Software Design

SaaS Subscription Billing Lifecycle

State Diagrams · made in Skemio

State diagram showing SaaS subscription lifecycle: Trialing, Active, Past Due, Unpaid, and Canceled with transition triggers.
State diagram showing SaaS subscription lifecycle: Trialing, Active, Past Due, Unpaid, and Canceled with transition triggers.
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What it shows

  • Past Due allows grace periods and retry intervals before revoking access.
  • Dunning retries recover up to 70% of failed subscription renewals.
  • Unpaid vs Canceled separates involuntary card failure from user churn.

The takeaway

Decouple billing retries from account authorization to maximize subscription revenue recovery.

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