Revenue Recognition.
Audit-defensible, contract by contract.
Leah ingests sales contracts, identifies performance obligations, allocates transaction price, and computes recognition schedules. ASC 606 and IFRS 15 compliance, with the audit memo generated alongside the entry.
ASC 606 lives in the contract. Most recognition workflows live in spreadsheets.
Multi-element bundles classified inconsistently
Software, services, support, and training bundled into one deal get split differently by every analyst who touches them. Performance obligation boundaries shift quarter to quarter, and the audit trail does not survive the people who drew the lines.
Performance obligations buried in contract prose
Distinct goods and services hide inside paragraphs about scope, deliverables, and milestones. Identifying them requires careful reading of every order form, MSA, and SOW. Most teams sample, then hope the sampling held.
Transaction price allocation done by hand
Standalone selling prices, residual approaches, and adjustment ratios are recomputed in spreadsheets for every complex deal. Formulas break across versions. Allocations that worked last quarter no longer reconcile in this one.
SSP estimates rebuilt every quarter
Standalone selling price analyses are reconstructed from scratch each close. Historical pricing data lives in disconnected systems. The methodology drifts, and the audit memo has to defend a different number every period.
Audit memos drafted from scratch
Every complex contract requires a position memo. Every memo is written by a different person, in a different format, citing different sections of the standard. Auditors ask the same questions every year, and the answers are reassembled by hand.
Restatement risk grows with deal complexity
As deals get larger and bundles get richer, the chance of a misclassification compounds. SOX deficiencies surface late. Restatements, when they happen, trace back to recognition decisions made years earlier with no surviving rationale.
From signed contract to structured performance obligations
Leah reads every order form, MSA, SOW, and amendment. She identifies distinct performance obligations, captures delivery patterns, and maps each obligation to the structured data the recognition engine needs. No manual abstraction, no inconsistent classification across analysts.
“The first time we ran Leah against a quarter of bookings, she identified two obligations our team had been bundling for years. The treatment was wrong, and we had no idea.”
Revenue Recognition Lead, Enterprise Software Company
Five steps from signed contract to audit-ready recognition
Leah integrates with the systems you already run. No rip and replace. Value from the first close after deployment.
Connect
Leah integrates with your CLM, CPQ, billing, and ERP systems. Order forms, MSAs, SOWs, billing schedules, and recognition entries flow into a single intelligence layer without replacing any existing system.
Ingest Contracts
Every signed contract is read and parsed. Order forms, master agreements, SOWs, and amendments are linked into a single contract graph with effective dates and party hierarchy preserved.
Identify Performance Obligations
Distinct goods and services are identified per obligation, with delivery pattern, service period, and contractual evidence captured. Bundles are decomposed consistently across the portfolio.
Allocate Price
Standalone selling prices are computed from historical pricing data. Transaction price is allocated across obligations using the appropriate method, with variable consideration constrained where required.
Generate Schedules and Memos
Recognition schedules are produced per obligation. Position memos, SOX control evidence, and auditor workpapers are generated automatically and version-controlled for the close.
Got Questions? Get Answers.
Leah identifies distinct performance obligations within bundles by reading the contract, applying the ASC 606 distinct-and-distinct-in-context tests, and citing the supporting contract language. Each obligation receives its own SSP, allocation, and recognition pattern. Bundles that were classified inconsistently across analysts get a single, repeatable treatment.
Leah computes SSP from your observable transaction history, applying directly observable, adjusted market, residual, and cost-plus approaches as appropriate. SSP analyses refresh continuously as new transactions land, rather than being rebuilt every quarter. The methodology and supporting evidence are captured in the audit memo for each affected obligation.
No. Leah operates on top of your existing CLM, CPQ, billing, and ERP systems. Contracts continue to live in the CLM, billing schedules in the billing system, and journal entries flow into NetSuite, SAP, Oracle, or Workday. Leah reads from those systems, runs the recognition layer, and writes recognition entries back with full traceability.
Modifications are evaluated against ASC 606 paragraphs 18 through 21 to determine whether they create a new contract, are accounted for prospectively, or require cumulative catch-up. Leah applies the right treatment per obligation, recomputes the schedule, generates the catch-up entry where required, and updates the position memo with the modification rationale.
Auditors receive a structured package per contract: the position memo following the five-step ASC 606 framework, the SSP evidence supporting the allocation, the recognition schedule with assumptions, the SOX control attestations, and the underlying contract artifacts keyed to the contract identifier. Most customers report a measurable reduction in audit questions year over year.
Yes. Leah is deployed by public companies with strict data security and SOX requirements. Contract content does not train Leah's underlying models. Customer data is encrypted in transit and at rest. SOC 2 Type II, GDPR, CCPA, HIPAA-ready, and ISO 27001 aligned. Private instance deployment is available for customers with strict data isolation requirements.
