Subscription Revenue Recognition with Configurable Rules
Without the right technology, revenue recognition can become an incredibly time-intensive process for Subscription businesses. Don’t get caught living in spreadsheets to manage contract start dates, end dates, service activation, deferred revenue, realized revenue, and all the other endless accounting inputs. Our configurable, ASC 606 compliant, subscription revenue software streamlines all of these making your processes seamless. RightRev offers all of these capabilities out of the box and more-from transaction groupings to complex allocation calculations, RightRev frees up your revenue teams by automatically processing contract data, calculating revenue schedules, releasing deferred revenue, and so much more.
Subscription providers can offer ramp pricing, which adjusts based on demand, supply, timing, or other market conditions. The dynamic nature of ramp pricing can make it challenging to allocate revenue from a ramp transaction.
Multi-Element Arrangements (Bundled Contracts)
For contracts that include a combination of products such as subscriptions, services, and hardware components, RightRev can combine these elements into a single contract and recognize revenue based on the Performance Obligations and rules defined for each component, including SSP.
Revenue accountants consider discounts in step three of the revenue recognition model, but the standalone selling price becomes complex in step four, especially when combining discounted products or services in a single contract.
Sales teams like promotions because they help to secure a sale, and customers are happy to receive a free gift, for example, free of charge, a trial period, or a product to complement a purchase. However, they create complexity and increase risk because revenue accountants have to assign a value to the item, nonetheless, a process typically completed manually.
Milestones or Percentage of Completion
One-time charges’ revenue is not always recognized when billed but may be included in rateable billing schedules based on milestones linked to project stages or a percentage of the project that has been completed.
The consumption model, linking revenue to customer usage, complicates revenue recognition depending on the contract structure. Revenue can be recognized in the prior period if invoicing is future-dated.
Don’t let system limitations hinder growth; we understand the headaches associated with product customizations, so we built RightRev with the ability to accommodate any subscription revenue recognition use case out-of-the box.
Transform your accounting team into a growth driver instead of a cost center
Achieve up to 100% revenue recognition automation for zero-touch accounting
in customer revenue processed through RightRev
Close the books 5X faster so you can spend time on more strategic initiatives. In a third-party analysis, RightRev demonstrated a 5X faster close than alternative solutions.