IFRS Readiness Assistance

Overview: IFRS is not just a different way of reporting, it is a performance measurement system which have impact in fair valuations, capital allocation, leasing, segment reporting, revenue recognition, impairment reviews, deferred taxation, cash flows, dividend payment, disclosures, borrowing arrangements and banking covenants.
Conversion to IFRS offers an opportunity to improve, unitize and standardize the finance organisation, particularly its processes and software standards. It provides an opportunity to comprehensively reassess financial reporting. The process of conversion demands robust change management since IFRS will have an impact, direct or indirect upon most business decisions.
Our Approach: At BVS, we perform a preliminary study of the organisation in order to determine a strategy for the IFRS implementation ahead. The preliminary study includes:

  • Assessing the impact on the company; IFRS may bring changes of unexpected magnitude to key reporting numbers
  • Evaluating the IFRS and GAAP differences for specific financial statement line items
  • Evaluating accounting policy alternatives suitable for the organisation’s specific needs
  • Evaluating current systems, processes and procedures; detect what data are missing that IFRS requires and what changes are necessary in the ledgers
  • Determining whether accounting software can accommodate changes that will fulfil the demands of the conversion
  • Recognizing the changes to processes and workflow
Migration from one accounting standard to the next is challenging hence direct, hands –on experience with IFRS conversion is essential which is what is offered here at BVS.