NetSuite OneWorld Software Company Edition Powers Real-Time, Global Operations for...

NetSuite OneWorld Software Company Edition Powers Real-Time, Global Operations
for Mid-Market Software Companies
Latest Offering from Leader in SaaS Industry-Specific Business Suites Spans
Front- and Back-Office Operations for Multi-Location Software Companies

SAN MATEO, Calif., May 20 /PRNewswire-FirstCall/ -- NetSuite Inc.
(NYSE: N), a leading vendor of on-demand, integrated business management
software suites for small and mid-sized businesses and divisions of large
companies, today announced the release of NetSuite OneWorld Software Company
Edition. This latest offering from NetSuite gives mid-market software
companies the ability to run and manage integrated end-to-end software
business processes spanning global operations -- an industry-leading
capability made possible through NetSuite technology that enables its
integrated business suite to span the widest range of both front- and back-
office applications. This new edition includes all the capabilities of
NetSuite OneWorld (announced in April 2008), which enables multi-national
companies to run global operations in real-time, and includes features
specifically created to automate processes unique to software companies, such
as renewals automation, revenue recognition, complex commission management and
multi-tier channel management. For more details on NetSuite OneWorld Software
Company Edition, please visit www.netsuite.com/software.
(Logo: http://www.newscom.com/cgi-bin/prnh/20021024/SFTH024LOGO)
Running a software company is challenging due to complex and strict
accounting and reporting requirements. To address these challenges,
historically, many software companies have purchased multiple applications to
run their software business operations: one to manage the sales team; one for
commission management; one to manage financial processes such as renewals and
revenue recognition, and yet another application for channel management. This
fragmented approach typically is costly, can lead to a higher rate of errors
in calculating financial results, and can result in less favorable customer
experiences, particularly at the time of renewal. Once a company expands,
particularly internationally, this mix of more expensive applications is often
multiplied many times over, and can leave a company with very limited or
delayed visibility into its operations and financial performance, especially
across its multi-national operations. The lack of real-time visibility offered
by this fragmented approach generally makes it difficult to drill down to
local or regional-level information in real-time for timely course
corrections.
NetSuite OneWorld Software Company Edition is one single application
specifically designed for running a growing software business with global
operations and can cater to any business model, from subscription billing to
traditional software licensing. The capabilities of NetSuite OneWorld Software
Company Edition are a result of best practices gleaned from the hundreds of
software companies running their operations on NetSuite.
"With NetSuite OneWorld we delivered capabilities to mid-sized companies
that some of the world's largest companies have failed to achieve after
spending millions of dollars," said Zach Nelson, CEO of NetSuite. "Now with
NetSuite OneWorld Software Company Edition, we are offering global mid-size
software businesses the ability to integrate global consolidated financials in
an integrated software suite that has been specifically tailored to meet the
needs of software companies. We know how a global software company works
because we are one, and we have been successfully using our own software to
operate our business for the past 10 years."
"My previous company had begun using NetSuite OneWorld, so I was able to
experience first-hand just how powerful a system it can be," said Ben Oxnam,
Finance and Operations Director, ScanSafe (www.scansafe.com), the pioneer and
leading provider of Web Security-as-a-Service, co-headquartered in London
(U.K.) and San Mateo, Calif. "I'm very excited ScanSafe has chosen NetSuite
OneWorld Software Company Edition for our growing SaaS company, which already
has 100 employees on two continents. I can foresee how it will help us
consolidate our worldwide operations and vastly improve our management
information and reporting, and for a fraction of the cost of a comparable
financial management system."
Easily Manage Multi-Company and Global Expansion in One System
The growth of today's software companies is often fueled by mergers,
acquisitions and global expansion. With NetSuite OneWorld Software Company
Edition, businesses are able to take this growth in stride and easily bring up
new subsidiaries, both domestic and international. This is because of
NetSuite's native SaaS delivery model that enables the OneWorld functionality
to be accessed anywhere - simply by opening a Web browser - thereby
eliminating the enormous IT issues associated with traditional approaches to
global business management.
NetSuite OneWorld Software Company Edition delivers deep and locally /
nationally appropriate functionality (currency, taxation, language, reporting,
revenue recognition, dashboards, etc.) with real-time subsidiary management
and business consolidation capabilities, while providing for instantaneous
global roll-up, visibility and compliance management for front-office, back-
office and ecommerce operations. With the benefit of consolidated data that
NetSuite OneWorld Software Company Edition provides, the decision-making
process within a business can be immediately improved with a plethora of pre-
built metrics specific to software company operations. These can be tailored
and personalized for role-based dashboards - from the executive at
headquarters, to the in-country end-user.
Renewals Automation and Installed Base Tracking
Software companies have unique needs when it comes to managing renewals
for their install base of customers and recurring revenue from renewals. For
instance, the addition of user licenses in the middle of a contract term may
require that the renewal process be able to handle multiple co-terminus
models. In addition, uplifts based on historical or current list prices,
revenue recognition and forecasting, and tracking of customer support
entitlements, are all requirements to fully automate the renewal process for
software businesses. To effectively automate the entire renewal process,
NetSuite OneWorld Software Company Edition adds extensive installed-base
tracking capabilities from multiple license types for systems, users,
environments and modules, to maintenance agreements, customer support terms,
start and end dates, contract statuses and monitoring of end-of-life, upgrades
and downgrades. As a result of this extensive tracking, software companies
gain the benefit of license term metrics such as customer retention and
current license metrics that can be tracked in real-time on role-based
dashboards.
Align Sales with Corporate Goals with Complex Commission Management
Incentive compensation for software sales organizations generally involve
complex, multi-tiered commission management plans and include various spiffs
or kickers to align sales team behavior with corporate goals. Additionally,
wasted time, energy and multiple spreadsheets can often lead to challenges as
to how the commission payouts should be calculated. NetSuite OneWorld Software
Company Edition includes updated commission management reports that make it
very clear to both sales and finance what the compensation should be and which
sales transactions were applied to arrive at the final numbers. NetSuite
OneWorld Software Company Edition also adds the following new capabilities in
how commission management is structured:
-- Quota attainment vs. payout flexibility -- If new customer acquisition
is key to a software company, the company will value the ability to set
up commission for its sales team that compensates for attainment of the
total quota on all sales, but then pays out based only on new business
sales.

