When new financial regulations are rolled out, accounting departments are filled with angst as they contemplate changes needed to become compliant. Oftentimes, the change involves finding workarounds for the workarounds already in place to meet current requirements. The new ASC 606 and IFRS 15 revenue management guidelines represent significant change. Have you started thinking about how your organization will adapt and your escape from relying on Excel reports?
Now, while 2018 (for public and public non-profit companies) and 2019 (for private and private non-profit companies) might seem a long way off, deadlines have a habit of creeping up on us, as we all know. Putting off changes for too long is only going leave you in last minute panic/firefighting mode; not a great place to be in. Plus, you may find it impacts you sooner than you think if you’re a public company with contracts that will extend past the start date.
Start planning now and you’ll be rightfully smug when the time comes to discuss the changes with the company’s executives and your peers in the industry.
What does it mean for you?
The new standards are going to bring changes to the way contract revenue recognition works, and the process for booking and reporting contract revenue is getting complicated. This is especially true if you’re still using a sneaky spreadsheet here and there, because the day is coming when managing the data without an automated solution will be near impossible.
Intacct will facilitate the transition so your team can relax, knowing you have handled the recognition and reporting requirements. We’re urging our clients and prospects to automate now what will otherwise require some serious accounting gymnastics. Silverware and Intacct can make your life easier.
Say sayonara to spreadsheets
If you’re not already taking full advantage of Intacct’s functionality — and by that I mean you’re using multiple programs and/or a mix of underpowered or outdated accounting programs along with a myriad of spreadsheets — you will find life more complicated with these changes. And let’s face it, with the risk of human error that comes with Excel reports and the time spent to manage the spreadsheets, is it really worth continuing to rely on processes based on Excel reports?
One of the great things about Intacct accounting software is that when these changes happen, your ERP system is already way ahead. The recent release of Intacct Contract Revenue Management, an automated solution addressing the new guidelines, means you’re completely covered:
- Automate all your processes around revenue reallocation, expense repayments, and subscription billing.
- Calculate any impact the new standards will have on your current processes at transaction-level with the relevant forecasting capabilities.
- Handle dual reporting needs, if necessary.
Whatever changes your organization needs to make to follow the new guidelines, Intacct will smooth the way. If you have questions about Intacct, or about the upcoming changes, please give us a call. And if you’re ready to grow your business, get your free organizational readiness assessment.