How it runs for SaaS companies and venture-backed startups
Budget-to-actual by department and a trailing twelve-month view sit beside the current month so trends are visible without a separate analysis.
What is outsourced financial reporting?
Outsourced financial reporting means a remote accounting team prepares your periodic financial statements and management reports instead of an in-house controller. The team works from your own accounting file, applies a consistent close and review process, and issues a report pack on a fixed date each month. You keep the data, the software and the decisions.
What we handle for SaaS companies and venture-backed startups
- Recognized revenue by plan, segment and geography with MRR reconciled
- Gross margin after hosting, third-party API and support costs
- Operating expenses by department against budget with headcount
- Net burn, runway and cash by account with a 13-week view
- Deferred revenue roll-forward and SaaS metrics appendix
The KPI that matters here
Board-ready reporting pack delivered within 7 business days of month-end with every department variance over 10% explained.
SaaS compliance notes
ASC 606 and IFRS 15 revenue recognition
Revenue is recognized when performance obligations are satisfied: subscriptions ratably over the term, usage as consumed, implementation fees over the period your accountant determines, and multi-element contracts allocated on standalone selling prices. We apply the policy your CPA or auditor sets and document the judgment for each contract type. Investors and acquirers expect this from the first institutional round.
Deferred revenue and contract liabilities
Cash collected ahead of service is a contract liability, not income, and the balance must roll forward every month: opening, billings, revenue recognized, closing. We maintain that schedule by customer and contract and tie it to the balance sheet and to the billing system, which is the first thing a diligence team tests.
Sales tax, VAT and GST on software
SaaS is taxable in a large share of US states and subject to VAT or GST on digital services in the UK, EU, Canada and Australia, each with its own registration threshold. We track taxable sales by jurisdiction, configure Stripe Tax, Avalara or TaxJar where you use them, and prepare filing workpapers for your tax adviser. We do not provide tax advice or file returns; your adviser or registered agent does.
SaaS metrics and investor reporting
MRR, ARR, gross and net churn, net revenue retention, CAC payback and burn multiple are reported from reconciled billing and ledger data with definitions documented. Board decks, lender covenant reports and data-room packs use the same figures as the monthly close, so nothing needs restating at the next round.
SaaS software we work in
- QuickBooks Online
- Xero
- Stripe
- Brex
- Ramp
- Gusto
- NetSuite
- Sage Intacct
- Avalara
- Chargebee
- Recurly
- Maxio
- All 50 platforms
More for SaaS companies and venture-backed startups
Other services for saas
Financial reporting in other industries
Frequently asked questions
Can you report gross margin the way SaaS investors expect?
Yes, cost of revenue includes hosting, third-party APIs and data, payment processing, customer support and implementation staff, and the pack shows margin by product line where you track it. The definition is agreed with you and documented so it stays consistent from round to round. Infrastructure accruals keep the monthly figure honest.
Do you prepare lender covenant reports?
Yes, venture debt and revenue-based financing facilities usually require monthly or quarterly reports of recognized revenue, cash, burn and sometimes MRR or churn. We prepare them from the closed books in the lender's format for your signature. Because they come from the same close as the board pack, the two never contradict each other.
How does the reporting pack support a fundraise?
The monthly packs, deferred revenue roll-forwards and metric reconciliations are kept in LedgerDesk so a data room can be assembled from existing reports rather than new work. A trailing twelve-month view and cohort-level revenue support the investor's diligence. Your CPA and counsel handle the legal and tax parts of the round.
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