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7 B2B SaaS Billing Mistakes You Must Avoid To Succeed

7 B2B SaaS Billing Mistakes You Must Avoid To Succeed
7 B2B SaaS Billing Mistakes You Must Avoid To Succeed

These seven B2B SaaS billing mistakes can cause confusion and mistrust between your business and customers.

Worse, they can make you lose customers and damage your reputation thus affecting your revenue.

Granted, invoicing and billing rank at the top of all the factors that are important to the success of your B2B SaaS business.

What can you do to avoid all these costly losses?

If your business offers a subscription billing model, you need to ensure your invoice and billing system is well-managed.

Besides, you need to ensure every step of your billing process functions flawlessly and proficiently by avoiding these billing mistakes: 

1. Not Generating Timely Invoices

One of the most common B2B SaaS billing mistakes is not generating timely invoices. Delaying invoices can lead to late payments by customers.

As a rule, invoices should be sent immediately after the completion of a sale or within the agreed time.

The good news is that with automated billing software, you can generate and send timely invoices.

What’s more?

A good billing platform can help you track payments seamlessly. Besides, most billing software solutions are built with mobile users in mind hence you can create and send invoices with your smartphone.

2. Not Making Follow-Ups on Unpaid Invoices

Customers can forget to make payments within the specified time even after sending them invoices. 

Sometimes delayed or failed payments can be caused by declining credit cards or other errors.

These things can be pretty common in subscription management, so you must never forget to remind your customers.

Follow-ups on unpaid invoices can save your business a lot of revenue. And this is where adopting a subscription-based billing model becomes helpful.

Using this payment model, you can create a recurring cycle to collect payments and keep track of payments.

Besides, an automated subscription-based billing system can remind you when invoices are due and send follow-up reminders to customers who haven’t made their payments on time.

Also, ensure your follow-up emails aren’t sounding rude or intimidating to customers.

3. Not Integrating Multiple Payment Methods

Ecommerce stores lose 62% of customers who encounter a failed transaction with a payment method.

What does this mean?

Businesses that do not have multiple payment gateway integrations lose a lot of customers which translates to a huge loss in revenue in the long run.

This is also one of the B2B SaaS billing that can be avoided by using subscription billing software.

Most of the ecommerce platforms allow multiple third-party integrations of payment methods to provide seamless transactions. 

This can also prevent failed transactions.

4. Using a Complicated Pricing Model

To be successful with your B2B SaaS company, you need to choose the right pricing model. As a rule, your pricing model should be simple.

This will enable your customers to understand what value they are getting for their money.

To avoid complicating your pricing model, you need to limit your pricing plans.

Asking customers to choose from five pricing plans is frustrating them. It makes it difficult for them to decide which plan is best for them. This can cause more refunds, customer churn, and even open tickets.

5. Lack of Transparency

Lack of transparency can ruin your trust with customers. And this happens when you add hidden fees to your services. When you include undisclosed fees when billing your customers, you blindside your clients which can damage your reputation.

Instead, maintain transparency in your invoicing system and focus on creating long-time professional relationships with your clients. 

6. Not Stating Late Payment Fees

If clients know that they will not be charged late payment fees, some may make payments late. Late payments can hurt your daily business operations, especially for ecommerce stores.

Ensure you state late payment fees on invoices to ensure customers pay before the due date or on time.

7. Not Branding Invoices 

Branding your invoices is a great marketing opportunity for your business. For instance, including a logo at the top of your invoices and other business details can help to set your business apart from your competitors.

Besides, branding your invoices can showcase your professionalism. You can design a template in automatic invoicing software for small businesses that your are using to generate invoices.


Having a well-managed invoicing and billing process can help your business maintain an excellent cash flow and nurture relationships with your clients. These 7 can hurt your reputation with clients and ultimately lower your business revenue and hinder growth.

Avoid them by investing in a functional and effective SaaS billing system.

Author Bio – Reena Aggarwal

Reena is Director of Operations and Sales at Attrock, a result-driven digital marketing company. With 10+ years of sales and operations experience in the field of e-commerce and digital marketing, she is quite an industry expert. She is a people person and considers the human resources as the most valuable asset of a company. In her free time, you would find her spending quality time with her brilliant, almost teenage daughter and watching her grow in this digital, fast-paced era.

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