Your client loves your software! They bought 20 licenses last fall expiring in seven months, but they want 10 more licenses now. Co-terminating the two orders means we can pro-rate the new licenses and then, all licenses will expire at the same time.

TekStack software handles this seamlessly. How does it work?

Place the second order and it rolls up into the first. New licenses are discounted for the first five months of the annual subscription-a negative amount. From the date of the second order, all licenses are charged the annual rate monthly. On expiry, they can all be renewed together.

Why would you want to co-terminate your orders?

1. It uses existing pricing. As the sales person, avoid having to look up the original pricing. Save time and conveniently apply the same pricing. It’s already filled in for you—no need to research.
2. It aligns invoicing and renewals. Co-termination combines your orders so that subscriptions are invoiced together, and they renew together. Makes life simpler!

Here’s how it happens:

Order #1 Seven Months Ago

Create an opportunity and add the product. You want 20 licenses.

Click the name of the product to display the Opportunity Line.

Under the General tab, you can change the following fields:

• Quantity
• Price per Unit
• Discount per Unit
• Invoice Schedule (only available if options placed on the product)

Under the Subscription tab, you can change the following fields:

• Subscription Start
• Subscription Start Date (if you select Specified Date above)

Now you can turn this opportunity into a sale! Click Closed as Won. You’ll confirm the Close Date and enter Decision Factors. Close the pane.

At this point, it is likely your Revenue Operations group will review the opportunity and then Generate the Order.

The Generate Order button creates the following:

• Order
• Order line
• Order line history
• Invoice
• Invoice Line
• Revenue

Order #2 Now

Create a new opportunity and add the product. You want 10 more licenses.

Return to the Opportunity Summary and refresh. The Co-terminate button appears.

Click Co-terminate. The Active Orders message appears displaying a list of related orders.

Select the related and original order (Order #1) from seven months ago—it now becomes the new order. Your second order has been co-terminated with the first order.

But wait, your second opportunity is still open! You must click Closed as Won. Once again, you’ll confirm the Close Date and enter Decision Factors in another pane. Close the pane. 

Once your Revenue Operations group has reviewed the second opportunity (the co-terminated order), they will Generate the Order.

After this you can see how the order quantity has changed with the co-termination and how the revenue is generated.

1. From the Summary tab of this Opportunity, click the Order name to open the order. Under the Products & Services tab, you will now see the product with the quantity changed to the total number of licenses you wanted--in this case, 30.
2. Click the product name to open the Order Line. Click Revenue. Here you will see the licenses for the new order discounted for each period that the original licenses were not used. From the date of the second order, each set of licenses is invoiced monthly.

3. From the Order Line, click Opportunity Lines to see the two opportunities that were co-terminated.

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