Offering net 30 payment terms on Shopify B2B is a setting. Deciding who gets terms, how much credit each buyer can carry, and what happens when an invoice goes overdue is a policy, and the policy is what protects your cash flow. Most Canadian wholesalers turn terms on, then discover they have no credit limit, no hold rule, and no clean view of what each buyer owes. This guide covers the policy side: setting terms, sizing a credit limit, enforcing it at checkout, and collecting on time.
This is the operating-rules companion to embedded B2B financing and trade credit, which covers who carries the risk. Here we cover how to manage it account by account, alongside wholesale account approval and AI accounts receivable automation.
01. The Quick Answer: Net Terms Are a Setting, Credit Limits Are a Policy
- Net terms: Shopify B2B assigns terms such as net 30 to a company location so buyers can check out without paying immediately.
- Credit limit: the maximum a buyer can owe you at once. As of this writing it is not enforced natively at checkout, so you add the rule.
- Source of truth: your accounting system holds the real open balance, so the credit check should read from it.
- Best first move: write a one-page credit policy before you touch a single setting.
02. At-a-Glance: What Shopify Handles and What You Build
| Layer | What Shopify gives you | What you add |
|---|---|---|
| Payment terms (net 30, net 60) | Assigned per company location in Shopify B2B | The policy for who qualifies and for which term |
| Credit limit | Not enforced natively at checkout as of this writing | A limit field, a checkout rule, or an app that blocks or flags over-limit orders |
| Open balance | Order and invoice status in the admin | A sync with your accounting system, which holds the true receivable |
| Reminders and credit hold | Invoice emails | Flow or CRM automation for overdue reminders and holds |
Why it matters: the gap between a payment term and a credit control is where wholesalers get hurt, a buyer on net 30 with no limit can keep ordering long after they should have been stopped.
03. Why Credit Policy Matters More in 2026
Self-serve wholesale portals mean buyers can place orders at any hour without a rep in the loop, so the human check that used to catch a risky order is gone. Tariff-driven cost pressure has also tightened margins, which makes every unpaid invoice more expensive to carry. A written, automated credit rule replaces the rep's judgment call with something that runs on every order.
Why it matters: the more you automate ordering, the more you need to automate the credit decision that used to sit with a person.
04. How Net 30 Payment Terms Work in Shopify B2B
In Shopify B2B, payment terms are assigned to a company location. A buyer at that location checks out without paying right away and receives an invoice due on the agreed schedule, such as net 30. You can use different terms for different locations, so a long-standing distributor can sit on net 30 while a new account pays up front. Terms can be combined with catalogs and price lists, covered in our guide to B2B catalogs and tiered pricing.
Why it matters: terms set at the location level let you grade risk account by account instead of giving every wholesale buyer the same deal.
05. Setting Credit Limits That Match Real Risk
A credit limit is the most a buyer can owe you at one time. Start new accounts low, or on prepayment, and raise the limit as they build a record of on-time payment. Base the limit on the buyer's expected order value over one or two ordering cycles, plus what a credit check and trade references tell you. The ceiling should be an amount you could lose without it hurting payroll.
Why it matters: a limit you could not afford to lose is not a limit, it is a hope that the buyer pays.
06. Enforcing the Limit at Checkout
There are three common ways to enforce a limit. The first is to store the limit as a company metafield and use a checkout validation function to block or flag an order that would exceed it. The second is a net terms app from the Shopify App Store that tracks balances and limits for you. The third is to have Shopify Flow route over-limit orders to an approval step. Whichever you choose, pull the open balance from your accounting system or ERP, since store orders alone do not show payments received.
Why it matters: a limit checked against stale or partial balances either blocks good customers or lets bad ones through.
07. Reminders, Credit Holds, and Getting Paid
Automate a reminder a few days before the due date and again at set intervals once it is overdue. At a threshold you choose, flip the account to prepay until the balance is cleared. If you charge late fees, state them in your written terms in advance, and have a lawyer or accountant review the wording, since Canadian rules apply. Sync the status to HubSpot so the account owner sees a hold before they promise a delivery date.
Why it matters: collections go smoother when the rule is automatic and the salesperson is not the one delivering bad news.
