RightRev Lessor Accounting empowers hardware CFOs to scale XaaS by closing a widening compliance gap
AUSTIN, Texas, Nov. 20, 2025 /PRNewswire/ — RightRev, a leader in revenue recognition automation software, introduced today another step in expanding the power of its revenue platform. RightRev Lessor Accounting enhances the core platform by integrating ASC 842/IFRS 16 lessor lease accounting functionality. This is a strategic effort to support companies for whom leasing is a revenue-generating activity.
This unified solution is the first to build complex ASC 842/IFRS 16 lessor accounting capabilities natively inside a market-leading ASC 606/IFRS 15 revenue engine, resolving a critical compliance gap at the core of the hardware XaaS model faced by enterprise lessors. Without unified automation, the fastest-growing segment of hardware companies faces material misstatements, failed audits, and extended close cycles.
Unlike ERP add-ons, custom software, spreadsheets or stand-alone lease software, RightRev Lessor Accounting handles both lessor accounting and revenue accounting together, automating complex allocations for bundled contracts (hardware plus services) on one platform. The integrated platform benefits numerous stakeholders by replacing the current, high-risk process of using disconnected systems and spreadsheets with automated, system-enforced compliance.
Users benefit from:
- Unified compliance for ASC 842/606 and IFRS 16/15: One system of record for all revenue accounting on all contracts, including those with an embedded financing structure, lowering the risk of material misstatements, delays and expensive audits.
- Agile enablement of Everything-as-a-Service (XaaS) business models: RightRev now enables companies to innovate in their bundled hardware, software and service offerings with traditional lease agreements. Accurate and automated accounting via a configurable rules engine eliminates the fear that the lessor accounting or revenue recognition components of XaaS business models will become a downstream bottleneck or introduce compliance risk.
- Lessor accounting and revenue recognition automation in one system: Ingestion, accounting and automation for all lessor contract data and requirements, which eliminates duplicate data entry and reconciliation. Revenue schedules are generated instantly, and journal entries can be reviewed and posted quickly, resulting in a faster close and increased efficiency for the lessor process.
With the shift to XaaS, many companies – particularly in MedTech, industrial equipment and high-tech hardware – are adding flexibility for their customers by combining leasing in consumption-based models that bundle hardware usage rights with ongoing services and software subscriptions.
The ability to offer these flexible models is a competitive necessity for building predictable, recurring revenue streams, increasing customer lifetime value, and reducing the upfront cost of ownership for buyers. However, existing accounting solutions are focused on lessee compliance, not lessor compliance. RightRev’s solution is purpose-built for the needs of the lessor, including hardware lessors engaged in complex, high-volume Hardware-as-a-Service (HaaS), Equipment-as-a-Service (EaaS) and Device-as-a-Service (DaaS) models.
Additionally, the rising popularity of bundled XaaS contracts has challenged most finance departments because legacy systems were never designed to manage compliance with ASC 842/IFRS 16 and ASC 606/IFRS 15 simultaneously. When disconnected systems are used (a separate lease tool and a separate revenue engine), this required allocation must be done manually via spreadsheets or custom-built software.
Dan Miller, CFO, RightRev, said: “Leasing is no longer just a financing model; it’s evolving into Everything-as-a-Service (XaaS), where companies monetize complex combinations of hardware, software, professional services and usage. Our customers told us loud and clear: fragmented systems and spreadsheet workarounds were creating compliance risk, slowing their close, and limiting their ability to innovate. That’s why we built the industry’s first unified lessor revenue subledger: a single, event-driven engine that connects lease events under ASC 842/IFRS 16 directly to revenue recognition under ASC 606/IFRS 15. This architecture gives any company with hardware, devices or equipment the flexibility to launch their XaaS business model to capture recurring revenue and price how their customers want to buy.”
Learn more about RightRev’s Lessor Accounting product here.
About RightRev:
RightRev is a comprehensive platform to automate revenue management. The solution helps businesses streamline, recognize, report, analyze and comply with revenue standards. With a focus on speed, accuracy, and efficiency, the company continues to enhance its platform with artificial intelligence (AI) and new capabilities that simplify data migration, implementation and third-party integrations. Trusted by large enterprises and growth-stage companies across many industries, RightRev empowers finance teams to manage complex revenue scenarios and drive strategic growth. Founded in 2020, RightRev has raised more than $31 million from investors that include Norwest Venture Partners, Salesforce Ventures, Snowflake Ventures, Innovius Capital and Cheyenne Ventures.
SOURCE RightRev