Unlock upfront revenue with Credit Note Deposits

While Deposit Holds and Charges protect your assets against damages, the new Credit Note Deposit is designed to protect your cash flow. This feature allows you to collect any amount upfront and convert it into a standing credit balance. Loopit then automatically draws down from this balance to cover the initial billing cycles, only moving to the customer’s stored payment method once the credit is exhausted.

Why this matters for your business:

• Boost Immediate Liquidity: Collect any number of weeks or months of payment in advance to get cash in the door on day one.
• Layer Your Protection: You can now stack deposit types—for example, holding a $500 security bond for insurance while simultaneously taking a $500 pre-payment to cover the first period of the subscription.
• Accountant-Friendly Automation: These deposits automatically convert into valid Credit Notes, meaning they attract the necessary tax and ensure your revenue recognition remains perfectly balanced.
• Reduce Administrative Churn: By enabling "Auto-apply credit notes" in your billing settings, the system handles the entire drawdown process for you, eliminating the need for manual invoice adjustments.

Whether you want to implement a "first month upfront" policy or simply collect a small buffer alongside a standard bond, the Credit Note Deposit gives you the toolkit to automate your collections and scale with confidence.