What is Electronic Fax? A Comprehensive Guide for Modern Businesses

Faxing has come a long way since bulky machines and busy signals. Today, electronic faxing — also known as e-faxing or online faxing — lets you send and receive faxes without a physical fax machine. 

This shift has happened because electronic faxing is more convenient, secure and far more flexible than traditional options. Businesses are making the switch because it saves time, reduces costs and improves document handling.

In this guide, you’ll learn what electronic faxing is, how it works, the benefits it offers and how to make the switch. If you’re considering electronic fax for your business, this article will help you make an informed choice.

Understanding Electronic Fax

Electronic fax is a method of sending and receiving faxes using the internet instead of a phone line and a physical fax machine. With electronic faxing, documents are sent through email or a web-based platform. So, you don’t need a landline, toner or even paper. All you need is a device with internet access.

Here’s how it works: when someone sends a fax to your fax number, the system converts the file into a digital format and delivers it straight to your email inbox or dashboard. You can open it as a PDF or TIFF and respond with just a few clicks.

The process of electronic faxing is sometimes called ‘digital faxing,’ ‘cloud faxing’ or ‘fax-to-email.’ All of these terms refer to the same core concept of sending faxes through the cloud instead of a traditional fax machine.

How Does Electronic Fax Work?

To send or receive an electronic fax, you use a cloud-based platform or an online fax service like eFax. Here’s how it works.

To send a fax: 

1. Log into your fax platform or email.
2. Enter the recipient’s fax number (just like a phone number).
3. Upload your document.
4. Click send. 

The system converts your file into a fax-readable format and transmits it via the internet.

To receive a fax:

1. The sender dials your fax number.
2. The cloud fax system receives the signal and converts the file.
3. You get an email or notification with the file as an attachment.

This process keeps your documents secure, removes the need for fax hardware and lets you fax from anywhere.

Why Are Businesses Switching to Electronic Faxing?

Businesses are moving to electronic faxing because it’s easier, safer, and more cost-effective than traditional faxing. Each benefit plays a major role in modern business operations.

Check out why faxing still matters in business.

1. Saves Time and Increases Efficiency

With online fax services, you can fax directly from your phone, tablet, or computer. This means there will be no waiting by the machine or scanning paper copies.

2. Cuts Down on Costs

When you switch to electronic fax, you no longer need to pay for:

• A dedicated phone line
• Ink or toner
• Fax machine repairs
• Paper

This helps reduce overhead, especially for remote teams.

3. Increases Security and Compliance

Secure electronic fax services use encryption and access controls to protect your data. eFax is HIPAA and GDPR compliant and SOC 1 and SOC 2 certified. This is important for enterprises in regulated industries.

4. Improves Accessibility

Employees can access and send faxes anywhere, whether in the office, at home or traveling. This can help improve response times and team productivity.

5. Simplifies Document Management

Since faxes are stored digitally, you can search, tag and organize them just like emails. This means no more paper files or cluttered filing cabinets.

Key Industries That Depend on Electronic Faxing

Some industries rely heavily on faxing due to privacy laws and documentation requirements. For these businesses, electronic faxing is important because it provides the speed and security they need. 

Healthcare

Hospitals and clinics send patient records, lab results and referrals. Electronic faxing helps them stay HIPAA compliant while they improve access to documents. Faxing remains a standard in healthcare because it ensures sensitive health information is transmitted securely and in a format that meets regulatory expectations.

Learn more about online fax solutions for healthcare. 

Legal

Law firms share contracts, court forms and sensitive client documents. With digital faxing, lawyers can move quickly and maintain a strong chain of custody. Faxing is essential in legal settings where signed originals and time-stamped transmissions are often required as part of the legal process.

Discover how electronic faxing powers the legal industry. 

Finance

Banks and lenders need secure channels for loan applications, signatures and reports. Electronic faxing can add encryption and audit trails. Financial institutions rely on fax to transmit confidential information securely while maintaining clear records for compliance and dispute resolution.

Find out more about encrypted, reliable cloud faxing for banking & finance. 

Real Estate

Agents, brokers and property managers send and receive leases, disclosures and IDs. Online faxing lets them move deals forward without delays. In real estate, faxing supports fast-paced transactions where timing and document accuracy can directly impact closing deals.

Explore the details of electronic fax solutions for real estate. 

Government

Government agencies handle permits, licenses and confidential info. Electronic faxing supports strict document retention rules and limits physical storage. Faxing remains trusted in the public sector for delivering secure communications while meeting strict policy and archival requirements.

Get the facts about secure and compliant cloud fax for government applications. 

Manufacturing

Suppliers send invoices, shipping orders and designs. Digital faxing improves record-keeping and speeds up communications. Fax helps manufacturers exchange specs and approvals quickly, often with partners who still depend on this format for consistency and documentation.

See what makes modernized manufacturing with electronic fax notable. 

What To Consider When Choosing an Electronic Fax Service?

Choosing the right electronic fax service can make a big difference in how your business communicates and manages documents. Here are the top features to look for before making your decision.

1. Security and Compliance

When you send sensitive documents, security isn’t optional. 

Your fax service should provide:

• End-to-end encryption to protect your data during transmission.
• Two-factor authentication (2FA) for added login protection.
• Compliance certifications like HIPAA, SOC 2 or GDPR to meet legal and industry standards.

