NetSuite
Leveraging NetSuite Capabilities for Advanced Revenue Recognition
Simplify Revenue Recognition with ARM
NetSuite’s cloud-based enterprise resource planning (ERP) Advanced Revenue Management (ARM) module enables companies to effectively comply with revenue recognition standards requirements.
ASC 606: Revenue from Contracts with Customers
In May 2014, the Financial Accounting Standards Board (FASB) issued new revenue guidance that replaces existing U.S. GAAP and IFRS guidance and introduces a new model to account for revenue from contracts with customers and the related sales commissions and fulfillment costs. For many companies, the impact across the business has been significant—and the impact on financial systems tops the list. Learn more about ASC 606.
NetSuite’s Advanced Revenue Management provides automated management of fair value pricing, revenue recognition arrangements, and contract pricing allocations, allowing companies to efficiently manage and control the revenue recognition process.
MorganFranklin can assist with
Process automation for revenue recognition
New implementations of ARM
Conversions of legacy revenue recognition to ARM
Managing or converting prior period transactions to comply with the new standard
Preparing dashboards and reports to manage and track revenue recognition and demonstrate compliance
Managing or converting prior period transactions to comply with the new standard
How an ARM Implementation Benefits You
- Achieve revenue recognition compliance under ASC 606
- Automate revenue forecasting, allocation, recognition, reclassification, and monitoring through rule-based event framework
- Defer revenue recognition according to the configured rules
- Allocate revenue to performance obligations based on ratios derived from established Standalone Selling Price (SSP)
- Improve visibility to revenue schedules and revenue forecasts
