Happy Business Starts Here

Valued Scholar

Revenue Recognition based on Initial Term



Customer wants to use Initial Term as based of revenue recognition. Customer is offering Annual plan with 2 year contract. Customer is not using Salesforce, its Zuora UI only.


Question : what is the best way to forcast/view revenue for second year? Running billing in advance to genrate Invoice for second year is an option.


Is there any other option?


Note : Term start date may not be the same as Contract Effective or Service Activation date. Customer acceptance is not in use.