Prepaid vs postpaid vs hybrid: which billing model works best for small VoIP resellers?

A

aliceejane

Active Member
We’re a small reseller and keep going back and forth on this. Here’s where I’ve landed:

  • Prepaid gives the best cash flow and almost no bad debt, but customers dislike running out of balance mid-call unless auto top-up is set up.
  • Postpaid is easier to sell to businesses, but you carry credit risk, and invoice disputes eat support time.
  • Hybrid (a credit limit plus an auto-block threshold) seems to balance both, but only works if your billing can enforce limits in near real time.
The technical limitation is usually the billing system, not the business model. If it can’t do usage-based balance checks and flexible invoicing, you end up forced into one model. Anyone comparing options might find this overview of telecom billing software useful for a feature checklist.

What are you running, and would you pick the same again?
 
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