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Rev Up Your Business with Revenue Intelligence: The Power of Deferred Revenue and Expansion Revenue

SmartKarrot

This is where revenue intelligence comes into play, helping companies to gain valuable insights into their revenue performance, identify growth opportunities, and drive profitability. In this blog, we will explore two key areas of revenue intelligence: deferred revenue and expansion revenue.

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Benchmarking WorkDay's S-1 - How 7 Key SaaS Metrics Stack Up

Tom Tunguz

WorkDay deploys its professional services teams at the outset of a customer’s engagement with WorkDay when all the systems integration and data processing must be completed. In contrast, WorkDay typically signs 3-5 subscription year agreements, so the subscription revenue is a substantial annuity of long duration.

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New ARR and CAC in Price-Ramped vs. Auto-Expanding Deals

Kellblog

GAAP revenue. $1M. GAAP unbilled deferred revenue. $5M. ASC 606 revenue. $2M. ASC 606 revenue backlog. $4M. When I look at this is I see: GAAP is being conservative and saying “no cash, no revenue.” When I look at this is I see: GAAP is being conservative and saying “no cash, no revenue.”

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Are You Counting Payments as Renewals?

Kellblog

It can lead to large long-term deferred revenues which can hinder certain M&A discussions. Think: large balance of cashless revenue from suitor’s perspective.). 4] I’d argue that when you define your customer success process that you should treat these two customers identically. 2] 0.75 > 0.9^3

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The Best SaaS Blog Posts and Resources Library

Chart Mogul

Guide to SaaS Revenue Recognition and Deferred Revenue in SaaS by Ben Murray, The SaaS CFO SaaS revenue recognition is an ongoing priority for SaaS accounting teams. However, most SaaS companies I have spoken with are incorrectly recording their most important revenue stream. Track NPS as a core, monthly metric.

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Unprepared for SaaS Due Diligence?

SaaSX

SaaS companies are expected to have a relatively low cost to deliver revenue (15-30% depending on services mix). If you’ve got any customer support or customer success wages or other costs down below the line in opex, they’re getting re-classed. If you have $6M in deferred revenue and 10% COGS you’ll take a $600,000 hit.

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Revenue Backlog: How to Define, Calculate, and Help Your SaaS Business?

SmartKarrot

The simplest way of tracking it is by keeping a close tab on the difference between your revenue target and your revenue backlog. But, you cannot possibly use deferred revenue in place of revenue backlog. The reason is revenue backlog remains constant while deferred revenue fluctuates a lot.