Companies face the challenge of ongoing compliance with, interpretation of and implementation of new standards, amendments and interpretations that are issued by the International Accounting Standards Board (IASB) and the IFRS Interpretations Committee (IFRS IC).

Key forthcoming standards include:

  • IFRS 15 Revenue from Contracts with Customers;
  • IFRS 9 Financial Instruments and
  • IFRS 16 Leases.

In addition, many non-listed companies, including UK subsidiaries of listed companies, are voluntarily choosing to adopt FRS 101 Reduced Disclosure Framework, which is based on the recognition and measurement requirements of IFRS, but with reduced disclosure requirements. This may facilitate group reporting, but these companies will face similar challenges to companies applying IFRS.

We have significant experience advising a wide range of clients, including fully listed companies, AIM quoted companies, companies preparing for a flotation and UK subsidiaries of listed companies, on ongoing compliance with IFRS and FRS 101, the impact of forthcoming standards and converting to a new framework. We also advise on best practice disclosures for your financial statements.

For companies considering converting to IFRS or FRS 101, we can help you to:

  • conduct summary framework considerations and implications assessments;
  • conduct detailed impact assessments;
  • provide project management services for transition;
  • prepare and/or review compliant financial statements;
  • prepare and/or review accounting policies and manuals and group reporting requirements; and
  • provide and/or explain the detailed requirements of disclosure checklists.

For companies already applying IFRS or FRS 101, we can help you to interpret and apply new standards, amendments and interpretations, including:

  • conducting contract reviews under IFRS 15 and IFRS 16; and
  • conducting impairment assessments under and implementing the classifying and measurement and hedge accounting requirements of IFRS 9.

We can also provide technical advice on any of these issues, as well as bespoke training courses designed for boards and/or finance teams.

IFRS 15: Revenue from Contracts with Customers

IFRS 15 brings considerable implementation challenges for companies with long-term contracts. The new standard comes into effect on 1 January 2018 and requires companies to recognise revenue to depict the transfer of goods or services to customers.