Provider Software Usage Fee Update

Owned by
Mary ann Cammarota
Last updated: May 14, 2024
4 min read

Your access to ServiceChannel includes a powerful toolbox of features and services that make it easier and more profitable for you to provide the quality, efficient service your customers appreciate — plus a world of opportunity for new business available to you through the ServiceChannel platform. 

To continue to expand and improve our service and support, on June 14, 2024, the ServiceChannel software usage fee for providers will be adjusted from the current 1.25% on the pre-tax amount of approved invoices with a maximum of $3, to 1.5% with a maximum of $4.

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Frequently Asked Questions

What is changing in the software usage fee?

  • The new fee will be 1.5% of the pre-tax amount of approved invoices instead of the current 1.25%.

  • The maximum amount charged per approved invoice will be $4 instead of $3.

Fee Comparison Chart

Invoice Amount

Current Fees

(1.25% with $3 cap)

New Fees

(1.5% with $4 cap)

$50

$0.63

$0.75

$75

$0.94

$1.13

$100

$1.25

$1.50

$150

$1.88

$2.25

$200

$2.50

$3.00

$220

$2.75

$3.30

$240

$3.00

$3.60

$250

$3.00

$3.90

$267

$3.00

$4.00

$400

$3.00

$4.00

$500

$3.00

$4.00

$600

$3.00

$4.00

$900

$3.00

$4.00

$1,000

$3.00

$4.00

$5,000

$3.00

$4.00

 

Why is the fee changing? We’re making more investments in supporting you and other service providers on ServiceChannel: 

  • We continue to invest in tools and features to make you more efficient, get you paid faster and help you get more business. For example:

    • To improve your efficiency: Your new provider homepage lets you take charge of all aspects of your work orders from one convenient location.

    • To provide the insights you need to improve performance and grow your business: Your new contractor scorecard shows how your performance compared to your peers and where you have room for improvement.

    • To get you paid faster: We continue to streamline the proposal, invoicing and onboarding processes.

    • To get you more work: New capabilities in Provider Search make it easier than ever for new customers find you.

  • Expanded phone support helps you reach us more easily and resolve any issues in a timely manner.

  • Our team dedicated to supporting providers continues to grow.

Is this fee charged for work orders?

  • No, the software usage fee is charged only on the value of approved invoices, not on work orders.

Is this fee charged on all invoices?

  • The software usage fee is charged on all APPROVED invoices including service requests, preventive maintenance, supply orders, bulk invoices (fee applies separately to each work order included on the approved invoice) and auto invoices (invoices automatically generated and procfmxessed).

  • Rejected or disputed invoices are not charged.

  • Invoices for work obtained through ServiceChannel Provider Search or the ServiceChannel Scout and ServiceChannel Managed programs are charged a 5% growth fee, which includes the adjusted software usage fee. The 5% growth fee is not changing.

Does the fee apply to all approved invoices in the same way?

  • No, the fee is not applied to all approved invoices the same way. Fees for approved invoices under $267 (the amount where the cap applies) will be 1.5% of the pre-tax amount of the approved invoice and not more than $4 per invoice. For example, the fee for a $50 invoice will be 75 cents, for a $100 invoice, $1.50 and for a $150 invoice, $2.25.

  • Fees for approved invoices of $267 or more will be $4 per invoice, regardless of the amount of the invoice. The fee for a $267 invoice or a $2,067 invoice will be $4.

Do software usage fees get charged to supplier invoices? 

  • Yes, software usage fees are charged to both supplier and service provider approved invoices.

How often does ServiceChannel adjust the software usage fee for providers? 

  • The last time fees were adjusted was 3 years ago, October, 2021, and before that in September, 2018.

  • Fees may be adjusted from time to time, but we will always make sure you are getting real value in return and receive proper notice.

Does this fee change apply to invoices for work done through ServiceChannel Provider Search or the ServiceChannel Scout or ServiceChannel Managed programs? 

  • No. Invoices for customers you acquired through ServiceChannel Provider Search or the ServiceChannel Scout or ServiceChannel Managed programs are charged a 5% growth fee, which includes the software usage fee.

  • The 5% growth fee is not changing. 

When does this change go into effect?

  • This change goes into effect on June 14, 2024.

  • Invoices that have been approved on or after 00:00:01 EST June 14, 2024 will be charged the new fees. 

What happens if I don’t pay the ServiceChannel software usage fee?

  • Accounts with unpaid software usage fees are placed in “Restricted” status.

  • Accounts in restricted status are not able to issue invoices.

See full ServiceChannel Terms & Conditions