Is Adopting IFRS Accounting Standards Right for Your Company?
As U.S.-based companies increase their global footprint, more companies may find themselves having to report under International Financial Reporting Standards (“IFRS”). Whether your company, or one or more of its subsidiaries, is already using IFRS or contemplating the adoption of IFRS accounting standards, Cherry Bekaert is uniquely qualified to be your trusted advisor.
We serve many clients already using IFRS accounting methods and have guided them in a smooth and successful adoption of those standards. Through our affiliation with Baker Tilly International, Cherry Bekaert truly offers a global support network.
IFRS reporting can help you achieve your highest standards
The need to change from U.S. Generally Accepted Accounting Principles (“GAAP”) to IFRS accounting methods will be a challenge for any organization. While IFRS adoption within an existing accounting system is daunting, it can also create opportunities to streamline major business functions. You may benefit from:
- Principle-based standards vs. rules based as often found within GAAP
- Consistent reporting with a foreign parent, major customer or supplier
- Greater access to global markets
Before making any change in accounting standards, you must also consider:
- Costs to be incurred through legal, software and transition fees
- Training and hiring internal talent
- Tax implications such as changing inventory valuations
- Bank loan covenants
Cherry Bekaert can assist you with the complex process of navigating from GAAP to IFRS accounting standards.