The global market size for business software and services is valued at $388.98 billion in 2020. Over the years, the industry has grown exponentially as businesses worldwide adopt various tools and programs to improve efficiency and productivity.
Currently, there’s software for just about any business activity in a company. One particular area businesses need the help of software is billing. For any small business, an efficient billing system is essential.
The good news is that there’s a variety of SaaS billing tools that can help streamline your billing activities.
But exactly what is SaaS? What should you look for in an SaaS business system? More importantly, which SaaS billing tools are the best for small businesses at the moment?
If you’re asking yourself these questions, you’ve come to the right place. In this post, we tell you what you need to know about SaaS billing tools and list some of the top software available at the moment.
Read on to learn more.
What Is SaaS?
Software as a service (SaaS) refers to a cloud-based service in which you access a software application via your internet browser instead of downloading the software to run on your PC.
SaaS offers many benefits, including compatibility, accessibility, and lower upfront costs compared to conventional software application download and installation. This makes SaaS the ideal choice for small businesses whose budgets are limited.
What should You Look for in SaaS Billing Software?
Wading through all the available SaaS billing software solutions is hardly possible. It would take countless hours to onboard each of them.
So, what differentiates the best software from the rest? Look for these qualities:
Most small businesses are growth-minded. As such, you need billing software that will keep up with your company as it grows.
In today’s fast-paced business world, the last thing you want is to spend dealing with payments manually. You need a high-tech solution to take care of recurring billing payments while you focus on other aspects of your business. Automation lets you dedicate less time to your books and more to your core activities.
In today’s business world, any start-up or small business with a vision to scale should have billing software that can support multiple currencies. You’ll get more conversions if you present customers with the choice to use their preferred currency and payment option.
The Best SaaS Billing Software Options in 2020
As we pointed out earlier, there’s a bevy of billing software solutions in the market today. In this section, we look at six of the best ones.
Chargebee is one of the most popular subscription management and billing platforms in the market today. The software can handle both one-time and recurring billing payments.
The platform supports pricing options in more than 100 currencies. Users also have the option to make payments in a wide variety of methods.
Subscription plans are available on a monthly or yearly basis. Packages start at $249 per month. Packages at higher-tiers have more features and priority support.
Like Chargebee, Recurly lets users set-up both one-time and recurring payments. Users can opt for a payment method of their choice, including PayPal, credit card, Apple Pay, ACH, and more.
The platform has a worldwide presence. However, the compatible payment gateways vary from location to location.
There are three subscription plans with varying levels of integrations, analytics, and payment options.
This subscription management and billing platform supports recurring payments. Users can also make one-time charges or adjustments.
The platform seamlessly connects with mainstream payment gateways. Users must have a merchant account. One of the outstanding features of this platform is that it allows users to send personalized offers.
Subscription is available on a monthly and annual basis. There’s also a charge based on your revenue. Chargify’s basic plan starts at $149 monthly, while users of the mid-tier Success plan pay $499 per month plus 0.9 percent of their revenue.
Few online payment solutions are as popular and successful as Stripe. This platform is both a merchant account and payment gateway, meaning Stripe alone can suffice as you SaaS.
With Stripe, you accept payments from your customers and even receive payouts to your bank. The platform integrates with numerous subscription platforms.
Perhaps the only setback is that Stripe is only available in 34 countries. That means your business must be in one of those locations to use the platform.
Unlike the other platforms we’ve already discussed, you don’t need a monthly or yearly subscription to use Stripe. Instead, you pay 2.9 percent of the card charge plus 30 cents for every transaction.
Authorize.Net functions as a payment gateway only option, as well as a combination of both merchant account and payment gateway. With this platform, you can accept payments from your international clients. However, you must be based in Canada, the US, Australia, or Europe.
The platform charges both a per-transaction and monthly fee for all its solutions. You’ll need to pay $25 per month plus 10 cents for every transaction. For those who wish to use a single billing system, the platform charges $25 per month in addition to 2.9 percent plus 30 cents for every transaction.
Authorize.Net supports a variety of payment options, including PayPal, Visa, and E-Check.
Paddle is an online subscription management platform that combines a variety of tasks into one intuitive place. These functions include subscription, checkout, licensing, taxes, and insights.
With paddle, you can effectively experiment with your pricing, layouts, and promotions. The platform accepts more than 19 payment options. It also offers top-notch fraud detection, keeping both you and your customers safe from losing money to cybercriminals.
Paddle packages are available starting from 5 percent plus 50 cents per sale.
Choose The Best Billing System for Your Business
With all the SaaS billing systems available in the market today, deciding on the best one for you can seem like a tricky affair. The best way to go about it is to weigh your current and future needs, as well as what works best for your customers.
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