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Understanding setup fees

Understand how setup fees work in Billsby

Updated over a year ago

In Billsby, setup fees are charged in conjunction with the subscription fee. So, the customer's first invoice will include both the setup fee and the subscription fee.

If the plan's cycle has a free trial, new customers will be charged the setup fee after the free trial period along with the subscription fee.

Charging both a setup fee and the subscription fee on the first invoice

If you'd like the customer's first invoice to include both a setup fee and the first recurring subscription payment, simply toggle on the setup fee option when adding your cycle and enter the setup fee amount.

For example, if you put $100 every 1 month as the price, and then a $100 setup fee, on the customers first invoice, they’ll be charged $200 for the first month. Then, a month later and every month after this, they’ll be charged $100.

Charging only a setup fee on the first invoice

If you would like the customer to be billed just the setup fee on their first invoice and not the recurring subscription fee until the next cycle, enter the difference between the setup fee and the recurring price as the amount for the setup fee.


For example, if you want to charge a $150 setup fee and $99 every month going forward, you would:

  1. Set the plan price to $99

  2. Configure your setup fee as $51

This means that the first payment will be $99 + $51 = $150, which is your setup fee price. Then, the following month and every month after that, your customer will be billed the $99 plan price.

Charging only a setup fee that is less than the recurring subscription price

If you would like the customer to be charged only a setup fee that is less than the recurring subscription price on the first invoice, there's two ways to achieve this:

  1. Add a free trial instead of a setup fee and use the Capture one time charge feature to manually charge the setup fee amount.

  2. You can create a discount that can be applied to the entire subscription fee for the first cycle of the subscription so that only the setup fee is charged.

Discounts and coupons are not applied to setup fees.

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