Subscription billing for Fintech

Subscription billing for fintech software: licence fees, entities, currencies and tax done properly

How fintech software companies bill recurring platform and licence fees in Bunny alongside transactional charges — invoiced from the right legal entity in the right currency, with sales tax and VAT calculated and payments collected by card, bank or invoice.

What makes subscription billing different for fintech software

Software sold to banks, lenders, payment companies and finance teams, where billing is transaction- or volume-based and the buyer expects audit-grade revenue reporting.

  • Customers in several jurisdictions

    A fintech vendor with customers in the US, UK and EU needs local entities, local currencies and correct VAT or sales tax on each invoice — usually before it has a finance team to run it.

  • Enterprise payment terms

    Banks and lenders pay on net-30 or net-60 by bank transfer against an invoice. Card-first billing tools treat that as an exception.

  • Contracts with structure

    Annual licence fees, implementation fees, minimums, and transactional rates on one agreement — often with a ramp as the customer migrates volume.

  • Finance needs a subledger, not a report

    Invoices, payments, credits and revenue have to land in the general ledger as journal entries per entity, not as a CSV someone re-keys.

How Bunny handles subscription billing for fintech software

  1. 01

    Multiple legal entities and currencies

    With the Advanced Billing add-on, customers are invoiced by the correct legal entity in their currency, with account hierarchies for groups with several subsidiaries.

    Multi-entity billing
  2. 02

    Sales tax and VAT

    Tax on quotes and invoices is calculated through Avalara AvaTax or Kintsugi based on the tax code of each product and the customer's location.

    Kintsugi integration
  3. 03

    Recurring and transactional on one subscription

    Licence fees, minimums and per-transaction charges are charges on one subscription and one invoice, each with its own pricing model.

    Transaction-based billing for fintech
  4. 04

    Invoiced terms, bank and card payment

    Net-terms invoicing with dunning for enterprise customers, and Stripe and Plaid for card and bank payment where customers prefer it.

    Plaid integration
  5. 05

    Ramps and one-time fees on the quote

    Implementation fees, ramped licence fees across a migration period and negotiated rates are set on the quote and become the invoice schedule.

    Ramp deals
  6. 06

    Ledger sync to QuickBooks and Xero

    Bunny imports the chart of accounts and pushes journal entries for invoices, payments, credits and revenue per entity.

    Xero integration

Structure first, volume second

Fintech vendors often assume the hard part of billing is the transactional meter. In practice the meter is one charge; the harder part is the structure around it — which entity invoices which customer, in what currency, with what tax, on what terms, and how it reaches the ledger. Getting that wrong creates work for finance every month, whereas getting the meter wrong creates a dispute once.

Bunny handles the structure in the catalog and account model, and the transactional piece as a usage charge on the same subscription. Revenue recognition then runs on the result.

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FAQ

Frequently asked questions

Can Bunny invoice from a UK entity in GBP and a US entity in USD?
Yes. The Advanced Billing add-on provides multiple legal entities and currencies. Each customer account belongs to an entity and is invoiced in the configured currency with the applicable tax.
How is VAT or sales tax calculated on invoices?
Through Avalara AvaTax or Kintsugi. Each product carries a tax code and the customer's location determines the treatment, so tax is calculated on quotes and invoices automatically.
Do banks and lenders have to pay by card?
No. Bunny supports invoiced payment terms with dunning for late payment, as well as card and bank payment through Stripe and Plaid for customers who prefer it.
Does Bunny sync to our accounting system?
Yes. Bunny integrates with QuickBooks Online and Xero, importing the chart of accounts and pushing journal entries per entity so billing acts as a revenue subledger.