more-arw search

Webinar Recording

The 4 Pillars of Revenue Recognition – SOP 97-2 and SAB 104

Date: Wednesday, June 3, 2015
Time: 2:00 pm - 3:00 pm EDT
In this webinar Charlie Hodgin, Technical RevRec Consultant at, will discuss the foundational concepts of revenue recognition and how they relate to software sales vs. hardware sales. Charlie will begin with a description and examples of the use of the four criteria (“pillars”) and how software and hardware currently have different rules. This will lead into a brief discussion of software and hardware combined sales and the impact of ASU 2009-13 and ASU 2009-14.

We will also examine openings in the literature for management’s judgement in regards to evidence of arrangement, collectability, and establishment of fair value – particularly in regards to software sales. The final discussion points will speak to the transition from these structures to Topic 606, the new revenue standard under US GAAP & IFRS, and how the assessment of contracts with customers, under the old and new methods, coincide with each other in principle and practice.
After attending this event you will be able to:
Recognize a basic understanding of the 4 criteria of revenue recognition
Identify the difference between Software and Hardware criteria for revenue recognition
Recognize ASC 606 in regards to how it relates to current revenue recognition criteria


Charles Hodgin, Senior Advisor, Technical RevRec Consultant,
Charles Hodgin
Senior Advisor, Technical RevRec Consultant,
A finance and accounting professional of 18 years, Charles has demonstrated acumen for business by taking on increased responsibility as his career has developed. Charles’ most recent career step is to join the group at as a freelance technical RevRec consultant for various Software, SaaS, and other mature businesses in need of guidance in regards to revenue policy, financial policy implementation, financial software implementation, financial close processes & Sarbanes Oxley compliance.

Prior to, Charles was Sr. Director of Revenue Recognition at SuccessFactors, a web 2.0/social media SaaS business. As the “in-charge” accountant for revenue & Order to Cash (OTC) from 2008, progressing to head of the Revenue Department and process owner (SOX) for OTC, in early 2010, SFSF did not have a single audit adjustment for revenue nor did SFSF have any deficiencies in relation to the Sarbanes Oxley compliance. At the end of 2012 Charles was managing a team of 19 with a management dotted line to the Sr. Manager of Financial Systems, along with 5 direct reports including 3 Sr. Managers. As the head of Revenue for SFSF Charles specifically owned new business models, the building/promulgation of revenue policy, pre/post due diligence for M&A activities and integration, revenue forecasting, revenue operations, contract drafting/negotiations, sales controller, company-wide training (including sales) for all technical revenue topics.
Moderated by: John Kogan, CEO, Proformative
Moderated by: John Kogan
CEO, Proformative
John has been CFO at four technology companies, a finance executive at Cardinal Health, and in multiple roles at AlliedSignal and Cisco Systems. John has raised over $100M in equity capital and debt and has played central roles in numerous buy and sell-side transactions for both public and private companies. As COO at two companies, John also ran Engineering, Manufacturing and Customer Service operations. He has also founded, invested in and been a board member or advisor of a number of companies. John has a B.A. in Economics from Connecticut College and an MBA from the Fuqua School of Business at Duke University.


Event Sponsor Netsuite
Netsuite - Founded in 1998, NetSuite Inc. (NYSE: N) is the leading provider of cloud computing business management software suites for growing and mid-size businesses. Thousands of customers globally use NetSuite's online products and professional services to manage all key business operations—including customer relationship management (CRM), order fulfillment, inventory, accounting/ERP and finance, product assembly, ecommerce, website management and employee productivity—in a single web-based system.
By filling out this form you will become a member of Proformative, and are subject to Proformative's User Agreement. This webinar is provided to you for free by the sponsor, who may contact you later.

There are no CPE Credits for this Solution Demonstration.