Did you know? Manual invoice processing and check-based payments lead business operations to suffer performance-related issues in their accounts payable functions. In fact, electronic payment technology still allows 42% of B2B operations to hold onto their expensive, inefficient, and fraudulent cheque-based procedures. Automated processes cover just half of invoices at present, which leads to regular delays that stem from employee manual handling efforts. As a result, the financial prediction accuracy weakens as suppliers face connection breakdowns, and receipt discrepancies cause prediction errors.
Fortunately, NetSuite SuiteBilling serves as the solution by removing manual billing tasks while preventing human mistakes and improving recurring payment operations. Companies that lack NetSuite SuiteBilling must use rigid billing schedules alongside important features such as prorated billing and charge consolidation. NetSuite SuiteBilling Subscription Lifecycle Management improves billing operation efficiency while reducing the number of AP issues and complications with cash flow management.
This blog explores typical NetSuite SuiteBilling issues that businesses encounter and presents solutions to enhance their charging operations. Let’s have a look at how to utilize NetSuite SuiteBilling for smoother financial operations, from managing recurring payments to consolidating invoices.
Tackle billing challenges with the NetSuite SuiteBilling solution
1. Slow Billing Process
Manual entry of data, paper invoices, and layered approvals are the traditional methods of billing, which result in delayed processing. Invoice delay and cash collection affect the cash flow and create inefficiencies for companies that experience high volumes of transactions or frequent billing cycles.
NetSuite SuiteBilling Data Migration and Integration brings real-time updated data while speeding up workflow approvals and handling automated billing tasks. The entire billing process speeds up, which reduces mistakes and quickens cash flow for companies that use this system. The system integrates easily to ensure financial data accuracy and up-to-date status, making it a valuable asset for businesses seeking a NetSuite Implementation Partner.
2. Errors in Invoice Generation
The incorrect handling of invoices through mispricing, errors in taxation, or forgotten charges leads to customer service problems, delayed payments, and dissatisfied clients. The usage of manual invoicing methods automatically creates room for data entry mistakes, which requires extensive efforts for verification and change adjustments.
SuiteBilling automates invoice generation, issuing invoices against pre-defined pricing schemes and tax regulations. It reduces manual data entry, promoting accuracy and compliance. With real-time validation integration, companies can avoid billing mistakes, eliminate disputes, and speed up payment collection.
3. Complex Pricing and Subscription Models
Managing tiered, volume-based, or usage-based pricing manually is difficult and prone to miscalculations. Subscription businesses struggle with fees relating to renewals, adjustments, and custom pricing structures, as these factors create inconsistent billing and confuse customers.
SuiteBilling provides a solution for businesses to automate their flat-rate, tiered, and usage-based pricing systems. The system functions to process NetSuite SuiteBilling Subscription Lifecycle Management tasks, accurate prorated charge calculation, and automatic subscription extension processes while maintaining invoice accuracy.
4. Revenue Recognition Compliance
Businesses encounter difficulties when applying revenue recognition regulations in cases where they use subscriptions or milestone-based payment structures. The process of reporting revenue incorrectly results in both quantitative and legal consequences.
SuiteBilling implements automatic revenue recognition procedures to satisfy regulatory standards under ASC 606 as well as IFRS 15. The system enables accurate revenue recording through performance obligation-based processes, which decreases manual work and ensures high financial audit quality with the help of NetSuite experts.
5. Payment Delays and Cash Flow Issues
The delay in payments creates cash flow problems, which affect the normal business operation. The absence of automated reminder systems with poor payment processing at businesses leads to extensive efforts chasing past due invoices and performing balance reconciliation.
NetSuite SuiteBilling applies automated payment reminder functionality with accessible payment options that consist of credit cards, ACH transfers, and digital wallets. The system enhances payment collections by making payments on time while displaying current invoice data in real-time, which helps control cash flow better.
6. Lack of Billing Visibility and Reporting
Businesses that do not have access to real-time billing metrics, revenue trends, and payment behaviors of their customers face significant challenges. The unclear view of business operations hinders effective price strategy development as well as revenue prediction.
SuiteBilling provides in-depth billing analytics and customizable financial reports. Organizations can achieve real-time visibility of their revenue streams, customer billing patterns, and financial operations to create data-based choices and implement strategic financial strategies with NetSuite Consulting Services.
7. Manual Reconciliation and Audit Challenges
Reconciling payments, adjustments, and refunds manually is time-consuming and increases the risk of financial discrepancies. The complexity of audit preparations increases because data exists across multiple locations, and there is no standardized record maintenance system.
Through a specialized NetSuite software solution, the SuiteBilling Data Migration and Integration system enables synchronized management of billing, payment, and accounting information inside NetSuite ERP. The integration streamlines financial reporting accuracy while maintaining complete audit documentation and meets regulatory compliance standards, thereby decreasing requirements for financial audit work efforts.
8. Scalability Issues for Growing Businesses
Outdated billing operation systems become problematic for expanding organizations as they fail to process rising transaction amounts or complicated billing needs.
SuiteBilling is designed for scalability, supporting high-volume transactions, global billing, and multi-currency capabilities. The system simplifies repeated billing processes and enables cost structure modernization and business expansion without operational restrictions.
NetSuite SuiteBilling Complex Pricing Models
SuiteBilling supports various NetSuite pricing structures, allowing businesses to tailor billing to their specific requirements:
- Flat Pricing: Charges customers a consistent amount for each billing cycle.
- Volume Pricing: Applies a unit rate based on the total quantity consumed, with the highest applicable tier rate applied to the entire quantity.
- Tiered Pricing: Assigns different rates to specified ranges of consumption, resulting in a total charge that reflects varying per-unit rates across tiers.
These flexible models help businesses create billing strategies that match their business requirements and customer needs.
How Much Does SuiteBilling Cost—Is It Worth the Investment?
Implementing SuiteBilling involves both initial and ongoing financial considerations:
- One-Time Implementation Fee: A setup cost is incurred during the initial deployment phase.
- Annual License Fee: Users must pay a recurring fee which includes the basic NetSuite platform and SuiteBilling modules with the number of users accessing the system.
It’s important to note that your organization will experience price changes depending on its individual configuration requirements. In fact, SuiteBilling pricing is influenced by several key factors, including the number of users, required features, essential add-ons, level of customization, and implementation and support needs. The more complex your billing requirements, the higher the cost, as additional modules, automation, and custom configurations may be needed.
How can VNMT Solutions Transform Your NetSuite Experience?
VNMT Solutions executes NetSuite SuiteBilling implementations for businesses to achieve operational transformation of their billing capabilities. In fact, such solutions eliminate paper-based invoices and manual spreadsheet management to provide organizations with billing cycle automation. Further, organizations can develop improved invoice monitoring with precision through NetSuite ERP integration and automated approval processing systems. In fact, complete AP automation combined with three-way matching operates to decrease errors and grow financial transparency in organizations.
Additionally, the real-time analytics function helps businesses get financial stability and early payment discounts that boost their cash flow management capabilities. VNMT Solutions can guide businesses in overcoming billing challenges with NetSuite SuiteBilling, ensuring seamless financial management.
