Frontier AILago has been able to follow the pace of our releases and has allowed us to focus on what we do best.
What usage-based billing software does
For a developer API, send usage events with stable transaction IDs and endpoint and region properties. Lago aggregates and prices each group, applies eligible credits, and creates invoice fees. Your connected payment provider collects payment.
Bill the way your business works
Lago supports every monetization model — pay-as-you-go, hybrid, prepaid, or enterprise thresholds. Combine usage with subscriptions, add-ons, or credits without building your own microservices.
Integrate seamlessly with your existing stack
Lago connects to CRM, ERP and tax systems such as NetSuite, Salesforce, Stripe and Anrok. Sync pricing and usage data across your stack automatically, ensuring accurate invoices without manual reconciliations.
Keep enterprise-grade control
Lago is SOC2 Type II compliant. Open-source enables hosting any way you want (cloud, on-prem, VPC, air-gapped) to ensure full compliance.
Usage-based billing is no longer difficult
Everything you need to bill for usage.
Resources
Billing is mission-critical. Lago is engineered for the realities of high-volume enterprises.
Empower all teams with usage data
Powering fast-growing AI scaleups.And global enterprises.
See how ambitious teams build and scale their billing with Lago.
Frontier AIUsage-based billing FAQ
Can I meter based on token usage or inference time?
Yes, Lago supports metering based on token usage, inference time, and other AI-specific metrics. You can track and bill for various usage patterns including API calls, compute time and resource consumption.
Do I need a usage-tracking backend to use Lago?
No, you don't need a separate usage-tracking backend. Lago provides built-in usage metering capabilities that can collect and aggregate usage data directly from your applications and services.
Is Lago a payment processor?
No — Lago is not a payment processor. We handle the billing logic, usage metering, invoicing and credit systems, but we don't process payments directly. Instead, you can connect Lago to providers like Stripe, GoCardless, or others to collect payments, refunds, and manage failed charges. Think of Lago as the brain behind your billing — your payment provider is just the final step.
Can I handle prepaid compute credits?
Yes, Lago supports prepaid credit systems. You can set up wallet-based billing where customers purchase credits upfront and consume them based on usage. This includes credit top-ups, balance tracking and automatic notifications.
What if I change my pricing logic later?
Lago is designed for pricing flexibility. You can modify your pricing models, add new tiers, change billing frequencies, and update usage-based charges without disrupting existing customers. Changes can be applied to new billing cycles or grandfathered for existing users.