I'm looking for the best way to handle "seasonal" subscriptions with the ability to have auto renewals.
An example would be a ski mountain season lift ticket that would auto renew for next season. A one time"annual" payment off $1,000 recognized as defered revenue over 5 months (Dec-April) and a renewal that would begin in December of the following year.
Anyone deal with anything simliar?
Solved! Go to Solution.
For a seasonal subscription you will want to create an Annual Subscription. Please refer to our Knowledge Center article: Specifying Basic Information for a Subscription. Use the following settings to help set up your annual subscription:
- Term Setting = TERMED
Initial Term = 1 YEAR
- Renewal Setting = Renew With Specific Term
- Renewal Term = 1 YEAR
- Auto Renew = YES
When adding the rate plan charge, set it up as a one-time charge of $1000.
Our revenue recognition is fully customizable and will allow Monthly recognition over time. Please refer to our Knowledge Center article: Recognition Term.
When creating your rule, use the following:
Recognition Model: Billing - Daily recognition Over Time
Recognition Term Start Date: Start recognizing revenue from the Invoice Item Service Period Start
Recognition Term End Date: Stop recognizing revenue 5 months from the Recognition Term Start Date
We also have another related Community topic found HERE.
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Re: Seasonal Subscriptions with auto renewals
Hi Brian---one change to what Rolando advised as an option for you. He advised setting up your change as a one-time charge. However, one-time charges do not auto-renew when the subscription auto-renews. My suggestion would be for you to create an annual rate plan for the $1000 and then setting up the accounting rule to recognize the revenue over the five month period like Rolando advised.