Ordway

New ARR is calculated by summing the Annual Recurring Revenue from all new customer contracts signed within a specific period. It focuses solely on revenue generated from entirely new logos, excluding expansions from existing customers. Accurate calculation requires robust subscription management systems to track new contract values separately from renewals or upsells. New ARR is an important metr...

ACH transactions typically feature lower processing fees and higher retention rates for recurring billing due to fewer expiration issues compared to credit cards. While credit cards offer instant authorization, they often come with higher transaction costs and can lead to involuntary churn from expired cards. ACH payments are not subject to card expiration or fraud holds, improving cash flow predi...

The ability to retain and grow customers is one of the most important factors investors look for to assess the health and performance of a SaaS business.  In this article we will share five strategies that SaaS companies can use to generate expansion ARR, like upselling seats, increasing product usage, and leveraging feature upgrades.

Optimizing cash flow is vital for any SaaS business, especially where recurring revenue fuels growth. Small delays in collecting payments can lead to significant operational challenges and strain resources. By implementing a proactive, customer-friendly collections process, leveraging automation, and ensuring payment flexibility, companies can drastically reduce Days Sales Outstanding (DSO) and en...

The goal of every invoicing process is to collect the payment from the customer.  But receipt of the cash isn’t always the last step in the process. Discrepancies between invoice amounts and actual payments often prolong the order-to-cash process for weeks after the collection is made.  Cash application is a common source of frustration for finance teams, leading to reconciliation nightmares and s...

Account hierarchy refers to the structured relationship between multiple customer accounts or sub-accounts within a parent organization. It enables SaaS companies to manage sales, customer success, billing, contract commitments, accounting, and reporting across complex customer structures—such as those with multiple subsidiaries, business units, or geographic entities.

Usage-based pricing often creates “gotcha” invoice moments that drive customer support tickets—especially when convenience features introduce complexity. In this episode, we'll explore  six common confusion triggers:  Monthly minimum commitments Overage fees Zero-dollar invoices from prepaid balances Auto-replenishment charges Expired prepaid credits Ineligible spending that doesn’t count tow...

Credit cards offer a convenient, low-friction experience for customers, but the processing fees can add up to be a meaningful drain on margins. Passing credit card surcharges to customers can help recoup these expenses. However, managing customer communications and backlash can be tricky, as can navigating the intricate regulatory landscape. In this article, we’ll do a deep dive into credit card s...