-- Managing debooks and rebooks -- With the dynamic, ever-changing nature
of the software business, it is important to be able to manage the
sales effective date when processing credit transactions such as return
authorizations, credit memos and cash refunds. This ensures that as
commission plans change from quarter to quarter or year to year,
debooks and rebooks that span these time periods are accurately
calculated with clear visibility to the sales rep on the impact to
their final commission totals.

-- Commission on shipping -- These persuade sales reps to use their
preferred shipping carrier and shipping method when sending software
CDs, training manuals or other goods by setting up extra commission for
a particular shipping item such as UPS Ground vs. FedEx Overnight.

Easily Track External Sales Efforts with Multi-Tier Channel Management
More and more software companies leverage external sales channels to grow
their business. NetSuite OneWorld Software Company Edition allows for
management of multiple tiers of sales channels from distributors to resellers
to end-user referral programs with enhanced channel management reports,
interaction management, industry-specific transaction forms and electronic
fulfillment of indirect, end-user sales. With multi-tier channel management
occurring in the same system as direct sales channel activities, software
companies get an unprecedented view of sales, forecast and pipeline across all
of their sales channels so they are able to effectively report on their
numbers and course correct as needed to meet sales expectations. For a public
software company, this visibility is critical to consistently meeting or
beating the revenue guidance given to Wall Street.
Pricing and Availability:
Available now, NetSuite OneWorld Software Company Edition begins at a base
price of $4,998 per month, which includes renewals management and multi-tier
channel management functionality, along with vertical-specific Dashboards and
best-practices. Commissions functionality (Incentive Compensation) is an add-
on module at $299 per month.
About NetSuite
NetSuite Inc. is a leading vendor of on-demand, integrated business
management software suites for small and midsized businesses. NetSuite enables
companies to manage core business operations in a single system, which
includes Accounting / Enterprise Resource Planning (ERP), Customer
Relationship Management (CRM), and Ecommerce. NetSuite's patent-pending "real-
time dashboard" technology provides an easy-to-use view into up-to-date, role-
specific business information.
NOTE: NetSuite and the NetSuite logo are registered service marks of
NetSuite Inc.
Cautionary Note Regarding Forward Looking Statements
This press release contains forward-looking statements that involve risks,
uncertainties and assumptions. If any of these risks or uncertainties ever
materialize or these assumptions prove incorrect, our results may differ
materially from those expressed or implied by such forward-looking statements.
Such forward-looking statements include statements relating to expectations,
plans and prospects for NetSuite and its service offerings that are based upon
current expectations and beliefs. Challenges may arise in the implementation
of NetSuite OneWorld Software Company Edition with customers; disruptions in
service as a result of loss of power or loss of Internet access may occur;
unexpected disruptions in NetSuite's data center may occur; NetSuite may
experience material defects or errors in its software, undetected computer
viruses, or a security breach; and other risks and uncertainties exist or may
arise as described more fully in our public announcements filed with or
furnished to the U.S. Securities and Exchange Commission, including our
Quarterly Report on Form 10-Q for the fiscal quarter ended March 31, 2008. All
forward-looking statements in this press release are based on information
available to us as of the date hereof, and NetSuite disclaims any obligation
to update these forward-looking statements.
SOURCE NetSuite Inc.

Mei Li of NetSuite, +1-650-627-1063, meili@netsuite.com