Royalty accounting software core functionality requirements are;
- Imports vendor information from your accounting software
- Calculates royalties according to your contractual terms
- Imports sales
- Generate statements and maintain a historical record of generated statements
- Export payments owed for importing into your accounting software
Royalty software also needs to track the balances for royalty related assets and liability general ledger accounts.
Assets
- Royalty Advances
- Unearned Royalties
Liabilities
- Royalties payable
- Reserve for returns
Public companies need royalty accounting oftware that is compliant with the Sarbanes Oxley. This means that the software has built-in internal controls to protect against fraud and provide assurance that calculated royalties are accurate.
