Provider Software Usage Fee Update 

Owned by Chellie Esters
Last updated: Sept 29, 2021
3 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 October 30, 2021, the ServiceChannel software usage fee for providers will be adjusted from the current 1% on the pre-tax amount of approved invoices with a maximum of $2, to 1.25% with a maximum of $3.

Frequently Asked Questions

What is changing in the software usage fee?

  • The new fee will be 1.25% of the pre-tax amount of approved invoices instead of the current 1%.

  • The maximum amount charged per approved invoice will be $3 instead of $2.

Fee Comparison Chart

Invoice Amount

Current Fees

(1% with $2 cap)

New Fees

(1.25% with $3 cap)

$50

$0.50

$0.63

$75

$0.75

$0.94

$100

$1.00

$1.25

$150

$1.50

$1.88

$200

$2.00

$2.50

$220

$2.00

$2.75

$240

$2.00

$3.00

$250

$2.00

$3.00

$300

$2.00

$3.00

$400

$2.00

$3.00

$500

$2.00

$3.00

$600

$2.00

$3.00

$700

$2.00

$3.00

$1,000

$2.00

$3.00

$5,000

$2.00

$3.00

 

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

  • We’re now expanding phone support so you can reach us more easily and resolve any issues in a timely manner

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

    • Make you more efficient: the new mobile and web app for providers

    • Get you paid faster: a streamlined invoicing process 

    • Get you more work: the new provider profile, new invitation flow and new search capabilities that help you get more business.

  • We have a new team dedicated to supporting providers

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 processed).

  • Rejected or disputed invoices are not charged.

  • Invoices for work obtained through ServiceChannel Scout, Search, or ServiceChannel Managed programs are charged a 5% commission, which includes the software usage fee. This commission 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 $240 (the amount where the cap applies) will be 1.25% of the pre-tax amount of the approved invoice and not more than $3 per invoice. For example, the fee for a $50 invoice will be 63c, for a $100 invoice will be $1.25 and for a $150 invoice will be $1.88.

  • Fees for approved invoices of $240 or more will be $3 per invoice, regardless of the amount of the invoice. The fee for a $240 invoice or a $2,400 invoice will be $3.

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 (Sept 2018) and before that in Nov 2015.

  • 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 Scout, Search, or SC Managed programs? 

  • No. Invoices for work obtained through ServiceChannel Scout, Search, or SC Managed programs are charged a 5% commission, which includes the software usage fee.

  • That commission is not changing. 

When does this change go into effect?

  • This change goes into effect on October 30, 2021.

  • Invoices that have been approved on or after 00:00:01 EST October 30, 2021 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