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05-21-2019
09:54 AM
05-21-2019
09:54 AM
Capital Asset Depreciation for Subscription model
Context: Not a software company. We sell hardware (traditional transactional selling today).
Maybe it is straight forward. For companies who use to be transactional selling (HW) and moving into subscription model, how are you handeling the finance team change management of balance sheet and cashflow?
The fear factor of cashflow and identifying how to best manage capital asset. Are you doing straight forward depreciation over life of asset and recognizing revenue and cashflow over time? Or is there something more creative that you are doing?