Revenue Recognition Insights

The world of revenue recognition is undergoing a dramatic transformation. As businesses increasingly adopt AI-driven pricing models, consumption-based billing, and complex hybrid arrangements, traditional approaches to revenue recognition are being stretched to their limits.

In this episode, LogiSense‘s Tim Neil sits down with RightRev CEO, Jagan Reddy, to explore the evolving world of revenue recognition in the age of usage-based and AI-driven pricing models. Discover key lessons from building scalable revenue platforms, learn how to manage hybrid contracts, overages, and rollovers, and understand why accurate forecasting is now mission-critical […]

Before overhauling your revenue recognition and other accounting processes, it’s crucial to understand the different types of practical expedients, which ones organizations should use, and what technologies will help finance teams make the most of them.

We recently asked senior finance leaders what actually slows them down during close, how confident they feel about the process, and what they’d do with that time if close was easier and faster.

A journal entry for revenue recognition is the official line in the general ledger where revenue shifts from “deferred” to “recognized.” However, under ASC 606, this isn’t just an accounting formality—it’s a compliance-critical milestone that directly impacts audit readiness, financial health, and executive reporting.

Today, the momentum to achieve that goal is accelerating as we close almost $13 million in Series A funding, bringing our total funding to over $31 million. 

Controversial as they may be, tariffs have long been a tool for governments to generate revenue and protect domestic industries. However, their recent reintroduction is rippling through both private and public companies’ financial reporting, particularly under ASC 606.  

Started by a pioneer in the revenue recognition automation space, RightRev is built on decades of revenue accounting experience. We’ve taken all of the learnings from building our first revenue solution, RevPro, and used that knowledge to build a truly, next-gen revenue recognition subledger. 

SaaS companies are becoming more creative in their contract structures, offering bundled services and discounts, experiencing frequent contract modifications, and utilizing event-based revenue recognition.

In 2023, 41 SEC enforcement actions involved material weaknesses or revenue misstatements—the highest in recent years. Additionally, 58% of IPOs reported material weaknesses in their initial filings, underscoring systemic issues in financial reporting.

In certain ways, revenue reporting systems function similarly to revenue recognition solutions. They both track revenue to its source, aim to post it to the right account in the general ledger, and are essential to support your company’s financial performance. 

Revenue recognition audits are some of the most stressful parts of accounting, especially when juggling multi-element contracts, variable consideration, and contract terms that seem to change overnight.