SaaS
SaaS books that match recurring revenue.
MRR, margin, and runway. Built into your fractional finance department.
Book a callBusinesses we’ve helped
Rio Analytics Captain AI Seaquyl Rio Analytics Captain AI Seaquyl What SaaS books need to show
Five views that sit on a clean close. Example figures for illustration.
MRR
Monthly recurring revenue as a management metric. Useful for the board. Not the ASPE revenue line by itself.
ARR
Annualized recurring revenue as a management metric. Same rule: management view, not a substitute for recognized revenue.
Deferred revenue
Cash collected ahead of what is earned. The balance the books must show so deposits are not mistaken for revenue.
Churn
Lost recurring revenue visible on the close, not buried in a lump P&L.
Gross margin
Revenue against cost to deliver, so growth is not mistaken for profit.
Who this is for
Growing Canadian SaaS, software, and product companies.
Why SaaS outgrows generic bookkeeping
Deposits are not revenue. Deferred and recognized must match how you bill under Canadian standards the tax return can trust. Churn and burn hide in a lump P&L. We build the department so you see recurring economics the board and the tax return can both trust.
Your SaaS finance department
Recurring revenue ops, recognition, and growth metrics in one fractional finance department. Books and returns on the same team as the call before you hire, raise, or spend runway. See Pricing, Fractional CFO, Tax advisory, or Book a call.
Recognition
Revenue recognition and deferred revenue
Cash in the bank is not always revenue this month. Under ASPE 3400, revenue is recognized when it is earned, not when cash hits. Deferred revenue sits on the books until it is ratably earned to match how you bill and renew. MRR and ARR stay as management metrics. The ledger shows deferred balances and recognized revenue the tax return can trust.
Growth
Growth metrics the books must show
MRR and ARR as management metrics beside deferred revenue, churn, and gross margin on one department file. Burn and runway live here too: cash out versus cash in, so runway is a number the board can trust without replacing deferred revenue on the hero dashboard. Metrics tied to the ledger so they survive diligence and filing.
What we close for SaaS
MRR
Monthly recurring as a management metric on the close.
ARR
Annualized recurring beside recognized revenue, not instead of it.
Deferred revenue
Cash ahead of earned, tied out under ASPE 3400.
Churn
Lost recurring revenue visible, not buried.
Gross margin
Revenue against cost to deliver on one file.
Sales tax on the books
GST/HST coded where it belongs on taxable subscriptions and services. Registrations and remittances scoped on the call.
The stack SaaS runs
Ledger, billing feeds, payroll, and payments into one close.
QuickBooks Online
Xero
Stripe
Dext
Wagepoint
Plooto
Decisions on this month’s numbers
When the books close clean, Fractional CFO uses the same file for runway, forecast, and the call before you hire or spend. See Fractional CFO.
How we start
01
Book a call.
How you bill, recognize, and report recurring revenue today.
02
Scope the close.
MRR, ARR, deferred, churn, gross margin; burn/runway in the growth pack.
03
First clean month.
Recurring economics the board and the return can trust.