Still using spreadsheets for revenue recognition? Automate ASC 606 to close faster, cut errors, and stay audit-ready.
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Automate calculations for ASC 606 and IFRS 15
Ordway supports US GAAP and international standards for Revenue for Customer Contracts
Deferred Revenue Schedules
Configure rules to automate how and when revenue is recognized. Create deferred revenue schedules based upon the products, prices, and terms in the customer contract.
Recognize over time
Straight line, exact days, or fixed period models.
- Straight-line: (Prorated) For subscriptions and other long-term contracts, distribute revenue evenly across each month with prorated partial periods.
- Exact Days: (Prorated) For subscriptions and other long-term contracts, distribute revenue based upon a daily revenue amount.
- Fixed Period: For professional services engagements, recognize in the first few months or any subset of periods in the contract lifecycle.
- Custom: Configure schedules based upon historical patterns unique to specific business models.
Recognize at a point-in-time
Invoicing, activation, or at project milestones.
- Upfront: Upon invoice generation, order shipment, service activation, contract start, or other events in the first period of a contract.
- Milestones: For multi-phased projects, recognize revenue at discrete points in the lifecycle based upon milestones or deliverables.
- Usage: For variable and consumption pricing models that change month-to-month, recognize the amount to be billed in each financial period.
- End-of-Term: Backload or recognize in the last period of the contract term.
General Ledger Integration
Post to Quickbooks, NetSuite, Sage Intacct
Track deferred and earned revenue with journal entries in Ordway’s revenue sub ledger
Ordway’s revenue recognition platform captures details from invoices, collections, and credits from the billing engine, payment gateway, and accounts receivable modules.
Dedicated sub ledger
Revenue sub ledger, mapped to your chart of accounts, for detailed accounting of invoices, payments, and revenue schedules.
Journal entries
Automate creation of transactional journal entries for income, accounts receivable, deferred revenue, payments, credits.
Post to general ledger
Post individual journal entries for each transaction or just summary level entries to your general ledger or ERP.
Financial Close Automation
Reduce time for month-end processes
Close the books faster with automated approaches to controls, reconciliation, and cutoff from Ordway’s revenue recognition system.
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Event Procedures:
Integrate with CRM apps to capture new orders, upgrades, renewals, and cancellations to ensure completeness of contract change records.
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Foreign exchange:
Capture feeds of FX rates to enable reporting on unrealized and realized gains and losses due to changes in foreign currency exchange.
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Account reconciliation:
Query reports to investigate variances in accounts receivable, sales taxes, and cash from payment gateways.
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Sub-ledger cutoff:
Perform a journal entry run, identify unposted transactions, lock sub ledger accounts, and close the financial period.
Reduce Audit Risk
Transition from spreadsheets to software
Avoid the risks associated with manual processes. The automation from Ordway’s revenue recognition software-provides:
- Consistent application of revenue policies
- Stronger security and operational controls
- End-to-end audit trail of user and system activity
- Regression testing to reduce risk of errors
- Historical repository of all invoices and payments
Multi-Entity Revenue Recognition
Multiple currencies, GLs, legal entities, and tax jurisdictions
With Ordway’s revenue recognition you can enable growth through M&A and international expansion.
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Multi-currency:
Support different functional, transactional, and reporting currencies across invoicing, collections, and accounting activities.
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Multi-entity:
Separate accounting for different legal entities with different bank accounts and financial reporting requirements.
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Multi-ledger:
Publish journal entries from Ordway’s revenue sub ledger to multiple general ledgers and accounting applications.
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Multi-jurisdiction:
Report on sales taxes at the state and local level in the US as well as for GST and VAT in international jurisdictions.
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Multi-GAAP:
Generate journal entries that adhere to both US GAAP (ASC 606) and international (IFRS 15) standards for revenue recognition.
SOC 2 Certification
An independent accounting firm has reviewed and tested Ordway’s internal controls to confirm that they meet the AICPA’s rigorous requirements for security, availability, and processing integrity. For more details or receive a copy of the report contact us.
Revenue Recognition Software FAQs
Can Ordway help us switch from cash to accrual accounting?
Yes, many of our customers have switched from cash to accrual to support the needed for audited financials for investors, lenders, or other key stakeholders. Ordway’s revenue recognition software supports GAAP accounting under the ASC 606 and IFRS 15 standards. Ordway can supply the journal entries for revenue-related accounts to a general ledger for consolidation and presentation on the income statement, balance sheet, cash flow statement, and others.
Does Ordway’s revenue recognition platform include a sub ledger?
Yes, our revenue recognition software includes a proper revenue sub ledger, which can house the detailed journal entries for recognized and deferred revenue as well as those generated from billing, collections, credits, and other accounts receivable activities. Ordway’s sub ledger can be mapped to your chart of accounts and journal entries can be published directly into your GL.
List of integrations >>
Can Ordway report on Non-GAAP metrics such as ARR or MRR?
Yes, in addition to the GAAP accounting Ordway provides for revenue recognition, we can also report on all the popular SaaS metrics that investors want to see. For ARR/MRR we can report on totals, growth rates, and movements including new business, expansions, contractions, and churn.
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How can we publish journal entries to our accounting or ERP system?
Yes, Ordway can integrate with a number of the most popular accounting and ERP systems including the general ledgers for Quickbooks, Xero, Sage Intacct, and Oracle Netsuite. Our team will help you map the chart of accounts in your GL to the revenue sub ledger in Ordway as well as products, customers, and . At month-end (or more frequently), summary or detailed journal entries are published from Ordway to the GL.
Can Ordway publish to multiple general ledgers and/or multiple legal entities?
Yes, Ordway can be configured to published to one or more general ledgers from different accounting software providers. For example, if you are using Quickbooks in the US and Xero in Europe, Ordway can maintain separate sub ledgers for each legal entity and publish the appropriate journal entries to the respective GLs.
What types of reporting are included with Ordway’s revenue recognition system?
Ordway has standard reports for recognized and deferred revenue for all customers and subscriptions. You can drill down into the details of each customer to understand billing, AR balance, subscription, renewals. Ordway reports can be customized with filters to view selected date ranges, products lines, customer segments, currency types, and other criteria.
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See the industry’s most flexible revenue recognition software in action.
Latest on Revenue Recognition
Learn how SaaS and cloud companies apply ASC 606 revenue recognition for usage-based pricing. Includes real-world examples of how Twilio, DataDog, and Snowflake identify customer contracts, separate performance obligations, and determine standalone selling prices.