08. A Six-Step Setup for a Canadian Wholesaler
- 1. Write a one-page credit policy. State who qualifies for terms, the default term, the starting limit, and what triggers a hold. A written rule removes the case-by-case arguments that slow down your sales team.
- 2. Use a standard credit application. Collect legal name, business number, years in business, trade references, and a bank reference. Pair it with the approval flow described in our wholesale account approval guide.
- 3. Size the limit from real numbers. A common starting point is the buyer's expected order value for one to two ordering cycles, then raise it as they pay on time. Never set a limit higher than a loss you could absorb.
- 4. Store the limit where the order can see it. Keep the limit and term on the company record, such as a company metafield, so checkout rules, Flow, and your CRM all read the same value.
- 5. Enforce it at checkout. Use a checkout validation rule or a net terms app to block, or route for approval, any order that would push the buyer over their limit, using the open balance from your accounting system.
- 6. Automate reminders and the credit hold. Send reminders before the due date and at set days overdue. At a set overdue threshold, flip the account to prepay until it is cleared.
Why it matters: the order matters, policy first, data second, automation third, otherwise you automate a rule nobody agreed on.
09. How AtlanticWorks Helps
AtlanticWorks is a certified Shopify, HubSpot, Google, and Salesforce partner working with manufacturers, wholesalers, retailers, and DTC brands across Atlantic Canada, the rest of Canada, and the US. We set up Shopify B2B terms and company accounts, build the credit limit and checkout rules, connect your accounting system so balances are accurate, and automate reminders and holds. It starts with a free assessment of how your current terms and collections are working.
10. Key Takeaways
- Shopify B2B assigns net payment terms such as net 30 to each company location, but a credit limit is a rule you add, not a switch you flip.
- A good credit policy fits on one page: who gets terms, which term, the starting limit, and what triggers a credit hold.
- Store the credit limit on the company record so checkout rules, Shopify Flow, and your CRM all read the same number.
- The accounting system holds the true open balance, so the credit check should read from it instead of guessing from store orders.
- Automated reminders and a credit hold protect cash flow without turning the sales team into a collections team.
11. Frequently Asked Questions
What is a credit limit in B2B?
A B2B credit limit is the maximum amount of unpaid invoices a wholesale buyer is allowed to carry with you at one time. It is set per account, based on the buyer's credit history, size, and how much risk you are willing to take. Once the buyer's open balance plus a new order would pass the limit, the order is held, approved by a person, or paid up front instead of going out on terms.
What does net 30 mean on a wholesale invoice?
Net 30 means the full invoice amount is due 30 days after the invoice date. Shopify B2B lets a merchant assign payment terms such as net 30 to a company location, so the buyer checks out without paying immediately and is invoiced on schedule. Some sellers add an early payment discount, such as 2 percent if paid within 10 days, to speed up collection.
Does Shopify B2B enforce a credit limit?
As of this writing, Shopify B2B assigns payment terms to company locations but does not natively stop an order when a buyer is over a credit limit, so merchants add that rule themselves. The usual approaches are a credit limit stored as a company metafield with a checkout validation function or Shopify Flow, a third-party net terms app that tracks balances, or a connection to the accounting system that holds the real open balance. Check Shopify's current B2B release notes, because native capabilities keep expanding.
How do I decide which wholesale accounts get net 30?
Use a short credit application and a repeatable rule. Collect the legal business name, years in business, trade references, and bank details, and run a credit check. Many wholesalers start new accounts on prepayment or a low limit, then move them to net 30 after a few on-time orders. The important part is that the rule is written down and applied the same way to every account.
What should happen when a buyer is late paying?
Automate a reminder schedule before and after the due date, then place the account on credit hold if an invoice passes a set number of days overdue, so new orders require prepayment until the balance is cleared. Late payment charges must be stated clearly in your terms in advance, and the wording has legal requirements in Canada, so have your lawyer or accountant review them before you publish them.
Can a small Canadian wholesaler offer net terms without a finance team?
Yes, if the policy is simple and the data is connected. A one-page credit policy, a standard application, credit limits stored on the company record, and automated reminders handle most of the work. The accounting system stays the source of truth for balances, and the store reads from it. When volume outgrows that, a financing provider or trade credit insurance can take over part of the risk.
Related resources
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