Advanced Billing

Powerful billing capabilities gives you options to:

• Create your choice of contract type, such as one-time, recurring, term and perpetual contracts
• Include any combination of usage-based tangible or intangible items, as well as trials, deposits, pre-bills, post bills, and bundles
• Generate billing by customer, contract date ranges, projects, or contract classes
• Create invoice schedules to process invoices daily, monthly, bi-monthly or with user-defined calendar
• Apply system or customized pricing rules and models
• Support for Uplifts – automatic price increase applied to a contract upon renewal
• Future Discount Schedules – automatic discounts applied to a contract  upon renewal

Advanced Billing pricing options allows:

• Complex multi-tier pricing
• Customer price classes
• Promotions with effective date pricing.
• Bundle pricing, including unlimited combinations of one-time, recurring and usage-based pricing
• Set multi-dimensional pricing and billing rules

With flexible contract management you can:

• Create contracts with flexible options for defining frequency and duration
• Automatically generate accounts receivable (AR) invoices or order management documents when contract is created
• Use templates to quickly create recurring billing contracts
• Mix non-stock and stock items on a single contract schedule
• Allow different billing periods on the same contract—have some bill annually, some quarterly, and some monthly
• Manage contract add-ons with proration, one-time charges, changes, and price adjustments with a complete audit trail

Designed for both one-time and recurring billing, renewals are made easy, allowing you to:

• Reduce time spent on renewals while increasing renewal rates.
• Set contract to renew automatically or manually
• Renew with a different price or duration than the previous contract
• Define the renewal price based on percent change from previous year
  Set on the line item whether a component is to be renewed and at what price
• Easily exclude one-time fees
  Trace renewals to the original contract, calculate renewal percentages (churn), and include non-renewal reason codes and statistics
• Upsell, cross-sell, add on, rewrite, and renew anytime

Revenue Recognition Support:

Contract-based deferred revenue –
Revenue is recognized based on the terms of the contract and performance obligations, not on when invoices are issued. Core Idea: “Revenue follows delivery of value, not billing.”

Invoice-based revenue –
Revenue is recognized based on invoice timing and amounts, often tied directly to billing events. Core idea –  “Revenue follows billing, not necessarily delivery.”  

 Point-in-Time Recognition Method (ie Sales-basis method): Create your choice of contract type, such as one-time, recurring, term and perpetual contracts

• Percentage-of-Completion Method (or Progress-based method): Revenue is recognized in proportion to work completed; common in construction or long-term consulting. 
• Completed Contract Method: Revenue is recognized only when the entire contract is finished, ideal for projects where costs cannot be accurately estimated. 
• Usage-Based Method (or Consumption-based method): Revenue is recognized as the customer consumes the service, typical for SaaS (e.g., API calls, cloud storage) or utilities. 
• Milestone Method (or Installment Method): Revenue is recognized proportionally as event (or cash) is received, often used when there is high uncertainty about payment collection. 
• Subscription Method (or Proportional performance method): Revenue is spread over the duration of a subscription period (e.g., annual SaaS contracts).
• Long Term Deferred: – Automatic recalculation of long-term deferred revenue to short- term