Open Source Metering & Usage-Based Billing
The best alternative to Chargebee, Recurly or Stripe Billing.
For usage-based, subscription-based, and all the nuances of pricing in between.
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Engineers be likeâ€¦
Read more first-hand experiences from Qonto, Algolia, Pleo, Segment, or the 350+. Hackernews comments here.
The Solution: Lago, the open-source billing API for product-led SaaS - Event-based: if you can track it, you can charge for it; - Built for product-led growth companies; - Hybrid pricing: subscription and usage; - Hybrid go-to-market motion: self-serve and sales-led.
Open-source, open architecture: - Composable: connect Lago to any of your internal systems or tools (i.e. any payment gateway, CRM, CPQ, accounting software); - Pricing: weâ€™re not rent seekers, weâ€™re not asking for a % of your revenue. Our self-hosted version is free. Our cloud version is priced like a SaaS; - Privacy: your data never has to leave your infrastructure.
Lago launched its v0.1 on June 2nd, 2022. Lots of new features are coming, and are generally released on a bi-weekly basis. Watch updates of this repository to be notified of future updates. Take a look at our Public Roadmap!
Distributed under the AGPLv3 License. Read more here.
To start using Lago, run the following commands in a shell:
# Get the code git clone https://github.com/getlago/lago.git # Go to Lago folder cd lago # Set up environment configuration echo "LAGO_RSA_PRIVATE_KEY=\"`openssl genrsa 2048 | base64`\"" >> .env source .env # Start docker-compose up
You can now open your browser and go to http://localhost to connect to the application. Lago's API is exposed at http://localhost:3000.
Your API Key can be found directly in the UI:
Docker images are always updated to the last stable version in the docker-compose.yml file. You can use a different tag if needed by checking the releases list.
Lago uses the following environment variables to configure the components of the application. You can override them to customise your setup. Take a closer look are our documentation.
Get started with our free Lago Cloud version, request access: [email protected]
If you want to have a nice Lago Development Environment, you can follow this guide on how to make it works on your machine. This guide is intended for people willing to contribute to Lago. If you want to try Lago on your local system, we encourage your to look at the Lago public documentation.
You can contribute byt following our guidelines.
B2B SaaS has evolved, but billing has not yet.
Pricings are now mostly hybrid: they include a usage-based component (i.e. â€œif you use more you pay moreâ€�) and a subscription component (i.e. a recurring fee for basic usage).
Not all software companies will go full â€œusage-basedâ€� like Snowflake for instance. This model is the new standard for cloud infrastructure products. However, in other areas of SaaS, users want to know beforehand how much they will pay to control their spending and software companies want to be able to predict recurring revenues.
SaaS used to be either self-service (SMBs) or sales-led (Enterprises). Go-to-market now mixes the self-service (all customers access the same price plans) and sales-led (customers get a custom quote from a sales representative) motions. A typical journey involves an individual contributor in a company who tests a new tool, puts their corporate credit card in, and starts spreading the use of the tool within the organization. At that point, the VP or head of department might want to upgrade to a custom plan tailored to the needs of the whole organization. As a result, billing needs to be flexible, automated, and transparent enough to embrace this hybrid go-to-market motion as well.
Why do payment companies take a cut on revenues? Because the higher the amount, the higher the risk for them (e.g. fraud, disputes, etc.).
Why did billing companies adopt the same pricing structure? Weâ€™re not able to provide an answer that makes sense. Itâ€™s been said on the internet that they did this because they could (read more here).
Lago is agnostic and we aim at being as transparent as possible, so we wonâ€™t nudge or lock you into using a specific tool in exchange for using our billing API (learn more).