The impact of the revenue recognition accounting standard, ASC 606 / IFRS 15 has been felt far and wide. The ASC 606 standard turned what had been a judgment-based means of recognizing revenue into a principle-based, five-step process for revenue recognition. The standard is intended to provide consistency and transparency in revenue recognition regardless of the industry involved.
The Anschutz Entertainment Group (AEG) is a leading worldwide sporting and music entertainment presenter, which owns and operates a collection of sports, entertainment, and real estate interests around the world. When ASC 606 was announced, AEG started the search for a cloud software solution to implement and execute the five-step process for its sponsorship advertising revenue recognition, which had greatly increased in complexity, given the requirements the standard.
AEG also saw an opportunity to operationalize the new revenue recognition guidance with automation to advance their existing process. From what could be viewed as a required compliance exercise, the company believed they could emerge with a strategic revenue process that was stronger than ever.
AEG found the solution to meet the ASC 606 and IFRS 15 requirements while also automating their existing processes in SOFTRAX. With the SOFTRAX Revenue Manager System, AEG found a solution that did not require customization, was based on 20+ years of industry knowledge and success, and that provided enhanced automation that would allow AEG to achieve a level of automation where they could continue to grow the revenue volume on the platform without a corresponding human capital extort in the accounting.
Download the full AEG Case Study to better understand their challenges and how SOFTRAX helped provide solutions that brought efficiency and automation to their organization.