The Prepaid with Drawdown feature supports creating non-standard period subscriptions.
A non-standard period subscription refers to a prepayment subscription whose term consists of a partial billing period followed by one or more standard billing periods.
For example, a 14-month subscription that includes a prepayment charge with an annual billing period and an annual validity period is a non-standard period subscription. The first two months represent the non-standard period, and the remaining 12 months the standard period. Once the subscription is created, it will have two validity periods and two billing periods. You can bill the two billing periods separately. You can extend the subscription by the standard annual billing period.
Activate the “Term End Day” option in the Customize Billing Day setting.
Suppose you want to create a 14-month subscription from 2022-11-01 to 2023-12-31. The first two months, from 2022-11-01 to 2022-12-31, will be the first validity period. The remaining 12 months from 2023-01-01 to 2023-12-31 will be the second validity period.
Create a prepayment charge. Configure the charge like usual with the following specifics:
- Validity period: Annual
- Billing period: Annual
- Billing day: Term End Day
- Billing period alignment: Align to Term End
Create a prepayment subscription. Configure the subscription like usual with the following specifics:
- Type: Termed
- Term start date: 11/1/2022
- Initial term: 14
- Period type: Month
- Add the prepayment charge created in Step 1 into this subscription.
Once created, on the Prepayment Balance tab of this subscription, two validity periods will be available: 11/01/2022 -12/31/2022 and 01/01/2023 -12/31-2023.
Notes and limitations
When creating prepayment charges for non-standard period subscriptions:
- Only prepayment charges of recurring type can set their Billing day to Term End Day and Billing period alignment to Align to Term End.
- When Billing day is set to Term End Day, Billing period alignment must be set to Align to Term End. The two settings must be used in pairs.
When creating non-standard period subscriptions, only the Monthly based term type is supported.