FinancialForce.com, the cloud applications company, announced today the launch of FinancialForce Revenue Recognition, the newest addition to the company’s suite of cloud-based applications for the back office. Built on the Salesforce Platform, the product will help organizations simplify the process of gathering information for revenue recognition, performing the appropriate calculations and generating the accounting entries in line with accounting standards, while maintaining a consistent, controlled and auditable record of revenue.
Today, businesses are adding new and more complex revenue streams including multi-element arrangements, which combine multiple types of revenue activity on a single transaction. For example, multi-element arrangements might include product shipments, professional service engagements and recurring revenue streams such as subscription-based revenue all on a single invoice. Accounting rules require that each of these elements are recognized and treated independently, which drives accounting teams to use complicated spreadsheets in attempt to meet the requirements. This results in inefficient and error prone processes that lack appropriate controls, audit trails and visibility of recognized revenue.
FinancialForce Revenue Recognition, one of the first cloud-based revenue recognition apps on the Salesforce Platform, puts revenue recognition processing closer to revenue sources to improve efficiency and audit trails. It allows companies to easily pull information from revenue generation activities and create recognition workflows based on trigger events tracked on the Salesforce Platform. This provides a clean audit trail and complete visibility of revenue recognition activity.
As a native application on the Salesforce Platform, the revenue recognition application can easily gather revenue information from objects on the platform. This includes Salesforce objects such as opportunities, cases and contracts; FinancialForce Billing invoices and credit notes; FinancialForce Professional Services Automation (PSA) activities including projects, timecards, expenses; and custom objects developed by customers themselves.
“FinancialForce Revenue Recognition is changing the way we look at projects,” said Jocelyn Fennewald, financial analyst at Ahead LLC. “We now have access to accurate information on revenue by project so we can see how our projects are performing and act accordingly. Not only will this save us time, but also money previously lost to unbilled time.”
FinancialForce Revenue Recognition allows real-time revenue calculations and postings so customers can examine the revenue impact at any time. The application provides graphical views, dashboards and reports showing recognized revenue and revenue yet to be recognized. Unlike spreadsheets, the information is all stored in a secure, auditable and controlled location available online anytime and anywhere.
"Flexibility is key to Revenue Recognition. Accountants often find themselves using spreadsheets to manage and track information the way that is required by their businesses and by revenue recognition regulations," said Christine Dover, Research Director, Enterprise Applications and Digital Commerce Research at IDC. "With a standalone application like FinancialForce Revenue Recognition, finance teams will have a product that can be set up to match revenue recognition requirements without being tied to other processes such as billing. They will gain the accuracy, automation and auditability that is critical to any accounting system."
“Organizations are struggling with revenue recognition because it’s complex and difficult for older, product centric ERP systems to contemplate,” said Jeremy Roche, president and CEO of FinancialForce.com. “With FinancialForce Revenue Recognition, we are simplifying this complex process by taking revenue recognition to the cloud on the Salesforce Platform, allowing customers to accurately collect revenue information and gain real-time control of this compliance and risk sensitive area of the business. Our app will reduce the time spent on the process, give companies greater control and provide complete visibility of their revenues from soup to nuts.”
FinancialForce.com offers back office applications on the Salesforce Platform that eliminate the barriers between sales, service and finance. FinancialForce Revenue Recognition can be used as a standalone application and generate journal entries for your ERP application of choice or combined with FinancialForce.com’s accounting and professional services automation applications for a seamless back office solution.
FinancialForce Revenue Recognition is available today.
FinancialForce.com is the cloud applications company. We build the #1 Accounting, Professional Services Automation and Billing applications on the Salesforce Platform. We serve fast-growing organizations and dynamic enterprises, helping them to align Finance, Sales and Service in a way that enables profitable growth. We are backed by two of the biggest and best players in the business, UNIT4 and salesforce.com/.
Leslie Grant, SHIFT Communications
P: 415-591-8454 - E: lgrant[.]shiftcomm.com.