Understanding Entity Types and Feature Limitations
Prior to setting up recurring payments, it is important to understand that certain features in Canopy Payments depend on the business entity type associated with your account. Individual/Sole Proprietor accounts have limited functionality compared to Organization accounts, such as LLCs and Corporations.
This guide includes steps to transition to an eligible business entity type if needed for enhanced payment features.
Recurring Payments allow you to set a cadence of scheduled payments toward a client's recurring invoice. For help creating a recurring invoice, click here.
Please Note: If you sign up with Canopy Payments under an Individual entity, you are not able to save client payment information. Therefore, the recurring payments feature will not be available to those users. To set up recurring payments, you must be enrolled in Canopy Payments.
The recurring payments toggle cannot be activated until a Client Name has been assigned to the invoice.
Time Entries cannot be added to invoices that have recurring payments active.
Surcharging is not available for recurring payments. You still assume all fees for these payments. Additionally, organization accounts like LLCs and Corporations allow for saving client payment methods and setting up autopay for recurring invoices. Transitioning from an Individual/Sole Proprietor account to an eligible business entity type is required to unlock these features.
Transitioning to an Organization Account
If you currently operate under an Individual or Sole Proprietor account and require features like autopay or saving payment methods, consider transitioning to an Organization entity type. Here are the steps:
Form your LLC or register as a Corporation or other eligible entity.
Update your business bank account to align with the new business entity.
Cancel your existing Canopy Payments account through Settings > Billing Settings.
Reapply using the legal information and bank details of your new entity.
Gain approval to access advanced features such as recurring payments with saved payment methods.
Set Up Recurring Payments
1. Click on the Global + Button and select Payment from the slide-in menu.
2. Search for and select a Client to apply the payment to.
You must have a Recurring Invoice set up to apply the payment to.
3. Select Recurring payment from the Payment type dropdown.
4. Choose a recurring invoice in the Select recurring series box.
The payment series will only apply to future invoices. Previously sent invoices will require a one-time payment entry to pay off.
5. Use the Pay on dropdown to charge the payment on either the Due Date or the Invoice Date.
6. Click Continue.
7. Select a Payment method for the payment.
Refer to the knowledge base article for Saving Client Payment Information for help adding new payment methods.
Default payment methods are chosen by default.
8. Click Continue.