Creating Plans and Products

In Sequence, plans and products help you turn pricing terms from sales contracts into billing data.

Sequence plans are designed for sales-led and self-serve businesses. You can create custom plans for each customer or use standard plans for multiple customers.

Sequence offers various pricing models that can be used for standard subscription or complex usage-based pricing. Once you have configured a plan, you can set up a billing schedule for your customer to start charging them.

In Sequence, plans contain products. Products in Sequence show up as line items on a customer’s invoice. Add existing products from the product catalog or configure new products from scratch. Pricing models and fees are configured per product. All products within a plan must use the same currency.

​

In-advance and in-arrears billing

When you add products to a plan, you can choose how you want to bill customers: in advance or in arrears. In monthly plans, billing in advance invoices charges at the start of the period. In-arrears billing invoices at the end of the period.

​

Billing frequency

Plans have a billing frequency which determines whether invoices are created monthly or annually, for example. Billing frequency is configured as part of plans so you can set up different pricing for monthly and annual billing.

Supported billing frequencies:

• Monthly
• Quarterly
• Annually

​

Combining multiple billing frequencies

You can combine prices with different billing frequencies (monthly, quarterly, annually) and types (in advance, in arrears) in a plan or schedule. For example, combine:

• Annual in-advance fee with a monthly usage-based fee charged in arrears
• Quarterly in-arrears fees with monthly in-arrears fees.
• Monthly in-advance fee with a monthly usage-based fee charged in arrears

Sequence is designed to optimize and consolidate invoices where possible. For example, if you set up a Sequence billing schedule to bill your customers a fixed fee at the start of each month and a usage-based fee at month end, month-end invoices will also include the in-advance fee of the upcoming billing period.

​

Minimum fees

You can set a minimum commitment for a plan in Sequence by adding a ‘Plan minimum’. This guarantees that for each billing period, Sequence will generate invoices with a pre-tax total of at least the minimum amount defined.

If a customer’s total bill falls below the minimum amount set for their plan, Sequence will add a ‘True-up’ charge to bring it up to the minimum.

For example, if the total is $845 for a plan with a minimum fee of $1,000, a line item with a rate of $155 will be added to the invoice, with a description of “True-up charge”.

​

Plan versions

Sequence creates plan versions with each change, allowing you to view past pricing and recalculate invoices deterministically if needed.