Originally posted on SaaStr.com.
The importance of subscription renewals in overall business performance today has created opportunities for the CFO role to expand beyond finance to play a bigger part in strategy around customer experience and satisfaction. But, that isn’t all that’s changed.
With SaaS came real-time data that allows us to make important business decisions with a great deal of accuracy. Audits are easier than ever and we can quickly accurately show potential investors a 360-degree view of business viability. As a result, raising capital is a lot less stressful. And although the benefits of moving to this model are easy to see, understanding the difference between managing the financial operations of a traditional business and recurring revenue model is critical.