What is an Automated Billing System?

Automated billing system computer screen
An automated billing system is a type of software that controls all the functions related to the billing process. These billing systems can automatically generate and send your invoices, as well as track and process payments. This is particularly helpful for businesses with a subscription billing model.


Typical steps in an automated billing environment

  1. Billing calculations
  2. Invoice generation
  3. Invoice transmission
  4. Payment processing
  5. Dunning & collections
  6. Provisioning
  7. Report generation

Extensibility and accuracy

Auto-billing systems often integrate with accounting software and payment gateways.  Some systems utilize automatic workflow steps to provision external systems (i.e., cable, phone or IoT devices).

With automated billing, mistakes are drastically reduced. This can help your business avoid revenue leakage related to under-billing.

Benefits of using auto-billing software


  • Decrease costs 
  • Eliminate manual tasks
  • Improve accuracy
  • Get paid faster
  • Revenue protection
  • Fraud prevention
  • Increase customer satisfaction
  • Enable robust reporting
  • Customer self-service options
  • Improve customer retention

Streamline processes

Automatic billing can simplify your invoicing process and reduce your overall billing stress. Invoices will be more timely and precise. This can help satisfy your customers and improve your cash flow.

Ultimately, auto-billing systems allow you to spend more time running your business and less time managing processes!

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