How to Invoice Clients for VR/AR Projects When Platforms Get Shut Down

When a platform disappears, invoices become the battleground — here is how to get paid fairly in 2026

You delivered a polished VR demo. The client purchased headsets and booked training. Then the platform announced it is shutting down. Now the client wants a refund and you are staring at unpaid milestone invoices and months of lost cashflow. If you build immersive experiences that depend on vendor platforms like Meta's Workrooms, this is an urgent business risk. In 2026, platform fragility is a normal part of the landscape; billing and contract design must reflect that reality.

Quick takeaways

• Bill against portable, verifiable deliverables (export packages, source assets, migration plans), not just access to a third-party app.
• Use retainers, holdbacks, or escrow to align incentives; typical holdbacks are 10–25% until migration or acceptance.
• Limit warranties and define shutdown remedies up front — offer migration work or credits rather than full refunds.
• Standardize deliverable handoffs so clients can run or port experiences quickly if a platform goes offline.

Why platform shutdowns are a billing risk in 2026

Late 2025 and early 2026 saw major shifts in immersive tech investment. Big vendors narrowed their portfolios, laid off Reality Labs teams, and announced product sunsetting. One high-profile example is Meta's decision to discontinue Workrooms in February 2026; this kind of action leaves businesses using that stack exposed.

Platform shutdowns create three direct billing problems:

1. Deliverables that depend on proprietary services suddenly lose value.
2. Clients demand refunds, credits, or remediation even if you delivered on time.
3. Payment disputes and chargebacks hit cashflow and increase Days Sales Outstanding.

Core principles for VR billing in fragile-platform projects

Design your invoices and contracts using these principles:

• Deliverable-first billing: Tie payments to the transfer of tangible, verifiable assets and documentation.
• Risk allocation: Assign platform-shutdown risk explicitly. If the client insists on a proprietary platform, price for that risk.
• Limited warranties: Offer targeted warranties (compatibility at time of delivery), not blanket guarantees for third-party availability.
• Escrow/holdbacks: Use payment mechanics to preserve leverage for post-delivery migration or bug fixes.
• Transparency and monitoring: Track vendor roadmaps and include sunset clauses tied to vendor notices.

Milestone billing models that work for immersive projects

In 2026, the best practice is a hybrid model: combine fixed-price milestones for defined asset handoffs with time-and-materials for uncertain platform adaptation. Avoid billing only for platform access or demo time.

Sample milestone schedule (recommended)

1. Discovery & Requirements — 15%: deliver SOW, risk register, platform assessment report.
2. Prototype / Vertical Slice — 20%: deliver a cross-platform playable demo with source files and export scripts.
3. Alpha Build — 20%: deliver alpha build, automated export, test cases, and build checklist.
4. Beta & Client UAT — 20%: deliver beta release, deployment scripts, and device image.
5. Launch & Handoff — 15%: deliver final binaries, full asset repository, admin playbook, migration plan.
6. Post-Launch Support & Migration Warranty — 10% (retained/held in escrow): release on successful migration or after warranty period.

This ties payment to items that still have value if a platform disappears: exports, documentation, and migration tools.

Retainers, holdbacks and escrow: how much and when

Retainers and holdbacks create leverage for the provider to finish migration tasks and for the client to secure remediation. Typical approaches in 2026:

• Initial retainer covering discovery and priority scheduling: 10–20% of the project value, non-refundable but credited toward the first milestone.
• Retention / holdback of final 10–25% until the client receives a documented migration/handoff package or until a defined warranty period expires.
• Escrow for larger projects: use an independent escrow provider to hold the holdback; release conditions should be concrete (example: successful import of exported assets into target runtime within 30 days).

Sample clause (for contracts and invoice terms):

The final 15% of the Project Fee will be retained in escrow and released upon Client confirmation that the Deliverables (source assets, export packages, and migration instructions) import successfully into an agreed target runtime within 30 days, or automatically released at the end of the 90-day Warranty Period if no migration defect is reported.

Deliverable handoffs: what must be included

To reduce disputes and make an invoice for platform-dependent work defensible, always include a standardized handoff pack. This is what clients can use to continue without the original platform.

• Source assets: 3D models, textures, shaders, scene files, audio, and original source project files.
• Export packages: glTF/GLB exports, APKs or executables for supported runtimes, WebXR bundles where possible.
• Build and deployment scripts: CI/CD definitions, container images, device images, and signing instructions.
• Dependency manifest: versions of SDKs, middleware, and third-party services used.
• Migration plan: step-by-step instructions for porting to at least one alternative runtime and an estimated effort level.
• Admin playbook: access credentials, device setup, troubleshooting checklist, and contact points.
• Verification artifacts: acceptance test cases, automated smoke tests, and recorded walkthrough video showing the build working.

Warranties, SLAs and limitation of liability for platform-dependent work

Clients often expect long warranties. For platform-dependent immersive work you should:

• Offer a compatibility warranty limited to the state of the platform at acceptance (for example: "Works on Platform X as of Date Y").
• Exclude vendor actions: explicitly state that vendor discontinuation or breaking API changes are outside provider warranty.
• Provide a remediation option: commit to migrate content to an alternative runtime at a pre-agreed rate or offer a fixed credit toward migration.
• Cap liability: include a reasonable aggregate cap (often the project fee or 1–2x monthly recurring fees) and exclude consequential damages.

