How to Create a Smart Payment Agreement™

Created by Elizabeth Whyte, Modified on Mon, 2 Dec, 2024 at 1:49 PM by Elizabeth Whyte

This article details each step of creating a new Smart Payment Agreement in the system. A step-by-step video can also be found at the bottom of this article.

Step 1: Create

In the Customers tab, you can choose between creating a new customer record or searching for an existing profile using the search bar and filters. Simply enter the customer’s name, mobile number, email, or reference to initiate the search.
Once the desired customer has been found, select anywhere on the line/record to display a customer detail summary.
This summary window features a button labelled "+ New Agreement."
Alternatively, if you have chosen to create a new customer profile, the subsequent page that loads will be the payment agreement creation page.

Note: There are several steps within the Agreement creation experience, each containing options allowing you to customise your Payment Agreement to match the specific needs of your business and customers. These are detailed below.

Step 2: Reference

A reference is a unique code or note to attach to a specific Agreement (i.e., invoice number, product type/code, etc).

Step 3: Agreement Type

Agreement Type	Description
Fixed Amount	A business might use a fixed amount Payment Agreement to collect a one-time payment or multiple instalments for a specific product or service. For instance, a flooring company could implement a Fixed Amount Payment Agreement for the provision and installation of carpets at a property. This Agreement might offer customers the option to make a 20% deposit at the beginning, followed by the remaining 80% to be paid in instalments. To create a Fixed Amount agreement, start by establishing the total amount owed. Then, choose appropriate values for each payment, including the amount, number, and timing/frequency. Multiple, sequential payment stages can be used to distribute and schedule the repayment journey. The combined (total) fixed value of the Agreement can be collected in a single payment, or multiple instalments. The system will calculate any differences between your chosen payment structure and the desired total amount. If there are discrepancies, you can easily adjust the payment structure to ensure it aligns with the intended total value.
Fixed Amount Plus (Multiple Items)	This Payment Agreement allows businesses to include multiple components or items within the same agreement. For instance, a furniture retailer may offer a fixed amount plus agreement for custom furniture orders, where customers can select assorted options such as fabric, colour, and additional features, each contributing to the overall fixed amount. To create a Fixed Amount Plus agreement, start by adding items. You will be asked to provide values for each item, including the name of the item, quantity, and unit price. There is no limit on the number of items that can be included within a single Agreement. The combined (total) fixed value of the Agreement can be collected in a single payment, or multiple instalments.
Fixed Payment Dates	This Agreement type is suitable for businesses that require payments on specific fixed dates. A construction company, for example, could set up a Fixed Payment Dates Agreement with their clients where payments are scheduled on predetermined dates corresponding to the completion of project milestones. For example, the Agreement might outline that 30% of the total project cost is due on the completion of the foundation stage, 50% upon completion of the framing stage, and the remaining 20% upon project completion. To establish a Fixed Amount Agreement, choose between a single payment on a specific date or multiple fixed payments to cover a set period. During the setup process, you will be prompted to provide values for each payment, including the amount, description, and either a start date for the Agreement or individual payment dates. The Agreement's total fixed value can be collected either as a single payment or split into multiple instalments. If necessary, you can utilise multiple sequential payment stages within the Agreement.
Plan/Subscription	A Plan or Subscription Agreement is commonly used for recurring payments. Businesses offering services like cleaning services, gym memberships, or software-as-a-service (SaaS) can employ this type of Agreement. Customers pay a recurring fee based on a specific number of payments or an indefinite ongoing arrangement. For instance, a home toiletries delivery service may offer a subscription plan where customers pay a set fee to receive regular deliveries of toilet paper and cleaning products every two months. Payments for the subscription are collected on a recurring basis until the customer decides to cancel. The payment structure can include one or more stages that follow a sequential order. Each stage can involve a specific number of payments with consistent values or can be ongoing until the Agreement is cancelled. To establish a Plan/Subscription Agreement, begin by entering a customer-facing description and adding a stage. During this process, you will be prompted to input values for each payment, which include the number of payments, amount, interval, description, and charge day. For an ongoing Agreement with no defined end, you can enter 0 as the number of payments.
Manual Ongoing	The Manual Ongoing Agreement is designed for businesses that require flexibility in updating payment dates and amounts. It is particularly useful for freelancers, like consultants, who need to sporadically bill clients for hourly work. In this scenario, the consultant can manually add the outstanding payment amount to the Agreement based on the number of hours worked on a recent project. This Agreement type does not have a defined frequency, value, or processing date. Instead, you can enter the payment values as and when they are due, allowing for a more customised payment schedule. This Agreement provides the freedom to adapt to changing circumstances and enables businesses to manage payment relationships efficiently. Only a customer-facing description is required to create a Manual Ongoing Agreement.

Step 3: Payment Description

A brief outline of the Payment Agreement that will be presented to the customer during the Agreement onboarding process.

Step 4: Payment plan configuration

To streamline your Payment Agreement setup, we offer the following steps:

Apply a template
Insert a pre-made payment structure (called a payment template) for Agreements you regularly send.
Add stage/s
If you are not using a template, select the Add Stage button. Each stage represents a component of your Payment Agreement plan. A simple Agreement may have one stage, while a more complex one can have multiple stages. Stage descriptions are presented to customers during the Agreement acceptance process.
Stage description
Add a clear description of each stage, visible to the Customer.
Number of payments
Specify the total number of payments required within the Agreement. Use zero (0) if the Agreement is ongoing without a defined end date.
Payment amount
Enter the amount to be paid in each transaction.
Payment interval
Determine the period between transactions (Day, Week, Month, Year) and set the frequency accordingly. For instance, fortnightly payments would be set as: Period: Week, Frequency: 2.
Charge date
Set the date when the transactions will be processed. This date is dynamic and adjusts based on the selected payment interval. Select the sale date option if you want transactions to start from the day the Customer accepts the agreement.
Start date
Specify your preferred start date, which marks the earliest date for the Agreement to commence.
Review and confirm
Confirm all the details are accurately entered, then select Done at the bottom right. To exit without saving, choose Cancel, and to remove a stage, select Delete.

Step 5: Terms and conditions

During the Payment Agreement acceptance process, you have the option to incorporate your own Terms and Conditions for your customers to accept. These Terms and Conditions are separate from the Agreement details and can be easily created and uploaded as a template for ease of re-use. This allows you to provide customised and tailored terms that align with your business requirements and ensure a clear understanding between you and your customers.

Step 6: Summary

This step provides you with an opportunity to review and verify all the provided details. You can go back and make changes at any time by selecting the relevant step. Additionally, you have the option to customise the Agreement rules, including:

Entering the payment method information manually (if your customer is present and has given consent).
Setting an expiry date for the Agreement.
Customising which payment methods your customer can pay with.
Enabling or disabling the Backdate feature.
Making the Agreement tax exempt.
Designating the Agreement as a “Test.”