We recommend completing a few steps in QuickBooks Online before implementing ProRata. Following these steps will help streamline your implementation process.
โ
Make sure your products are configured so that their Income account is set to one of your deferred revenue accounts. This will ensure that when you create a new invoice, all of the revenue for those products is recorded in the deferred revenue account rather than a revenue or income account. ProRata then handles the monthly journal entries to decrease deferred revenue and increase revenue.
If you do not already have one, create a Deferred Revenue account (Liability).
Perform any "clean up" prior to importing your data into ProRata. This includes editing prior invoices with service dates, classes, locations and products.
(optional) Enable Service date on your invoices. ProRata will use the service date as the start date of your subscriptions which allows ProRata to automatically schedule revenue properly. You can find instructions for enabling service date here.