Glossary

Subscription billing, A to Z

Short, plain definitions with examples for the terms you meet when running recurring revenue.

A

B

Billing cycleThe recurring period between invoices, such as monthly or annual.

C

D

G

GSTINThe 15-character GST registration number of a business.

L

LTVCustomer lifetime value: the revenue or margin a customer generates over their time with you.

M

MRRMonthly recurring revenue: normalised monthly value of subscriptions.

N

Net revenue retentionRevenue kept from existing customers after expansion, contraction and churn.

P

ProrationCharging or crediting for part of a billing period.

Q

QuoteA priced offer sent to a customer before they subscribe.

S

SACServices Accounting Code: classification code for services under GST.

T

Trial periodA limited time to use a product before paying.