Show me the revenue!
From our accounting software to our inventory management systems, we at Surrey Hills Accountancy are no strangers to using cloud-based software. Having several years’ experience and some of our earliest clients being SaaS businesses, the challenges faced for accurate accounting in this business model is something we are well acquainted with.
Deferred Revenue – If not now, then when?
With subscription-based invoicing, when and how to recognise revenue can pose an issue with real-time management accounts and having accurate end of year position.
- Do you offer monthly, quarterly and/or annual invoicing to customers?
- Are there supplementary invoices based on usage?
- How does your revenue recognition compare to your contractual MRR figure?
SHA specialises in a full review of your revenue data to produce a robust and consistent revenue recognition policy and procedure for your business. Depending on the data available, we can provide a monthly, weekly or even daily accurate level of deferred revenue recognition.
If prior year data is available, we can also complete comparative results of old vs. new method with bridge analysis for clear evaluation of the variance. This could give valuable insights as to how the revenue has developed year or year on a customer/product level basis.
Can’t See the Analysis for the Data
With so much data at our fingertips, it is easy to get lost in a sea of numbers with no real meaning. Summarisation and understanding are at the forefront of our reporting, tailored to your businesses KPIs and requirements.
We can work closely with your businesses other data sources e.g. CRM systems and contractual information, to enable reconciliations between data sets. Inconsistencies can be identified and interrogated side by side of the revenue recognition analysis.
Having helped several of our customers through company sales and funding proposals which hinged on the visibility and accuracy of revenue recognition, SHA are confident we can provide the level of precision needed in your business.