Cloud-Based Platform Automates Complex Processes, Streamlines Billing, and Eases Revenue Recognition in One System
Canton, MA – Dec. 8, 2022 – SOFTRAX, a leading provider of cloud-based revenue management solutions, today announced the release of the SOFTRAX Revenue Management System (RMS), which provides the industry’s first and only combination of sophisticated order management, billing, contract renewal management, and revenue recognition software in one system. The SOFTRAX RMS supports one-time, milestone, subscription, consumption, and renewal billing to allow the swift roll-out of new billing models as well as ease the transition from legacy billing systems. The Platform offers one of the world’s most flexible and robust revenue recognition systems available, building on more than 20 years of revenue management excellence. With the SOFTRAX RMS, companies have a single-system approach to offer a variety of billing models and manage revenue recognition to allow transparency and ease compliance with standards like ASC 606 / IFRS 15.
The SOFTRAX RMS launch comes as companies are offering more complex billing models — including consumption and subscription – while needing to keep ahead of revenue recognition requirements, as well as the disclosure reporting needs of ASC 606 / IFRS 15. Existing SOFTRAX clients handle complex milestone bill schedules, sometimes containing more than 100 milestones, many of which are contingent on a future event. They deal with multi-faceted subscription and consumption billing challenges, including having to incorporate minimums, tiering, overages, multi-product tiers, and all associated change events (pause, resume, cancel, credit, upsell, and down-sell). Additionally, they manage complicated contract renewal requirements, such as accounting for allowable upticks, co-termination of contracts, and the continual tracking of contracts through all stages of renewal. Clients also handle the revenue recognition complexities of ASC 606 / IFRS 15, including the need to unbundle line items into multiple performance obligations, to determine and maintain Stand-alone Selling Prices (SSP) and proportionally reallocate order revenue against these SSPs. And, finally, clients are mitigating contract modifications and combinations and the need to revalue variable consideration and deal with material rights. The new SOFTRAX RMS combines all these capabilities into a single platform for revenue management.
The SOFTRAX RMS draws on the company’s pioneering ‘Doubtless Revenue Accounting’ (DRA) to provide innovation in revenue accounting. DRA includes SOFTRAX’s core Policy Engine, which automates the assignment of billing and revenue recognition treatments, dramatically reducing the need for human touch. This is augmented by SOFTRAX Proactive Control, which provides a granular security/credentialing system, and SOFTRAX Audit Reports, which shine a light on changes made to existing policies and any manual changes made outside of the core policy-based processing. SOFTRAX operates in a continuous release environment, providing a frictionless upgrade path and ensuring agility for its business partners. The SOFTRAX RMS represents the next generation of functionality used in complex back offices such as 3M, Epicor, AEG, and Park Place.
“Changes in regulation combined with new billing models have added pressure to an already complicated system of revenue accounting. Companies need a revenue management system that can keep pace,” said Tom Zauli, General Manager of SOFTRAX. “There is a tremendous opportunity to take automation, compliance, and business agility to a new level, and SOFTRAX is far down this path via our efforts in Doubtless Revenue Accounting. By offering powerful billing and revenue recognition capabilities in one system, SOFTRAX RMS offers a state-of-the-art means for optimizing management, compliance, and profitability.”
For more information, check out the SOFTRAX Revenue Management System today.