ASC 606 Compliance Without the Headaches
Under the existing rules-based revenue recognition guidance of ASC 605 startups and small-to-medium size businesses (SMBs) – generally those with less complex revenue models — were able manage their enterprise revenue recognition process with spreadsheets.
However, under the new revenue recognition guidance of ASC 606 — because it is principles-based and therefore more complex, even for businesses with simple revenue models — managing their enterprise revenue recognition process with spreadsheets is virtually impossible.
August Consulting’s Revenue as a Service (RaaS) automates startups’ and SMBs’ entire enterprise revenue recognition process enabling them to achieve ASC 606 compliance – including the requirements of dual accounting during the transition process – in three easy steps:
We work with you to identify your company’s revenue streams, contract types, performance obligations and all other revenue data points that impact the revenue recognition process and determine define the rules that apply to that information.
Next, we use that information to design, configure August Consulting’s secure and proprietary Revenue-as- a-Service (RaaS) application, which is capable of handling a variety of different revenue business models including:
After the one-time setup, on a predetermined frequency (weekly / monthly) we will:
- a) Upload data extracted from your accounting system into the RaaS application
- b) Process the data and make modifications/updates as needed based on your requirements
- c) Report outputs to ensure all required revenue recognition use cases are satisfied