# Billing & invoicing

Veriam acts as the **Merchant of Record (MoR)** for software providers, handling subscription billing, payments, and invoicing on their behalf. This means that when a customer subscribes to a plan, Veriam processes the payment, issues invoices, and ensures compliance with local tax regulations.

## **How Billing Works in Veriam**

1. **Customer Subscribes** – A customer selects a plan (flat-fee, per-user, free, or one-time cost).
2. **Veriam Processes Payment** – Charges the customer’s payment method at the start of the billing cycle if billed in advance or verified payment method at the start if billed in arrears.
3. **Invoice is Issued** – Veriam automatically generates and sends an invoice to the customer.
4. **Renewals & Adjustments** – For recurring subscriptions, Veriam handles renewals, prorated adjustments (for per-user pricing), and cancellations.
5. **Payouts** - Veriam collects all payments and remits the appropriate amount to the provider, deducting applicable fees.

## **What Does It Mean That Veriam is the Merchant of Record?**

As the MoR, Veriam:

* Handles Transactions – Manages all payments, including credit cards, bank transfers, and other methods.
* Issues Invoices – Generates tax-compliant invoices for customers worldwide.
* Manages Taxes & Compliance – Ensures VAT, GST, and other regional tax requirements are properly handled.
* Reduces Provider Risk – Protects providers from chargebacks, fraud, and financial compliance issues.

## **How Customers Receive Invoices**

* Invoices are automatically emailed to customers after each successful payment.
* Customers can also access past invoices via the Veriam Customer Portal.
* Each invoice includes details such as plan name, billing period, amount charged, and tax breakdown.