Financial Accounting Advisory Services (FAAS)

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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 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

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

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

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
    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

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
    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