DebiCheck vs Registered Mandate: What SA businesses should know
December 5, 2025Automating recurring billing can be a game-changer for South African small to medium-sized businesses seeking operational efficiency and growth. Companies that use automated billing are more likely to see fewer late payments and boost customer retention.
With Netcash’s subscription billing service, it’s easy! Our systems offer seamless, PCI-compliant recurring payment management with flexible plans, powerful accounting software integrations, and secure tokenised payments.
But, is this the right thing for your SME, and how do you go about setting it up? This 2025 guide walks you through how to harness Netcash to streamline your billing process, minimise administrative overhead, and maximise revenue with ease.
Get ready to transform your payment experience and grow your business confidently.
Tired of chasing late payments?
Let Netcash handle your recurring billing automatically — so you get paid on time, every time.
What is recurring billing?
So, what does recurring payment mean? In short, it is an automated payment process, usually offered by businesses, that allows them to regularly charge customers. This scheduled payment varies and can be weekly, monthly, quarterly, or even annually.
The process begins with customers signing up for your services and providing their bank or card details to a secure payment gateway that adheres to PCI-DSS standards .
Once you’ve received all of the required details and documents, the system will automatically initiate a charge request through the gateway. As proof of payment, customers will receive a notification and a receipt, both automatically generated through the system.
This can simplify money management for small and medium-sized enterprises (SMEs) that simply do not have the capacity to hire additional staff. It also helps create a controlled cash flow into the business, rather than chasing payments every cycle or receiving late payments.
Types of recurring billing
There are two types of automated billing systems for businesses in South Africa. While both can streamline your accounting process, the one you choose will depend on the desired outcome for you and your customers.
1. Regular billing
As the name suggests, this is for billing charges that are a consistent and predetermined amount. This type is best suited for businesses that offer regular services or products to customers at the same amount, such as memberships or subscriptions.
2. Variable billing
This type of billing is better suited for businesses that don’t charge the same amount each cycle. These are typically best suited for companies that charge customers per user, by quantity, or by usage.
It can be further broken down into two sections: usage-based billing and quantity-based billing.
- Usage-based (or metered) billing charges customers based on their actual usage of your products or services. Think of utilities such as electricity, cloud services, or software, where costs cannot be fixed and are tiered.
- Quantity-based billing refers to agreed-upon quantities, such as the number of user licenses or volume of cloud storage needed. These can be used in the manufacturing, retail, and wholesale sectors, which charge based on the number of items purchased.
Note to Client: Opportunity to add internal link to "What South African Businesses Need to Know About PCI DSS" when that post is live.
Use cases of recurring payments in South Africa
There are so many ways you can take advantage of the debit order system for small businesses with recurring payments. It is also applicable across various industries:
- SaaS: The SaaS industry has grown 500% in recent years, so keeping on top of payments is imperative.
- eCommerce and Direct-to-consumer (DTC): These include services like Takealot’s “TakealotMore” and subscription boxes such as Dinnerbox and Ucook.
- Subscription-based businesses: Gyms, streaming services, and online content providers leverage recurring payments for stable, predictable income.
- Telecommunications: Monthly billing for mobile, internet, and TV subscriptions, ensuring uninterrupted service.
- Financial services: Receive loan repayments and investment contributions easily with automated payments.
- Business-to-Business (B2B) transactions: If you often make payments from your business for recurring expenses, such as investment contributions or B2B utility bills, you can benefit greatly.
- Publications: Newspaper and magazine subscriptions are one of the top groups that can benefit from recurring billing services.
Want billing that runs smoothly in the background?
Automate your subscriptions with Netcash and free up hours of admin every month.
Automation benefits
There are many benefits of using debit orders for recurring payments in businesses, ranging from administrative efficiency to process simplification.
1. Produce invoices quickly
Automated billing systems enable businesses to generate invoices efficiently and eliminate the possibility of human error. Because they are generated so quickly, it saves time by removing the manual work involved in creating and sending each invoice.
