How large enterprises can solve complex B2B billing at scale

Every company in the world needs to get revenue in the door.

Every company in the world needs to get billing right.

What does this look like in the Enterprise? 

Let’s focus on large scale B2B billing (or B2B2X billing). Years ago things were very linear. A-B-C-D-E-F.

a.) Design something. b.) Build something. c.) Sell it. d.) Invoice for it. e.) Collect the money. f.) Recognize the revenue.

Today in many big companies this looks a lot different because so many companies have shifted to a Subscription business model or some sort of a hybrid business model with both traditional and subscription billing needs.

Today it might look like something that has these sorts of elements:

1. Start & End dates.
2. Upgrades & Downgrades.
3. Usage billing and Data Mediation (ex. billing off an IoT sensor)
4. Pause & Resume subscriptions.
5. Renewals and Evergreens.
6. And more...

The problem for most large companies is the two main systems they generally rely on to run the company (the CRM and the ERP) can’t handle this. Many find out too late.

The 3 offices in the Enterprise:

• The Front Office: The CRM (like Salesforce) is built for opportunity creation, CPQ, and quote generation which results in “an Order”. 
• The Back Office: The ERP (like Oracle) is built for HCM, Financials, and traditional invoicing (the ABCDEF from above).

You never want your billing process to be in the Front Office CRM. That is a "Sales process" and not where you want to have sensitive finance information floating around. You don't even want it "bolted-on" to the CRM. This is a recipe for long term disaster.

Invoicing generally belongs in (or closer to) the Back Office (in the ERP) because it’s a “Finance process”, it's more secure, and it's where your company's most accurate customer data sits. But the ERP doesn’t know how to deal with the concept of “time” when it comes to invoicing (such as SaaS).

So how do you solve for this? You need something to connect the CRM and the ERP that can handle both traditional and subscription billing. 

This is what RecVue solves.

The Middle Office: RecVue is a rules engine that sits in the Middle Office and is hitched to the ERP - so the ERP is now more powerful with Recvue for complete enterprise Order to Cash.

With RecVue you can handle any type of billing and at the line item.

1. One time billing (traditional)
2. Recurring billing (subscription)
3. Usage based billing (such as metered powered, data center, IIoT needs...)
4. Professional services

With RecVue you can put any and all of that on a single invoice, refer to a single contract or multiple contracts and amendments - and it will get it right without manual intervention.

Moreover, RecVue handles Partner payments so you can also pay commissions and payments to your channel partners, dealers, and independent contractors who bring your company revenue.

RecVue also automates Revenue Recognition. As billing is taking place Revenue is being calculated (current and deferred) in compliance with ASC606 and/or IFRS15.

Think about it this way.

1. There are vendors that specialize in ERP.
2. There are vendors that specialize in CRM.
3. There are vendors that do "Subscription" only billing on a Subledger.
4. Then there is RecVue which transforms the Middle Office for end-to-end "Enterprise Order to Cash".

So for large enterprises who need to move hundreds of millions, or billions of dollars through their organizations, RecVue operates at this massive scale and automates the process. RecVue can handle hundreds of millions of transactions per month and billions in invoice throughput.

If you are the CFO, Head of Accounting, Director of Revenue at your company and also have this challenge, feel free to reach out to me on an DM here on LinkedIn and I’ll get you a look into the RecVue platform for your organization. You might just save a few million dollars.

recvue.com

Tony