t always final. The EDI 860 lets you update existing orders, whether it's a change to the quantity, pricing, or delivery date.
7 Top EDI Compliance Software Tools for 2025
Whether you’re scaling up or already running at full speed, these seven EDI software solutions are worth considering this year:
1. Orderful (Editor’s Pick)
Orderful is our top pick — and for good reason. It’s built for speed and simplicity. With a modern, cloud-based approach, Orderful connects you to hundreds of trading partners through one clean API. That means faster onboarding, fewer errors, and no more juggling spreadsheets or outdated portals. It supports real-time data exchange, handles updates automatically, and plugs into your ERP system without the usual headaches.
Pricing: Starts at $189/month for web EDI fulfillment, with integrated EDI plans from $1,999/month per trading partner.
2. SPS Commerce
SPS Commerce is one of the most recognized names in the EDI space. What sets it apart is its fully managed approach: SPS handles the technical setup, document exchange, and compliance requirements on your behalf. It’s a good option for businesses that want to stay out of the weeds and focus on fulfillment—not formatting.
Pricing: Starts at approximately $175/month for smaller vendors, with custom pricing for larger order volumes or complex integrations.
3. TrueCommerce EDI
TrueCommerce gives you everything you need to keep EDI flowing without interruptions. The platform is flexible, cloud-based, and works well with most ERPs, warehouse management systems (WMSs), and retail systems. You get full visibility of your supply chain and a user-friendly dashboard that simplifies everyday management.
Pricing: Starts at $19.95/month, with custom plans based on volume and features.
4. Cleo Integration Cloud
If you’ve got a more complex setup or multiple systems to connect, Cleo is a smart choice. Beyond EDI, it’s built to unify all your integrations across the board. It supports APIs, EDI, AS2, FTP, and more — all while giving you full transparency into your supply chain data.
Pricing: Starts at approximately $400/month, with costs scaling based on deployment size and services.
5. eZCom Software EDI
Simple to set up and even simpler to use, eZCom is a great pick for smaller businesses or those working with big retailers. It handles key EDI transactions like the 850 purchase order and 856 ASN with ease.
Pricing: Starts at approximately $75/month, with rates based on your trading partners and volume.
6. AWS Transfer Family
If your team already works in AWS and has in-house tech resources, AWS Transfer Family offers a secure, customizable way to exchange EDI files. It’s not as out-of-the-box as the others on this list, but it supports SFTP, FTP, and FTPS and fits into larger cloud-based workflows. Plus, AWS charges by the hour, so you only pay for what you use.
Pricing: $0.30/hour per protocol-enabled server, plus $0.04 per GB transferred.
7. Boomi
Boomi is ideal for businesses that need to connect EDI to a bigger tech stack — it syncs with customer relationship management systems (CRMs), accounting systems, and more. With a low-code platform and a focus on automation, Boomi allows businesses to minimize manual tasks and streamline complex workflows.
Pricing: Starts at $99/month for the base plan — enterprise features require a custom quote.
Common Compliance Issues and How to Solve Them
Even with good software, EDI mistakes happen, and retailers don’t always give you a second shot. Here are some of the most common compliance challenges and how to avoid them:
EDI 810 (Invoice) Has Incorrect Product Info
Wrong SKUs, prices, or quantities are all it takes to trigger a rejection or delay payment. To fix this, sync your product and pricing data across systems and let your EDI compliance software catch errors before they go out.
EDI 856 (Advance Shipping Notice) Wasn’t Sent in Time
If the ASN lands late — or worse, not at all — your shipment could be rejected. Automatically sending the 856 as soon as your WMS or ERP logs a shipment helps ensure it’s on time and helps you avoid penalties.
EDI 832 (Product Catalog) Isn’t Updated
Outdated product details can confuse buyers and lead to incorrect orders. Make sure your product catalog stays current and is regularly pushed to your EDI system, especially if you update inventory frequently.
EDI 855 (Purchase Order Acknowledgement) Wasn’t Sent
Retailers expect quick confirmation when they send you a PO. If the 855 is late or missing, it can damage trust with your trading partners. Set up auto-responses to acknowledge orders as soon as your system receives them.
EDI 997 (Functional Acknowledgement) Wasn’t sent
Think of the 997 as a polite “message received.” Skipping it can mess with your trading partner’s records. The fix is simple — automate it. Most EDI software solutions handle this behind the scenes.
Talk to an EDI Expert
EDI compliance doesn’t have to be a guessing game — or a drain on your resources.
An experienced EDI expert can guide you through the process and help you choose an EDI platform that fits your business perfectly. With the right solution, you’ll streamline your logistics, reduce costly chargebacks, and minimize audit headaches, all while keeping your supply chain running smoothly.
Don’t wait until compliance issues impact your business. Connect with an EDI expert and discover how automated compliance can transform your operations and give you a real competitive edge.