By automating this process, you can create invoices in real time as soon as services are rendered or products delivered. For SMEs, this means less time spent on administrative tasks and more on growing the business.
The consistent, on-time delivery of invoices reflects well on your professionalism, building trust with customers by demonstrating reliability and organisation.
2. Predictable revenue
Waiting for customers or subscribers to pay their bills on time can cause revenue fluctuations, and your business may stagnate for a while. With automated recurring billing, you can eliminate this problem by ensuring consistent, predictable income streams, significantly improving your financial planning and stability.
This predictability allows your business to plan investments, marketing strategies, and expansion efforts with better forecasting, leading to efficient capital allocation and a higher ROI. Automated systems also reduce the risk of missed payments for a reliable income flow.
3. Instant payments for quick billing
Automation allows customers to pay immediately after receiving their invoices through integrated payment gateways. This "pay now" capability drastically shortens the billing-to-cash conversion time, enhancing cash flow and reducing the risk of late payments.
Instant payment options in South Africa are methods like credit, debit card processing, e-wallets, or instant EFT. As a result, customers are more likely to complete transactions quickly because the process is convenient and frictionless.
This ease of access helps build positive customer experiences and encourages timely payment habits.
4. Automated correspondence
Now, you can easily handle payment reminders, overdue notices, and subscription renewal alerts by choosing to share your payment requests. Netcash allows you to do so via SMS, email, WhatsApp, or by presenting a QR code to your customer. This allows you to keep customers informed and engaged without being overbearing or through manual outreach.
These communications reduce administrative overhead for you and can encourage proactive payment behaviour from your customers, helping prevent late payments and involuntary customer churn. If you’d like, you can even customise the messaging to enhance customer experience and build stronger relationships through clear, consistent communication.
Timely notifications also reduce confusion and disputes about billing, improving transparency and trust. With automation managing communication workflows, your team can focus on more strategic tasks instead of routine follow-ups.
5. Access to accurate information
Get instant access to accurate financial information, like sent invoices, received payments, and outstanding balances in one place. This precise and current data helps business owners better understand their cash flow and customer accounts, making it easier to make smart decisions. It also reduces mistakes from manual entry and assists with tax rules by automating calculations and reports.
Plus, having reliable records on hand makes accounting, reconciliation, and audits simpler for you, saving you time and reducing stress.
6. Customisable billing cycle
Recurring billing lets you customise how often you charge your customers, whether that's monthly, quarterly, annually, or based on their usage. This flexibility means you can create payment plans that suit what your customers prefer.
For example, you can offer special pricing, trial periods, or promotions without making things complicated. It also helps keep customers happy by matching payment schedules to their cash flow and actual usage.
For small businesses, this kind of adaptable billing makes it easier to attract different types of customers and grow smoothly, all while keeping your payments organised and efficient.
How to set up recurring billing with Netcash
We make the process as easy as possible for you by providing a range of straightforward steps and support if you need additional assistance. Here is the easiest way to set this system up:
Step 1: Log in to your Netcash account
First, log in to your Netcash dashboard and navigate to Services > PayNow > Card subscriptions > Manage subscription templates.
Step 2: Click "Add Template"
From here, you can create a new subscription plan for customers. Set and manage parameters such as the payment amount, frequency, and the number of collections in the cycle you wish to receive.
Step 3: Link your template
Now that all the parameters are set, you can easily link this template to a payment request. To do this, select Services > PayNow > Payment request > Create, and choose your subscription template.
Step 4: Fill in the details
Now, all you have to do is fill in the amount, description, and select the delivery method. Once your customer completes payment, the system automatically manages recurring charges based on your predefined template. You can also update or cancel subscriptions via the Manage card subscriptions section.
Netcash integration options
Netcash offers you several integration options suitable for various business needs in South Africa. These include:
- API integration: Netcash offers an easy-to-use API that lets businesses connect their own systems directly to the Netcash platform. This integration simplifies payment processing by automating transactions, supporting custom workflows, and reducing manual work and errors. Once set up, businesses can manage payments smoothly and focus more on their core operations without fussing over payment details.
