SaaS Billing & Recurring Revenue Management3 min readUpdated September 2026

Rolling Out Recurring Billing to a Terms-Based Yard

A building materials supplier should roll out recurring billing only for programs that truly recur, such as tool rental and restocking, and collect them by ACH or net-terms invoice, because contractor accounts run on terms, not cards. Both Stripe Billing and Chargebee assume a card on file by default, so the setup has to be deliberate.

Vendors Covered in this Article

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Step 1: Separate what's actually recurring from what's just on terms

Most contractor account activity, regular material purchases against a net-30 line, isn't recurring billing at all; it's ordinary trade credit that belongs in your existing AR and ERP process. The genuinely recurring pieces are narrower: a tool-rental program with a flat monthly fee, a restocking or vendor-managed-inventory program that bills on a set cycle, maybe a fleet-fuel or equipment-tracking add-on. Start the rollout by listing only those programs, not the whole customer base.

Step 2: Which collection method will the customer actually use?

A contractor paying by check or ACH through your existing terms isn't going to hand over a card for a routine monthly tool-rental fee. Both platforms support ACH bank debits as a payment method alongside cards, but you have to configure it deliberately rather than accept the card-first default. Chargebee tends to make per-customer collection method (card, ACH, or invoice-and-collect-manually) easier to set on individual accounts without custom work; in Stripe Billing, you can do the same thing through Stripe's ACH debit support, but expect more setup to get the invoice-and-terms flow to feel native rather than like a workaround.

Step 3: Should you auto-charge or send a net-terms invoice?

For accounts used to thirty-day terms, auto-charging a card or bank account the moment a subscription renews can feel like a change in the relationship. An alternative both platforms support is generating an invoice with a due date, thirty days out, and collecting it the same way you collect everything else, rather than auto-charging. This keeps the recurring program consistent with how the rest of the account is billed, at the cost of losing some of the automatic collection either platform is built around.

Step 4: Handle rebates on their own, slower cycle

Quarterly rebate settlements don't fit neatly into either platform's default monthly subscription cadence. Rather than forcing a rebate into the same billing cycle as a tool-rental fee, treat it as a separate, lower-frequency credit issued against the account each quarter, either as a scheduled subscription with a quarterly cycle or as a manual credit applied outside the subscription entirely. Trying to blend it into monthly billing usually creates more reconciliation work than it saves.

Step 5: Pilot at one branch before rolling it out company-wide

Run the tool-rental or restocking program through one branch or one region first, with a handful of contractor accounts who are already comfortable with ACH. Use that pilot to see how many accounts actually adopt the recurring program versus staying on ad hoc terms billing, and to catch any friction in the collection method before it's a company-wide support problem.

Step 6: Reconcile against your ERP monthly, not per transaction

Neither platform replaces your yard's ERP or point-of-sale system, and neither should carry the full contractor account relationship. Build a monthly reconciliation that lands recurring program revenue into the same general ledger as terms-based sales, so a controller sees one number for the branch instead of two systems that never quite agree.

Step 7: Standardize the rollout across branches once the pilot works

Once one branch has proven the collection method and the reconciliation process, expand to the rest of the network using the same setup rather than letting each branch configure its own version of the program. Chargebee's multi-entity and multi-currency support helps here if branches operate as separate legal entities or bill across regions with different tax rules; Stripe Billing can be configured the same way, but it takes more upfront design to keep every branch consistent instead of each one improvising its own workaround. Write the rollout down as a short internal playbook once it's settled, so the third and fourth branch onboard the same way the pilot branch did instead of drifting into their own local variant of the program, and revisit it once a year as new programs, rebate structures, or branches get added to the network, so the playbook stays a true description of how billing actually works rather than a document nobody updates, and so a newly hired branch manager can follow it without having to call the branch that ran the pilot.

Check these points at each branch before expanding the program:

  • Confirm the program covers only genuinely recurring items, such as tool rental or restocking, while regular material purchases stay in the ERP and AR process.
  • Configure ACH debits or invoice-and-collect deliberately for each customer, rather than accepting the card-first default.
  • Treat quarterly rebates as a separate, slower credit cycle instead of forcing them into a monthly subscription.
  • Reconcile recurring program revenue into the same general ledger as terms-based sales every month.
  • Use one standard setup across branches rather than letting each branch configure its own version of the program.
Executive Capability Standard

What Good Looks Like

A well-run recurring program can show which contractor accounts are enrolled, what collection method each one uses, and how that revenue reconciles against the branch's terms-based sales, without anyone forcing a card onto an account that was never going to use one.

Building The Capability (5-Stage Skill Ladder)

1. Learn:List which programs, tool rental, restocking, fleet tracking, actually recur on a fixed cycle, separate from ordinary terms purchases.
2. Do Manually:Invoice a pilot group of accounts by hand for one cycle to confirm ACH or terms billing works before automating it.
3. Delegate:Assign one person at the branch level to own enrollment and collection method for the recurring program.
4. Automate:Move the recurring program into Stripe Billing or Chargebee with ACH or net-terms invoicing configured as the default, not cards.
5. Buy:Build a standing monthly reconciliation between recurring program revenue and your ERP's terms-based sales ledger.

How to Get Started

Disclosure: We may earn a commission if you buy through some links on this page. It doesn't change what we recommend.

Frequently Asked Questions

Do contractor accounts need to switch to card payments to use a recurring program?

No. Both Stripe Billing and Chargebee support ACH bank debits, and both can generate a net-terms invoice instead of auto-charging. For a customer base used to paying on terms, ACH or invoice-and-collect is usually a better fit than requiring a card on file.

How should quarterly rebates be handled in a monthly billing platform?

Treat rebates as a separate, slower cycle rather than folding them into monthly recurring charges. Either set up a quarterly subscription cadence specifically for the rebate credit, or apply it as a manual credit outside the subscription system entirely, whichever is easier to reconcile against your existing rebate program.

Which platform is easier to set up for a non-card, terms-based customer base?

Chargebee generally makes per-customer collection method, card, ACH, or invoice-and-collect, easier to configure without custom development. Stripe Billing supports the same options through its ACH debit and invoicing features, but expect more setup work to make the terms-based flow feel native.

Should regular material purchases on a net-30 line go through Stripe Billing or Chargebee?

No. Ordinary trade credit purchases belong in your existing ERP and AR process. Reserve the subscription billing platform for genuinely recurring programs, tool rental, restocking, or similar, that bill on a fixed cycle independent of any single material order.

About the numbers

This guide doesn't quote a sourced benchmark. Figures in it are estimates or general guidance, so check them against your own numbers.

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