What is a common use case for a billing plan type?

Milestone billing is a common use case for a billing plan type because it allows businesses to invoice their clients at specific points in the project lifecycle. This approach is particularly useful in industries such as construction or large project management, where payments are contingent on the completion of predefined stages or milestones.

By using milestone billing, companies can better manage cash flow, ensuring that funds are received in alignment with project progress. This method also provides transparency to clients, as they can see that payments are being made in relation to specific achievements or deliverables.

While other billing types like advance billing, final billing, and recurring billing have their own purposes, they cater to different scenarios. For example, advance billing is used when payment is required before any service or product delivery occurs; final billing typically occurs at the end of a contract to settle all outstanding amounts; and recurring billing is used for ongoing services charged at regular intervals. Milestone billing stands out because of its structured approach to invoicing throughout a project's execution.