Recurring Billing
Recurring billing is a payment model where customers are automatically charged at regular intervals (e.g., monthly, annually) for ongoing access to products or services, such as software subscriptions, memberships, or utilities. It involves automated payment processing, subscription management, and handling of billing cycles, renewals, and cancellations. This concept is central to subscription-based business models and requires integration with payment gateways, invoicing systems, and customer management tools.
Developers should learn recurring billing to implement subscription features in applications like SaaS platforms, streaming services, or e-commerce sites, ensuring reliable revenue streams and customer retention. It's essential when building systems that handle automated payments, prorations, dunning management (failed payment retries), and compliance with regulations like PCI DSS. Understanding this concept helps in integrating with payment processors (e.g., Stripe, PayPal) and designing scalable billing architectures.