- WooCommerce plugin: For eCommerce businesses using WordPress, Netcash offers a native WooCommerce plugin. It enables quick setup of secure payments, including card, Instant EFT, and subscriptions, without coding. This plugin also supports over 20 local payment options, simplifies order and payment management via the WooCommerce dashboard, and provides automated reconciliation with detailed reporting.
- Accounting programme integrations: Netcash is integrated with multiple popular accounting systems like Sage, Xero, Acumatica, and PropWorx. By using these alongside recurring billing, you can reduce human error and simplify the management of payments and audit reports.
- Secure web services: Netcash offers developers secure web services (NetConnector) for integrating retail, accounting, billing, and payroll platforms to unify payment data and improve efficiency.
- Multiple payment methods: Netcash supports credit and debit cards (Visa, Mastercard, Amex), Instant EFT via Ozow, Bank EFT, QR payments, Buy Now Pay Later (BNPL), and voucher payments, all accessible through these integration methods.
Ready to simplify how your customers pay you?
Create flexible, secure subscription plans that fit your business — in just a few clicks.
Choosing the right option
There are a few things you should keep in mind when choosing online payment methods for your online business. Choosing the wrong one could frustrate customers, increase cart abandonment, drive potential customers away, and cost you money.
Here are some factors to consider to ensure the right payment options for smooth checkout experiences, smiling customers, and increased sales:
1. Offer a variety of payment options
Don’t just settle for two or three options; opt for a mixed bag that can cater to a broader audience. This is where a bit of research comes in. Find out what your customers’ preferred payment methods are.
Are you selling to young adults who are tech-savvy and budget-conscious? Offer them flexible payment methods like BNPL or PayShap. Does your business render services to mature adults who stick with what they trust? Be sure to have Mastercard and Visa available.
2. Go for the option that suits your budget
Start by comparing the setup costs, pre-transaction fees, monthly fees, and hidden charges to establish which payment methods are the most cost-effective for your sales volume.
3. Consider the settlement speed
Check how quickly funds reach your account, depending on how fast you need your cash flow to be. Some options, like PayShap, are instant, while EFTs can take a few business days to settle.
4. Consider integration and user experience
It’s best to choose a payment method that can easily integrate with your website/eCommerce platform and shopping carts. Optimal integrations can help ensure a smooth, mobile-friendly checkout process, which further enhances your customers’ user experience.
5. It should have robust security and fraud protection
If your payment options are not secure, it can lead to financial loss to both you and your customer base, and subsequently a loss of loyal customers too. You have to ensure trust by choosing payment methods that are tightly secured.
Look for security features like PCI DSS compliance, encryption, 3D Secure, and other fraud prevention tools to protect yourself and customers.
6. Ensure the payment method can scale with your business
Scalability is an essential factor to consider, as you’d want the chosen method to handle increasing transaction volumes as your business grows. Look for a payment processor that can support high-volume transactions with the necessary tools and support for scaling up.
Frequently Asked Questions
Are you ready to implement automated billing into your business with Netcash?
Automating your recurring billing with Netcash will not only simplify your payment processes but also ensure timely collections, boosting your business’s cash flow.
You can trust Netcash’s PCI-compliant platform, already helping countless South African businesses automate their billing with ease. It’s flexible, user-friendly, and integrates with your existing accounting software, giving you complete control without complexity.
Take the next step now, streamline your billing with Netcash, and focus on growing your business. Start automating your recurring payments today.
Start streamlining your cash flow today.
Chat with a Netcash Payments Advisor and find the smartest way to automate your billing.
Author:
Velda Morris
Key Accounts Manager
Stay in Touch
Velda Morris is a seasoned business development expert with a proven track record of success in the financial services and payments industry. With over three decades of experience, Velda brings a wealth of knowledge and a customer-centric approach to every engagement. As a Senior Business Development Manager, she is adept at identifying new opportunities, tailoring solutions to client needs, and driving growth. Velda's strong communication and negotiation skills, coupled with her solution-oriented mindset, make her a valuable asset to any organisation.
