Financial Accounting Advisory Services (FAAS)
In the current economic conditions shareholders, regulators and professional bodies are taking greater interest in how companies derive, report, disclose and communicate about their financial position. This environment is driving extensive change across accounting standards.
Companies seeking to optimize their business face complexity in both IFRS and US GAAP accounting for mergers, acquisitions, IPOs and carve-outs. Accounting convergence also changes the requirements for reporting on financial instruments, fair value accounting, impairments and revenue recognition.
The current environment requires business to be able to address the concerns of their stakeholders and be prepared to change processes in order to adapt accounting and finance practices. This will allow them to ensure they are positioned to respond to market demands both now and in the future.
How can we help?
Our Financial Accounting Advisory Services teams leverage their extensive expertise to bring together global, multi-disciplinary teams. We offer deep sector knowledge to help you navigate the complex finance issues facing your business.
GAAP conversion
GAAP conversions require deep technical knowledge of not only accounting differences, interpretations and potential approaches, but also ongoing business implications for performance measurement, compensation schemes, tax, regulation or financial communication. We assist clients:
Managing conversion as well as interpretations and potential approaches Understanding the impact of conversion on existing systems and processes and designing
new ones, or integrating new processes with existing systems Providing project management assistance across all work-streams Training staff and preparing the first set of IFRS/IPSAS financial statements Understanding the ongoing tax reporting implications of complex accounting treatments
Transaction accounting and financial reporting assistance
Our team works with you to optimize the transaction outcome by addressing key accounting and regulatory challenges that arise on mergers, acquisitions and divestitures including:
Identification and analysis of accounting issues Analyzing financial and regulatory impacts Preparing opening balance sheets, carve-out, proforma or combined financial statements Modeling of impacts on future income statements, balance sheet items and KPIs Analyzing financial communication and competitor benchmarking Working with our transaction advisors on valuation projects and determining the PPA
IPO or other public offering and refinancing issues
Our integrated teams with our transaction advisors will work closely with you to assist on all phases of IPO or other public offering and refinancing including:
Reviewing and analyzing applicable accounting principles and the required
control environment Identifying, analyzing and documenting financial risk factors Documenting the sensitivity analysis assessment Preparing financial statements Planning and managing your interactions with third parties, local regulatory and other
authorities, banks and lawyers Preparing accounting and financial information required in offering documents Assisting with interactions with local regulatory and other authorities
Accounting standards and regulatory requirements
We support companies in implementing new accounting standards and regulation in their business. Our support includes assistance:
Implementing IFRS for published or forthcoming financial statements including advice on
notes to financial statements and adequacy of documentation Technical assistance in complex accounting issues and enhance financial information as
well as analyzing and improving information gathering process and competitor
benchmarking Meeting local regulatory requirements under their local GAAP Identifying your reporting needs and the impacts in the implementation phases Understanding the impact on your accounting information systems Understanding the tax implications to assist to proactively control and manage tax reporting
requirements and the effective tax rate Benchmarking and analysis of prospective impacts of accounting standard developments
on financial statements
Accounting and financial processes
The need to improve your business systems and processes can arise at any time. Our team works with clients on:
Help them to design and enhance accounting and financial reporting processes as well as
KPIs Redesigning accounting processes to ensure effective and efficient control Transitioning from cash to accrual basis accounting in public sector organizations Monitoring long-term contract performance Reviewing sources of loss of accounting control and assist in the implementation of
accounting remediation plans Enhancing their cost accounting system