Scaling Smart: How Codat Reduced Receivables by 40% and Simplified Billing Complexity

Codat is a leading business data API provider that helps banks and fintech companies build deeper connections with their customers. Trusted by some of the world’s largest banks and financial institutions, such as JP Morgan, Brex, and Fiserv, Codat’s API-driven solutions help clients win more customers, scale operations, and reduce churn.

Challenge: Growing Pains in Billing

As Codat expanded, its billing processes became increasingly complex. Its previous system, Maxio, was disconnected from its CRM and accounting software. Joe Lambert, Business Operations at Codat, shared, "Maxio worked, but it wasn’t effective. The disjointed tools required a lot of manual work and had no real source of truth for our data.” This lack of integration was causing data inconsistencies and operational inefficiencies, affecting the team’s ability to manage customer billing queries effectively.

Codat's commercial teams struggled to track overdue payments due to poor visibility into invoicing and payment statuses, which slowed down collections. Additionally, the manual process for variable usage billing complicated their workflows, making it hard to scale efficiently and meet customer needs.

A Unified Solution

Codat realized it needed a better billing solution to manage its complex pricing model and work well with its existing systems. After evaluating several options, Chargebee was the clear choice because of its flexibility, automation, and excellent integration features. 

Seamless Integration for Greater Efficiency 

Before Chargebee, Codat struggled with disconnected systems that didn’t work well together. Chargebee's seamless integration with essential tools like Salesforce, Xero, and Avalara was a major reason for choosing it.

• Automating variable usage and platform fees: Chargebee automated and upgraded Codat’s manual billing processes from its previous vendor, Maxio, especially for variable usage charges, which significantly reduced the need for manual input.

• Consistent and reliable data: Chargebee’s integration with Salesforce ensured data flowed smoothly between the systems, providing unified customer and payment insights.

• Automated tax calculations: The integration with Avalara saved Codat’s finance team half a day’s work monthly and helped them comply with changing tax rules. It also automatically identified states where sales tax was due or nearing the threshold, eliminating the need for manual checks.

Joe noted, “The automated integration has drastically improved our efficiency. Previously, data would be manually entered into Maxio, which was time-consuming and prone to errors. Now, data flows seamlessly from our systems to Chargebee, making our billing and invoicing process much smoother.”

Result: Smarter Billing and Faster Collections

Codat’s transition to Chargebee has enabled them to scale without worrying about billing complexities:

• Real-time visibility: With Chargebee Receivables, Codat’s commercial team now has real-time access to client invoices and payment statuses, helping them better manage accounts. This reduced internal queries from 3-4 a week to zero and contributed to a 40% reduction in receivables since March 2024. Additionally, Codat started using Autopay to collect overdue payments, which wasn’t used with Maxio, streamlining the collections process.

• Simplified collections: Customers can now view and pay outstanding invoices via a single link, improving the collection process and customer experience.

• Multi-entity management: Chargebee’s support for multi-entities allows Codat to manage its various business units more easily. 

Joe shared, "Our previous setup with Maxio made integrating multiple billing entities with our Salesforce instance difficult. With Chargebee, we can easily log into one platform and view consolidated figures across all entities, and it's fully integrated with Salesforce. This integration has been a game changer for our finance team, allowing them to access all the information they need in one place."

• Faster time to bill: The finance and commercial teams issue invoices faster, allowing for quicker problem resolution and reduced time spent on billing queries.

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Chargebee has transformed our billing process, making it more efficient, automated, and user-friendly. The visibility it provides our teams, combined with the automation of previously manual tasks, has been a huge win for us.

Joe Lambert, Business Operations at Codat

Looking Ahead

For Codat, Chargebee is a complete solution that fits its billing needs. By automating complex tasks, integrating seamlessly with existing tools, and offering better visibility, Chargebee has helped Codat simplify its operations and prepare for continued growth.

With Chargebee, Codat can focus on its core mission: making life easier for small businesses by enabling their systems and services to work together seamlessly.

Ready to harness the power of subscription billing and management to drive revenue growth for your subscription business? Get a demo