Invoicing and subscription management is one of the most important parts of managing your SaaS business but as well one of the most hard things to get right. In this post we’ll have a look at two invoicing solutions that are most suitable for SaaS businesses.
Hosting your own invoicing solution can save you quite some money if you compare it to other recurring subscription solutions on the market.
There are quite a few open source and paid products on the market but not all of them offer an API or the features we need for our SaaS product. We have picked two good options for you that are worth considering:
- Invoice ninja (open source, 30$ white label license)
- Fusion invoice (paid, 99$)
SaaS invoicing requirements
To be able to invoice your clients there a few requirements:
- Different VAT rates per country for EU clients
- It should be possible to make recurring invoices
- The invoicing software should integrate with a payment gateway
- Integration through an API should be available so it can integrate with your SaaS product.
Both products offer the features in the above list. We have compared several of the available products and invoice ninja and fusion invoice are by far the most suitable for our goal.
Although this product is open source the license requires that the logo of invoice ninja is displayed at the bottom of PDF invoices. It’s possible to purchase a one year white label license for 30$ that removes the logo.
Of the two products invoice ninja definitely has the most features. The API is well documented and it supports products that can be reused on your invoices.
Invoice ninja supports these payment gateways: Stripe, Braintree, Paypal, Mollie and some others. It’s possible to create recurring invoices so that you can greatly reduce the amount of work required to maintain your SaaS business.
By EU regulation each customer inside the EU needs to be charged the VAT rate of their own country unless an valid EU VAT number is provided.
The UI of the application is modern and responsive making it easy to check the status of your company on your phone. It’s also possible to enable a client portal where they can view and download their latest invoices.
The application is developed in PHP and has mysql as a database backend. Because of this hosting the application is rather easy and inexpensive.
The next invoicing solution on the list is Fusion invoice. This product offers a bit fewer options but is still a great minimalistic invoicing solution. A license costs an affordable 99$ USD. For this price you get a completely white label invoicing system.
Fusion invoice does not have a client portal but clients are able to see and pay their invoices through the link in their invoice email.
Fusion invoice has an API as well albeit slightly less documented, but the API is quite understandable.
Fusion invoice supports payments through: Stripe, Paypal and Mollie. Those seem to be the only supported payment options at the moment, so if you would need another payment gateway this might not be the best option as it seems that invoice ninja supports more payment gateways and creating your own extension is more transparent.
Fusion invoice supports multiple VAT rates as well so you can comply with international regulations.
Both invoicing solutions are quite good but the lower price and more options of invoice ninja makes this product our favorite with fusion invoice coming in as a good second. There are surprisingly little self hosted solid invoicing solutions on the market that are suitable for SaaS businesses. But with these two options you can still get a great self hosted invoicing platform for your business.
Looking for more solutions for your SaaS business? Always feel free to drop us a line. Contact