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Saastr
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Dear SaaStr: When Should a SaaS Company Allow Month-to-Month Contracts vs. Requiring Annual?
- Annual contracts combined with prepaid cash are a huge benefit, when done right.
- Bigger companies want to sign annual contracts, especially in exchange for discounts.
- Very small businesses and individuals mostly want to pay monthly on their credit cards.
- Be flexible in the beginning at least. Once you have a brand that customers trust, more will prepay annually.
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