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@@ -20,7 +20,9 @@ Master automated billing systems including recurring billing, invoice generation
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## Core Concepts
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### 1. Billing Cycles
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**Common Intervals:**
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- Monthly (most common for SaaS)
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- Annual (discounted long-term)
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- Quarterly
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@@ -28,20 +30,25 @@ Master automated billing systems including recurring billing, invoice generation
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- Custom (usage-based, per-seat)
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### 2. Subscription States
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```
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trial → active → past_due → canceled
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→ paused → resumed
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```
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### 3. Dunning Management
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Automated process to recover failed payments through:
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- Retry schedules
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- Customer notifications
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- Grace periods
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- Account restrictions
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### 4. Proration
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Adjusting charges when:
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- Upgrading/downgrading mid-cycle
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- Adding/removing seats
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- Changing billing frequency
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