How do the best SaaS CFO’s help their companies win their market? By providing data for faster decision making: when to hire, how to invest, where to double down. For this reason, cutting close time should always be a top goal of SaaS companies. That involves constantly scanning the horizon for anything that might get in the way of a smooth and fast closing process.
In particular, some of the most notorious culprits that bring the close cycle to a grinding halt include:
If the attributes we just outlined are getting in the way of a smooth and accurate close cycle, is there anything you can do about it? Absolutely!
Companies have begun to expect their CFO’s to adopt a more active role and do more than report the numbers. Increasingly CFO’s are expected to act as key strategic players in their organisations.
As the CFO of a recurring revenue company, one of your top responsibilities is streamlining the “daily financial minutiae” to the best of your ability. Doing so allows you to focus on longer-term strategic issues that will keep your enterprise thriving for years.
In particular, you should look for an accounting software suite that can achieve the following:
No matter what kind of SaaS company you run, investing in cloud accounting automation will help you cut down on areas where you’re wasting time and money.
Planning ahead and getting a computerised crystal ball for your revenue scenarios is essential to closing quickly and accurately.
When it comes to improving your financial planning and analysis, accounting software can help you:
There’s one other aspect of the close cycle we haven’t touched on yet.
Many SaaS companies operate internationally or act as parent companies to global subsidiaries. For these firms, consolidation can be a massive hurdle to closing the books quickly and confidently.
Accounting software can turn that around by allowing you to:
Automation is exactly what you need if the consolidation process has been a thorn in your side like it is for so many companies.
For recurring revenue CFO’s, FP&A and the close cycle offer tremendous opportunities for improvement when paired with a forward-thinking, automation-based approach.
The Akuna Solutions Team