Transitioning to IFRS

Overview

There are many reasons why companies move from their current accounting framework to IFRS. But what is common to all companies is the need to look at the options available, the consequences of those options, and understand how the transition to IFRS will bring economic benefits.

We help companies understand the implications of accounting changes and the wider challenges that adoption of new reporting standards bring to a business. Our IFRS specialists help our clients stay ahead of developments from the standard setters and guide companies through every stage of the IFRS lifecycle.

Getting started

There are a number of important issues to consider in planning your transition to IFRS such as:

Understanding the changes affecting financial instruments, and other complex areas and how you will be impacted by future changes to IFRS

Thinking about the impact on reported performance measures. Will your results be more volatile?

Ensuring you have enough people, with the right skills to complete the transition

What additional data you will need to collect? Can your systems cope? Do you have adequate controls in place?

Assess the tax implications. Will this affect the timing of your conversion?

Getting it right

You’ve made the decision to convert to IFRS. But that’s only the first step. We can help with the following:

Determination of headline figures, calculations of KPIs, remuneration schemes that are based from the new financial information etc

Understanding and prioritising the key accounting changes and options

Training strategy and coaching support for the IFRS project management team

Evaluating project processes, controls and deliverables

Helping your tax managers to understand the tax impact of the conversion process.

How can we help?

We can help you prepare for IFRS through:

Project management support

Technical and accounting advice and support tools

Advice in relation to accounting and reporting in complex areas such as financial instruments, employee benefits and share compensation schemes, and tax

Learning and change management support

Business combinations – purchase price allocation

Valuation and impairment testing

Processes, data and systems