Recurly, the enterprise-grade subscription management platform, announced Tuesday (July 25) an integration with Xero, a global, cloud-based accounting platform.
In a press release Recurly said the integration, which automatically synchronizes billing and invoice data from Recurly with Xero, streamlines financial operations and provides customers with a more complete view of recurring revenue and transactions. “Financial and accounting processes become considerably more complex in a recurring revenue scenario,” said Dan Burkhart, CEO of Recurly in the press release. “Our Xero integration, along with our revenue recognition capabilities, help to eliminate time-consuming and error-prone manual accounting processes, providing finance professionals with more time and energy to devote to strategic responsibilities.”
According to Recurly, by integrating subscription billing data with accounting data, clients can get greater accuracy and better financial operations in subscription commerce. Integrated systems also reduce time and resources spent on reconciliations and revenue recognition calculations, which increases finance and accounting teams’ efficiency and productivity, the company said in the release. With this integration, data from Recurly is synced automatically with Xero, which then performs reconciliation calculations in real time. Recurly’s automated revenue recognition feature calculates month-end and deferred revenue balances and posts them as a journal entry in Xero.
Late last year Recurly launched a tool aimed at fighting subscription fraud dubbed Recurly Fraud Management. It provides automated tools to protect revenue by minimizing chargebacks, prevent eCommerce fraud and deter the creation of unauthorized accounts. These threats, if left unchecked, decrease revenue and profits, increase operating costs and affect customer trust. In a press release, Recurly said credit card fraud in eCommerce channels continues to be a source of concern for subscription businesses. According to the 2016 Identity Fraud Study authored by Javelin Strategy and Research, new account fraud, or the creation of unauthorized accounts, more than doubled, increasing by 113 percent and representing 20 percent of all fraud losses. Unauthorized accounts not only lead to lost revenue and costly chargebacks but can also negatively affect processing relationships with card issuers, gateways and merchant banks.