What is Quarterly Billing

Quarterly billing means charging customers once every three months. In a quarterly billing cycle, the customer’s invoice covers a three-month period of service.

This often involves setting up the billing system so that each customer’s contract renews or is billed on the same day once each quarter. The invoice will list all services provided in the past quarter. Payment terms then apply to that quarterly invoice.

Quarterly Billing Benefits: 

Quarterly billing can benefit both customers and businesses. Customers pay less frequently than monthly billing, which can reduce transaction fees and paperwork. At the same time, the revenue stream is more frequent than annual billing, helping businesses maintain steady cash flow. 

It can simplify accounting for customers who prefer fewer invoices and can also reduce administrative workload for a company compared to monthly invoicing.