If you have decided to switch to a subscription billing model, prepare your business for the challenges that lie ahead by reading this white paper: The Top 3 Subscription Billing Challenges for Your Software Business.
After considering the pros and cons, your business has deemed subscription billing is best for you and your customers. With subscription billing, your business will have access to a predictable, recurring revenue stream and the opportunity to devote more efforts to customer relationships. And your customers will benefit from a variety of pricing options, flexible delivery and the low up-front cost that a subscription model offers.
All those positives sound seamless to execute, but managing subscriptions is complicated. What topics should you consider before getting started? Read this white paper first.
Tackle the Top 3 Subscription Billing Challenges
Before you start selling subscriptions, you need to be prepared for the challenges implicit in transitioning to this new billing model. We wrote this white paper to provide you with the information you need to overcome the top three subscription billing challenges:
- Revenue recognition
- Taxation
- Payment method changes
Right now, your business is in a really great position – you’ve committed to switching to a subscription billing model, and you’re proactively preparing yourself for the top challenges associated with the transition. Keeping revenue recognition, taxation and payment method changes in the front of your mind will help you increase sales, accelerate growth and develop the long-term customer relationships that your business needs to succeed.
What kind of software would you suggest for someone who is interested in switching to a subscription type of billing? We also have it on our companies website, and we’re not sure just what exactly to use, everything seems complicated for a small company.
Hi Zoran,
Thanks for your question.
E-commerce solutions are generally divided between platforms that focus specifically on subscriptions products and platforms that offer companies a comprehensive digital commerce solutions in addition to subscription and recurring billing management.
If your focus is on subscription management, you need a solution that can accomodate customers who add or cancel seats in the middle of the billing period and prices that need to be prorated for partial months.
Just remember that point solutions that focus entirely on subscriptions won’t necessarily act as your merchant of record. Also, if global expansion is a concern, these point solutions may not allow payments from global customers or provide alternative payment methods.