Five Things You Need to Know About Subscription Billling

Posted by admin, February 6, 2018

There’s a big glass ceiling that needs to be broken in the subscription billing space. Today, there are more opportunities than ever for IT & SaaS solution providers to augment revenue and better serve customers with subscription billing—but not nearly enough are aware of this. Once your eyes have been opened to the evolving new world of services billing, you’ll wonder why you didn’t start sooner. It's never too late to start building recurring revenue, but there are some things you should know about this avant-garde billing model to ensure the most successful migration:

Cloud catalogues:The importance of having a pre-populated and pre-integrated platform, or catalogue, cannot be understated. A catalogue is a rules-based software module that enables resellers to inherit services from other cloud providers, as well as, create their own cloud service offerings and manage price plans for those services.. A comprehensive catalogue enables you to provide the best service possible without having to worry about confusing the customer with multiple charges from multiple service providers.

Tax compliancy:Just as you need to know what services are available to what customers and where, each item has associated tax codes. Integrating with a tax provider will ensure you are accurately collecting taxes for the proper jurisdictions for that particular customer. This can get tricky based on location where federal, state and municipality taxes and other fees differ. You need a platform that can calculate all of this seamlessly.

Online Management: Your customers need to be able to log into their own portal, track their invoices online, review their own reports and manage all of their assets without a hitch.  Saving you valuable time not having to support these needs on their behalf.

Ability to read usage data: You also need to be able to simply and easily read and measure usage data and records. This includes, for example, knowing which provider’s service is used, how much of the service is used and if any services are over-used so a different rate can be charged.

Low risk:As opposed to making a significant investment on a platform that may or may not exactly meet your needs, you only have to pay for what you use with a service like that offered by BluLogix. Your payments don't start until you begin collecting revenue.

Whether you have been seriously contemplating ditching your accounting platform for billing or are just learning about subscription billing as you read this, it’s critical you understand how subscription billing works and how its use can help you stay competitive in the market.