Join the waitlist

Audit file prep for SaaS companies.

A subscription business is a deferred revenue schedule with a company attached. The standard pack ties the books and flags revenue cutoff; your reviewer concludes under ASC 606.

What every file gets

The pack is the same on every file, in every industry. It is built from the client’s QuickBooks books and the documents your firm sends.

Lead schedules
Every trial balance account classified to a US GAAP line, in Excel and PDF, with prior-year final, per-books, adjustment and final columns.
Tie-out of the draft
The client’s draft statements re-added and every line agreed to the trial balance. Differences are findings about the draft, never silent changes to the books.
Fixed-rule ledger checks
Revenue cutoff, duplicate payments, journal entry testing, split purchases, opening balances, flux analysis, bank reconciliation and more. Each finding names its rule.
Proposed entries
A finding cites the evidence line and the standard, and proposes an adjusting entry. Nothing is posted to the books.
Review trail
A reviewer decides each finding and records a reason. Initials and dates travel with the working papers.
Inputs received and missing
The file shows what arrived and what did not, tied to the findings that need it.

Where the judgment sits on a SaaS file

These areas decide the file. Industry-specific schedules are not part of the standard pack. Whether CORAA drafts any of them for a given file is agreed on the intake call before anything is uploaded, and what is not agreed stays with your team.

Areas your team will spend its time on

  • Deferred revenue rollforward
  • Contract sample support
  • Capitalized commissions
  • Capitalized software

Typical PBC items from the client

PBC items from the client

  • Billing system export with invoice dates and service periods
  • Deferred revenue waterfall or schedule
  • Customer contracts for the sample, with amendments
  • Commission plan documents and commission payout reports
  • Software development time and payroll allocations
  • Cap table and equity award listing

Where SaaS files go wrong

Billings recognized as revenue
Annual invoices booked straight to revenue.
Multi-element contracts
Implementation, support and subscription bundled into one price.
Credits and concessions
Credit memos issued after year end for service in the year.

What stays with your firm on SaaS files

Fulfilled by CORAA means CORAA AI drafts the file and CORAA Network reviewers clear every flag, with a line-by-line review log. Your manager and partner then review it as they would any staff-prepared file. Your firm keeps the client, the engagement letter, the professional judgment and the signature.

CORAA never signs, issues or reports on anything, and never contacts your client unless you ask us to. Your first audit is free, so you can judge the pack on a real file. After that the fee is flat, set by entity size, and messy books are included.

Free resources for this work

Guides, templates and calculators on this site that cover the same ground. All free to use.

GuideSaaS Revenue Recognition Audit: Multi-Element Contracts, SSP and Hosting LicensesGuideSaaS Deferred Revenue and Capitalized Commissions: Auditing ASC 340-40GuideCapitalized Software Audit: ASC 350-40, ASC 985-20 and ASU 2025-06TemplateAudit Program: SaaS and Software CompanyTemplateDeferred Revenue Rollforward and Ratable RecomputeTemplateASC 606 Revenue Recognition ScheduleToolDeferred Revenue Waterfall Schedule (ASC 606)ToolASC 606 transaction price allocation by relative SSP

Questions firms ask

No. The conclusion under ASC 606 is your reviewer’s. The revenue cutoff check flags invoices billed before delivery.
The billing export and the deferred revenue schedule are PBC items your firm collects. Whether the file can tie them to the ledger is settled on the intake call, and the reviewer sees what is missing.
Valuation inputs and conclusions stay with your firm. Whether any equity award schedule is part of a given file is agreed on the intake call. See the startups page for venture-backed entities.
Fulfilled by CORAA means CORAA AI drafts the file and CORAA Network reviewers clear every flag with a logged reason. Your manager and partner then review it and your firm signs.
Your first audit is free. After that, a flat fee per audit, set by entity size. Messy books are included, never a surcharge.

Sources: FASB ASU 2014-09, Revenue from Contracts with Customers (Topic 606)

More in industries
IndustriesStartups and venture-backed companiesPreferred stock, SAFEs and equity awards: the pack, the PBC list and the judgment areas.IndustriesStaffing firmsGross versus net revenue, payroll liabilities and receivables: the pack, the PBC list and the judgment areas.IndustriesBanks and credit unionsLoans, allowance and deposits: the pack, the PBC list and the judgment areas for institution files.
For US CPA firms

Join the CORAA waitlist

CORAA AI drafts audit working papers from your client’s QuickBooks books and does the first pass: lead schedules, tie-out, memos, draft notes and letters. CORAA Network reviewers clear every finding. Your firm reviews and signs.

  • First audit free, so you can judge the quality on a real file
  • Flat fee by entity size; messy books included
  • We work only with CPA firms, never their clients
See how it works →

* required