Cloud9’s industry expertise is ready-made to deliver powerful technical accounting for XaaS businesses of any size in a short period of time.
Cloud9 offers diverse expertise in technical accounting services such as audit readiness, audit review, and revenue recognition.
ABOUT THE CLIENT
In California’s Silicon Valley, a well-known Software as a Service (SaaS) company had recently surpassed $100 million in Annual Recurring Revenue (ARR) and was seeking to access capital markets for an equity growth funding round to accelerate its international growth. The finance and accounting team was well staffed for daily operations; however, the capital raise presented a new challenge and required additional time and attention for investor diligence and information requests, which risked delays in the completion of the financial statement audit.
Through a connection made between the Silicon Valley and Boston chapters of The CFO Leadership Council, the Company CFOs requested a proposal for services and engaged Cloud9 Advisory in three days.
Cloud9 deployed a team of four and was collaborating with the accounting and finance teams located in three different US cities the very next day.
THE GOAL
The goal of this project was to assist management with financial reporting objectives and priorities to ensure deadlines were met.
This was at first limited to revenue recognition (ASC 606) areas and evolved to include other key reporting requirements.
IN COLLABORATION WITH
Cloud9 was able to successfully collaborate remotely across the country to assist the client’s team of the CFO, Vice President & Global Corporate Controller, Senior Director of Corporate Accounting, and the Senior Manager of Revenue Operations.
CFO
Vice President & Global
Corporate Controller
Senior Director of
Corporate Accounting
Senior Manager of
Revenue Operations
External
Auditor
THE CHALLENGE
Time-sensitive: Deadline fast approaching for completion of corporate audit creating urgency in an already stressful corporate environment.
Technical Accounting and Industry Expertise Required: Mastery of the products and services, deliverables and contract types used by the company is crucial for revenue and cost recognition models of technology-based entities.
THE PROCESS
Upon receiving access to all relevant financial documents, Cloud9 was diligent about taking full stock and reviewing each one for maximum revenue recognition toward the client’s goal. Despite being thousands of miles apart, Cloud9 maintained strong communication throughout the engagement – making sure to respect the client’s time and budget.
Per current ASC 606 standards, the remaining contracts were reviewed and calculated before the deadline by developing a custom model to show revenue summaries and recommendations. The model added new calculated column fields in the existing dataset to facilitate various reporting requirements under GAAP and conform to the company’s KPI management reports. These new models would become standard practice for the client moving forward.
THE SOLUTION
Cloud9 supported the finance team through its audit journey with audit-ready work products including documentation to memorialize management considerations as well as supporting calculations, reconciliations and discussion for interim fluctuation analyses.
“Thank you again for all the hard work… The work was fantastic and helped a ton!”
– Senior Manager, Revenue Operations
Supercharge your business’s potential with Cloud9 Advisory, Inc. Our team of experienced professionals who have been in the CFO seat before can curate solutions for your organization’s most complex problems. As your strategic partner, we can be a source of leverage or a sounding board for all your financial needs. Your success story begins with a single click.
