I Created a License Subscription with the Wrong Sales Unit — How Do I Update It?

Modified on Wed, Oct 22 at 5:04 PM

Applies To: Work 365 (Dynamics 365 / Power Platform)
Audience: Billing Teams, Administrators, Provisioning Teams

Overview

If a License Subscription was created with the wrong Sales Unit (for example, Monthly instead of Annual), Work 365 will calculate incorrect pricing and billing intervals. You can safely correct this by changing the Sales Unit and letting Work 365 realign cost and selling price from your Product + Price List configuration. This guide shows you exactly how—plus what to verify so invoices remain accurate and audit-ready.

Steps to Correct the Subscription

1) Open the Subscription

Go to Work 365 → Subscription Management → Subscriptions and open the affected record.

2) Clear current pricing (so Work 365 can repopulate)

On the Subscription form, clear:

Unit Cost
Selling Price per Unit

Why: Clearing these values allows Work 365 to pull fresh pricing from the mapped Price List Item after you change the unit.

3) Change the Sales Unit

Set Sales Unit to the correct value (e.g., Annual, Quarterly, etc.).
Save the record.

Before you save, confirm:

The Product exists on the Price List assigned to the Billing Contract.
That Price List contains a Price List Item for the target Sales Unit (with the correct Unit, Cost, and Price per Unit).

Result: After save, Work 365 recalculates pricing automatically from the Price List Item when a matching product/unit exists.

4) Update related LCLs (License Change Logs)

If prompted “Do you want to update uninvoiced License Change Logs?” choose Yes.
If you bulk-edited and did not see a prompt:
- Open the affected LCLs and ensure their Sales Unit matches the subscription.
- Save the changes.

Important Considerations

Defaults matter: Sales Unit defaults from the Product Catalog. If the product defaults to Monthly, new subscriptions inherit Monthly unless you change it at creation.
Product–Price List coverage: If the Price List lacks a Price List Item for the chosen unit, Work 365 cannot recalc the price (you’ll see pricing remain blank or errors at invoice time).
Monthly normalization: Fields such as Monthly Unit Selling Price may be recalculated/normalized based on your unit mapping. Verify after save.
LCL alignment: If you change the Sales Unit but don’t update pending/uninvoiced LCLs, invoices can be wrong or fail to generate.
Effective date & proration: Changing the Sales Unit may create a price-change LCL. Use the correct Effective Date (on renewal vs. custom date) to control proration and when the new cadence takes effect.

Best Practices

Validate upfront: Double-check Sales Unit before saving new subscriptions.
Comprehensive price lists: For every sellable product, create Price List Items for each supported unit (Monthly, Quarterly, Annual, etc.) per currency.
Use unit mapping consistently: Ensure Work 365 → Administration → Application Settings → Unit Mapping reflects your intended periods (Monthly=1, Quarterly=3, Annual=12, etc.).
Fix at scale: Use Advanced Find / Modern Search to locate subscriptions where Sales Unit doesn’t match policy—then Bulk Edit.
Audit trail: Document corrections and notify Billing/Finance if the change impacts open invoices or forecasts.
Sandbox first: If this change impacts many records, test on a copy/subset in a sandbox.

Quick Checklist

✅ Product is on the Billing Contract’s Price List.
✅ Price List includes Cost and Selling Price per Unit for the target Sales Unit.
✅ Unit Cost and Selling Price per Unit cleared before changing unit.
✅ Sales Unit updated and Saved.
✅ Uninvoiced LCLs updated to the new Sales Unit (or prompted update accepted).
✅ Monthly Unit Selling Price (normalization) looks correct after save.
✅ Test an invoice preview to verify amounts and date ranges.

FAQs

Q: Will changing the Sales Unit retroactively reprice past invoices?
A: No. It affects pricing going forward (based on the LCL effective date and next invoice). Past posted invoices remain unchanged.

Q: I don’t see a matching Price List Item for the new unit. What now?
A: Create the Price List Item (Product + Unit + Price) on the Billing Contract’s Price List, then re-save the subscription so pricing repopulates.

Q: Do I need to touch usage or NRIs?
A: No. NRIs are one-time and not prorated; usage follows imported consumption intervals. This correction targets license subscriptions.