ERP Rebate Gap Assessment

Find your ERP rebate gap in 2 minutes

7 questions that reveal whether your ERP handles ASC 705-20 rebate accounting — or whether spreadsheets are doing the work.

Most ERP systems — Infor, Epicor, SAP, NetSuite — were not built to compute rebate accruals under ASC 705-20-25-1. They track purchases. They do not track rebate agreement terms, automate tier calculations at period close, or produce the audit lineage your auditors will test. Answer 7 questions to find out exactly where your gap is.

  • Q1 Does your ERP track individual supplier rebate agreement terms — tiers, volume thresholds, and effective dates — at the program level?
  • Q2 Does your ERP automatically calculate rebate accruals at period close in accordance with ASC 705-20-25-1 (cost reduction treatment, not revenue recognition)?
  • Q3 Can you generate a reconciliation report from your ERP showing rebate earned versus rebate invoiced, broken out by supplier?
  • Q4 Does your ERP flag rebate agreements that expire or reset within the next 90 days, without a manual calendar lookup?
  • Q5 Can your ERP produce a named, dated audit trail for rebate accrual assumptions — showing who reviewed the estimate and on what basis?
  • Q6 Are your rebate agreement terms stored and maintained in your ERP? (Answer "No" if terms live in spreadsheets, PDFs, or email.)
  • Q7 Can you close the books on rebate accruals for the period without at least one manual spreadsheet step?
Answer all 7 questions to continue
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Your ERP rebate gap score
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If you want to understand why no industry benchmark exists for rebate recovery rates, see Distributor Rebate Recovery Benchmarks: What Controllers Need to Know. See how these gaps produce close failures → For the advisor perspective, see What CAS partners see in a rebate accrual review. For the specific questions to ask in an ERP vendor conversation, see ERP Vendor Rebate Questions: What to Ask Before Signing. For the full picture of what an early client evaluation looks like — and what direct access to the founding team means in practice — read Why Aurgus Publishes Its Methodology.