Credit limits for Shopify B2B customers
Shopify lets you give a company Net 30. It does not let you say how much it can owe. Terms Due adds a credit limit to every company and checks it on every order.
Why a limit matters
Payment terms decide when a buyer pays. A credit limit decides how much risk you carry while you wait. Without one, a buyer on Net 30 can place order after order before the first invoice is even due, and a slow payer can end up owing several months of stock.
Shopify's native B2B does not compare what a company already owes with a credit limit before an order goes through. Terms Due does, at checkout, every time.
How limits work in Terms Due
- Per company. Set a limit on each Shopify B2B company. New companies pick up a default you choose.
- Live exposure. The balance is every unpaid order on terms plus the order in the cart, so the check reflects what the buyer will owe if the order goes through.
- Soft or hard. Warn the buyer and flag the order for review, or block checkout until the balance comes down.
- Headroom on show. Buyers can see their limit, balance and available credit on their pay-now page.
- Change any time. Raise a limit for a busy season or drop it to zero to move a buyer onto pay-upfront.
Choosing the right limit
A common starting point is one to two times the buyer's typical monthly order value for Net 30 terms, rising as they build a record of paying on time. Our guide on setting credit limits for wholesale customers covers trade references, deposits and when to review.
Questions
Does Shopify have credit limits for B2B?
Shopify B2B has payment terms and, on some setups, the option to require a deposit, but it does not check a company's outstanding balance against a credit limit at checkout. Terms Due adds that check.
What happens when a buyer goes over the limit?
Depending on your setting, checkout is blocked with a message showing the amount over the limit and a link to pay, or the order goes through and is flagged for you to review.
Can a buyer pay by card to get around the limit?
Yes. The limit only applies to orders placed on payment terms. A buyer who pays in full at checkout is not blocked.
Related
Credit holds
Put Shopify B2B companies on credit hold automatically when an invoice is overdue or they pass their limit. New orders are blocked at checkout until they pay.
Read moreSetting credit limits
How to decide credit limits and payment terms for wholesale buyers: order value, trade references, credit checks, starting limits and when to review.
Read moreAging report
A live accounts receivable aging report for Shopify B2B: every open invoice in current, 1-30, 31-60, 61-90 and 90+ day buckets, by buyer, with CSV export.
Read moreStop chasing wholesale invoices by hand
Install Terms Due, set a credit limit for each buyer and let the app hold, remind and collect.
Install on Shopify