Sample warranty language:

Provider warrants that Deliverables will operate on the Target Platform in substantially the same manner as demonstrated at Acceptance, provided that the Target Platform continues to support required APIs and services. Provider is not responsible for degradations or unavailability caused by third-party platform deprecation, vendor sunset, or force majeure events; Provider will offer commercially reasonable assistance to migrate Deliverables to an alternative platform under a separate migration statement of work.

Refunds, credits, and dispute resolution

Define a clear remediation ladder to avoid full refunds:

1. Repair: fix defects within a 30-day remedy period (included in the warranty).
2. Migration assistance: provide a discount or fixed-price migration plan.
3. Partial credit: when value is reduced but deliverables remain usable in another form (for example, 20–50% credit depending on remaining utility).
4. Refunds: allowed only when Provider fails to deliver the agreed portable deliverables, or under narrowly defined circumstances.

Invoice terms should reference this ladder. Example invoice text for disputed amounts:

Any disputes to invoice amounts must be notified within 14 days of receipt. Disputed funds will be placed in escrow while Provider corrects the issue; refunds will be governed by Section 8 (Remedies) of the Agreement and limited to amounts attributable to undelivered, non-portable work.

Invoice line-item examples: wording that prevents chargebacks

Use clear descriptions tying payment to deliverables and acceptance criteria. Examples:

• Discovery & Platform Risk Assessment — $4,500: Includes 20-page SOW, vendor sunset risk register, and cross-runtime migration plan. Payable on delivery.
• Prototype Export Package — $7,500: Includes glTF/GLB export set, source project, and video walkthrough. Payment due on delivery; 10-day inspection window.
• Final Launch & Handoff — $12,000: Final binaries, full asset repo, automated build scripts, and 90-day migration warranty. 15% retained in escrow.

Spell out acceptance windows and inspection criteria on the invoice: for example, 10-day acceptance window after delivery, with passive acceptance if no issues are raised.

Workflow templates — two short case studies

Case study 1: Avoiding a refund when Workrooms was discontinued

A learning firm built a remote training experience on Workrooms and contracted a studio in 2025. The studio used our milestone model and held the last 15% in escrow pending migration docs. When Meta announced Workrooms' discontinuation, the client asked for a refund. Because the studio had delivered a complete export package, device images, and a migration plan, they were able to: (1) negotiate a 10% credit for assisted migration, (2) release the escrow after a successful import into an alternative runtime, and (3) bill for migration hours at a pre-agreed rate. Outcome: no refund, provider received full fee plus migration revenue, client retained usable content.

Case study 2: Refund avoided through clear warranty and holdback

An enterprise commissioned an AR sales tool tied to a vendor-managed headset. The contract included a 90-day limited warranty and a 20% holdback. When the headset vendor stopped enterprise sales, the provider offered to port the tool to a WebXR fallback for 50% of the holdback. The client accepted, the holdback funded the port, and payments were completed. This preserved the relationship and avoided lengthy dispute resolution.

Tools and integrations for 2026 workflows

Practical tools you should use:

• Escrow services that support milestone releases (for example, independent escrow or legal-trust accounts).
• Payment processors with milestone features or integrations — Stripe Connect, Payoneer, or PayPal Payouts.
• CI/CD for XR: Git-based pipelines that produce repeatable exports (Unity Cloud Build, GitHub Actions with WebXR export steps).
• Accounting integrations: link invoices to QuickBooks or Xero, and tag retainers/escrows as liabilities until released.
• Monitoring and contract triggers: automated alerts when vendor roadmaps change (subscribe to platform status and vendor lifecycle feeds).

Advanced strategies and future predictions (2026+)

Expect more vendor consolidation and product sunsetting. Plan accordingly:

• Shift your pricing toward modular, portable assets and lower-cost migration bundles.
• Offer subscription-based support for ongoing portability and platform updates.
• Include a "sunset credit" in large deals — a fixed reserve to fund migration if a vendor sunsets within a given period.
• Insure major projects with technology errors and omissions (E&O) policies that explicitly cover platform deprecation risk when possible.

Checklist before you send the invoice

• Does the invoice tie to a specific, verifiable deliverable? If not, revise it.
• Have you reserved an appropriate holdback or escrow amount for migration support?
• Is the warranty language clearly limited to platform compatibility at acceptance and excludes vendor shutdowns?
• Did you attach the deliverable handoff pack or provide a secure download link?
• Are acceptance windows and dispute procedures spelled out on the invoice?

Final actionable steps you can implement today

1. Update your SOW template to require deliverable-format exports and migration plans for any platform-dependent work.
2. Introduce a 10–25% escrow/holdback on new contracts for platform-dependent deliverables.
3. Define a 10-day passive acceptance window in invoices to reduce late disputes.
4. Price migration options into proposals as optional add-ons with fixed estimates.
5. Subscribe to vendor lifecycle feeds and include a contract clause that defines the remedy in the event of vendor sunset.

Conclusion — adapt billing to an unstable platform world

Platform shutdowns like the discontinuation of Workrooms in 2026 are a reminder: immersive projects are only as durable as the platforms they run on. The gap between technical delivery and commercial value widens when a vendor disappears. By billing against portable deliverables, using retainers and escrow, standardizing handoffs, and limiting warranties, you protect cashflow and reduce disputes. These are not just legal tricks; they are practical ways to keep projects moving when platforms don't.

Ready to update your invoices and contracts? Download our VR/AR invoice and contract clause templates, or book a free 30-minute consultation to redesign your billing workflow for platform risk.

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