IFRS for SMEs | Supporting the Entrepreneur
International Financial Reporting Standards (IFRS) is a set of global accounting standards that is implemented to ensure transparency, accountability and efficiency in different financial markets around the world, including South Africa. IFRS for SMEs concerns the accounting standards that has been specifically developed with small companies in mind, and it focuses on the information that may be required by creditors, lenders, and other authorities that may use SME’s financial statements. IFRS for SMEs is less complex and burdensome.
Converting to an IFRS-friendly system is about more than just your company’s accounts. It also affects many your daily operations. If you look at it as an opportunity to evaluate and improve certain systems in your business, you might benefit greatly from the changes. Unfortunately, the conversion process and initial reporting phase can be challenging.
Before making a change to your company’s accounting framework, however, there are some other factors that also need to be considered. You should determine whether your Memorandum of Incorporation (MOI) requires you to follow specific accounting guidelines, and also find out whether there is a specific framework required by your shareholders. Another factor that may play a role is if your company forms part of a group of companies – all of which apply the IFRS framework – then you would most likely need to apply the same framework to ensure uniformity.
With our team of qualified and experienced individuals, who make sure to stay ahead of the latest financial sector advancements, including IFRS and IFRS for SMEs, clients can have confidence in MMS’ abilities to assist your business in an efficient manner, to ensure that all standards are met. We can assist in the fields of accounting, transition methodology, tax, valuations, treasury, and overall project management.
We offer the following:
- We offer to, objectively, evaluate your business’ processes, control systems and deliverables to determine the changes required to meet IFRS requirements
- Debtors and creditors analysis
- We offer to assist with the entire IFRS transition, by offering project management support
- We can advise on how to talk to key stakeholders about the changes commencing in your business
- Ongoing support
- IFRS reporting
- Assisting with the identification of differences between pre-IFRS accounting systems and the current IFRS system to implement the necessary changes
- Determining what disclosures are required (financial and non-financial)
- Advising on employee benefits
- Supporting clients with valuations and impairment testing