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Usage & Billing Strategy

Executive Summary

Brief overview of the MLC (MECLABS Compute Credits) system, usage tracking, and billing model for MeclabsAI.com with OrganizationTeamUser hierarchy.

Business Objectives

  • Primary goals and success metrics
  • Revenue targets and growth strategy
  • User experience priorities

Token Usage Tracking

What We Track

  • AI model token consumption (input/output)
  • Voice transcription minutes
  • Image processing credits
  • File upload/storage usage
  • API calls and rate limits

Technical Implementation

  • Real-time usage collection
  • Aggregation and storage strategy
  • Analytics and reporting
  • Usage limits and throttling

MLC (MECLABS Compute Credits) System

Credit Model

  • MLC Currency: Universal credit system for all AI operations
  • Credit-to-token conversion rates by model type
  • Monthly credit allocation per subscription plan
  • Rollover and expiration policies
  • Overage handling and additional credit purchases

Credit Types

  • Base MLC: Monthly allocation included in subscription
    • Reset monthly, no rollover
    • Revenue recognized over subscription period
    • Non-refundable (subscription-based)
  • Bonus MLC: Promotions, referrals, onboarding credits
    • Longer expiration (3-6 months) to drive engagement
    • Marketing expense, not revenue
    • Non-refundable promotional credits
  • Purchased MLC: Pay-as-you-go add-ons
    • Never expire or longer expiration periods
    • Revenue recognized immediately
    • Refundable under standard policy

Credit Consumption Priority

Credits are consumed in order of expiration to maximize customer value:

  1. Expiring bonus credits first
  2. Base monthly credits second
  3. Purchased credits last (longest expiration)

Billing Strategy

Subscription Plans (Organization Level)

PlanPrice/MonthMonthly MLCIncluded KitsExtra KitsTarget Market
BUILD$4956,0000$20 eachSmall teams and startups
SELL$99518,00010$20 eachGrowing businesses
SCALE$2,99575,00045$20 eachLarge enterprises

Billing Cycles

  • Monthly vs annual billing
  • Proration logic
  • Grace periods
  • Dunning process

Payment Methods

  • Primary: Credit card processing via Stripe
  • Enterprise: Net-30 invoicing (annual contracts only)
  • Auto-renewal: Enabled by default with 7-day advance notification
  • Failed payment handling: 3-attempt retry cycle with account suspension after 7 days
  • Refund policies: Pro-rated refunds within 30 days for annual plans; standard terms for monthly

User Experience

Usage Visibility

  • Real-time usage dashboard
  • Usage alerts and notifications
  • Billing history and invoices
  • Cost optimization tips

Upgrade/Downgrade Flows

  • Plan switching logic
  • Credit adjustments
  • Feature access changes
  • Communication strategy

Technical Architecture

Data Models

Organization

  • Subscription plan (BUILD/SELL/SCALE)
  • Monthly MLC allocation (6,000 / 18,000 / 75,000)
  • Billing information and payment methods
  • Included org members (5 / 12 / 30)
  • Included customer kits (0 / 10 / 45)

Team (Workspace)

  • Organization relationship
  • MLC budget allocation (12 org members for SELL, 30 for SCALE)
  • Usage tracking

User

  • Kit (seat) assignment
  • Individual usage tracking
  • Team membership

MLC Ledger

  • Credit transactions (purchases, allocations, expirations)
  • Usage debits by model type and operation
  • Balance tracking with 90-day expiration policy
  • Consumption priority: expiring bonus → base monthly → purchased credits

Integration Points

  • Payment provider (Stripe)
  • Analytics systems
  • Customer support tools
  • Monitoring and alerts

Data Retention Policies

  • Usage data: 24 months for billing accuracy and dispute resolution
  • Payment data: 7 years per financial regulations
  • Credit transactions: Permanent retention for audit trails
  • User content: Per customer data processing agreements

Privacy Considerations

  • GDPR compliance for EU customers
  • SOC 2 Type II certification requirements
  • Data encryption in transit and at rest
  • Customer data isolation and access controls

Regulatory Requirements

  • PCI DSS compliance via Stripe partnership
  • CCPA compliance for California users
  • International tax compliance for multi-currency expansion

Implementation Roadmap

Phase 1: MVP

  • Basic usage tracking
  • Simple credit system
  • Manual billing

Phase 2: Automation

  • Real-time tracking
  • Automated billing
  • Self-service portal

Phase 3: Optimization

  • Advanced analytics
  • Dynamic pricing
  • Usage predictions

Partner Program Strategy

Certified Partner (Reseller) Program

  • Revenue Share: Partners retain 40% lifetime commission on all platform revenue they generate
  • MECLABS Retention: 60% of partner-driven revenue
  • Expansion Benefits: Scales distribution into niche markets without additional direct sales overhead
  • Partner Economics: At standard pricing, partners earn substantial recurring revenue while MECLABS maintains profitable margins

Partner Support Structure

  • White-label ADS capabilities for partner branding
  • MEC1000 Guild track: "Build Your Partner Business" playbook
  • Dedicated partner success resources
  • Commission tracking and automated payouts

Success Metrics

  • Average revenue per user (ARPU)
  • Credit utilization rates
  • Partner program growth and commission payouts
  • Churn by pricing tier
  • Support ticket volume
  • Payment failure rates

Open Questions

  • [ ] MLC rollover policy (monthly vs quarterly)
  • [ ] Kit (seat) management and permissions
  • [ ] Team-level MLC budget controls
  • [ ] Handling of abuse/fraud
  • [ ] Enterprise custom pricing beyond SCALE
  • [ ] Multi-currency support timeline
  • [ ] Credit sharing between teams within organization