This is especially important if you work in healthcare, finance or legal fields where privacy rules are strict. As long as you use authorized channels, you can even fax SCI documents. Businesses in all industries choose us because eFax is secure and compliant with most regulations. 

2. File Compatibility

Make sure the platform accepts a wide range of file formats such as PDF, DOC, DOCX, JPEG, PNG and TIFF. The more flexible your service, the less time you’ll spend converting files. 

This is helpful when working with different departments or clients who send documents in various formats. eFax is compatible with more than 170 file formats, including PDFs, Word docs, Excel spreadsheets and many others.

3. Ease of Use

The best tools are simple to use. 

Your team should be able to:

1. Send and receive faxes without training.
2. Navigate the dashboard without confusion.
3. Access features like contact lists, tags or resend options with just a few clicks.

An intuitive interface can save you hours of support time and keep workflows running smoothly.

4. Mobile Access

Business happens everywhere, not just at a desk. 

A strong electronic fax service should offer:

• A mobile-friendly interface or dedicated app.
• The ability to send, receive and view faxes from your smartphone or tablet.
• Real-time alerts or notifications so you never miss an incoming document.

This keeps remote teams productive and improves response times.

5. Integration Options

Your fax platform should work with tools you already use. 

Look for options that integrate with:

1. Email clients like Gmail or Outlook.
2. Cloud storage tools like Google Drive, Dropbox or OneDrive.
3. Business software like CRMs, accounting systems or project management apps.

eFax integrations make it easier to keep everything in sync and reduce manual uploads. Plus, you can connect with almost any technology using our programmable fax API. 

6. Storage and Archiving

Digital faxing means you don’t need to print or file documents. But you may still need to access them later. 

Look for:

• Cloud storage with plenty of space.
• Searchable archives so you can quickly find old faxes by date, sender or keyword.
• Download options if you want to back up files to your own system.

Built-in archiving helps with audits, compliance and general recordkeeping.

7. Customer Support

Round-the-clock support matters, especially if faxing is part of your daily workflow. 

Your provider should offer:

• Customer support via phone, email or live chat.
• Clear how-to guides or video tutorials.
• Fast resolution times for outages or account issues.

Reliable support can save your business from costly delays, especially if faxing is part of your daily operations.

How to Upgrade from Traditional Faxing to Electronic Faxing?

Moving from analog faxing to electronic faxing is easier than you might expect. 

Here’s a simple plan to make the transition:

1. Assess current fax use: Review how often you fax and which teams depend on it. List all your current fax numbers.
2. Sign up for eFax: Choose the eFax plan that works for you. Then, create a new eFax account with your email and a secure password. 
3. Port your existing fax number(s): In order to port your fax number to eFax, provide your current fax number, account details, registered contact info and service address. Then, sign a Letter of Agency to authorize the transfer.
4. Set up security and permissions: Dedicate roles and user access to protect sensitive documents. For more information, explore eFax administrator features. 
5. Train your team: Give employees a quick rundown on how to send an electronic fax. To develop training materials, use our fax resources and knowledge center.

Once your eFax account is set up, sending a fax is as simple as logging into your account, uploading your document, entering the recipient’s fax number and clicking send.

What Sets eFax Apart? 

eFax is a leading name in the electronic fax industry. 

Here’s what sets it apart:

• Ease of use
• Compliance
• Secure transmission
• Cloud storage 
• Flexible plans 

With eFax, you can send faxes from your email, web browser or mobile app with no steep learning curve required. You’ll experience Industry-grade encryption and compliance with HIPAA and other standards. Plus, eFax plans include lifetime storage, so you can access past faxes anytime.

Moreover, you can choose a plan that fits your business size, from solo entrepreneurs to large enterprises. With millions of users worldwide, eFax is a proven and reliable solution.

Learn why eFax is the best fax machine alternative.

Make the Shift to Electronic Faxing with eFax Today

Electronic faxing offers a modern, reliable solution for businesses that need to send and receive important documents securely. Unlike traditional fax machines, electronic fax services like eFax allow you to work from anywhere, reduce costs and simplify document management. 

With features like encryption, cloud storage, mobile access and integration with your existing tools, switching to an online fax solution can improve efficiency across your organization. For industries with strict compliance needs or fast-moving workflows, the benefits are clear. 

If you’re ready to move beyond paper and phone lines, electronic faxing is a smart step forward for your business.

FAQ’s Around Electronic Faxing

What is the meaning of electronic fax?

Electronic fax means sending faxes through the internet instead of a landline fax machine. It uses email or a web-based platform to transmit files digitally and securely across devices.

How can I fax electronically?

You can send an electronic fax by signing into your fax service, uploading a file, entering the recipient’s fax number and clicking send from your computer or phone.

Can I send faxes internationally using electronic faxing services?

Yes. Most electronic fax services allow international faxing without extra equipment. Just include the country code when you dial the fax number.

How secure is electronic fax?

Secure electronic fax services offer encryption, access controls and compliance features like HIPAA. They are often more secure than traditional machines and paper processes.

Are there any limitations on the file types I can send via electronic faxing?

Most electronic fax services accept common file types like PDF, DOC, JPG and TIFF with no issue. eFax is compatible with hundreds of file formats. Check with your provider for full compatibility details.