Transition to IFRS and introduction of new standards

In the EU, capital market-oriented companies are legally required to prepare their consolidated financial statements based on International Financial Reporting Standards (IFRS). A transition to IFRS can also prove to be advantageous for non-listed companies.

Stakeholders, especially investors and banks, regularly call for reliable and in some cases very comprehensive financial information. It is not only the submitted data that comes into focus, but rather an integrated, transparent communications strategy in financial reporting.

Your advantages from a transition to IFRS

In this context, IFRS can be of great advantage and improve stakeholder relations. Transparency and information are the guiding principles in such an accounting system and signal a future-oriented corporate policy. These measures, in the course of increasing globalisation, can lead to a competitive edge through better access to (international) capital markets and help reduce capital costs.

In addition, the utilisation of internationally-recognised IFRS accounting standards can offer globally active companies ample opportunities to exploit the synergy of the “well-known” for its own benefit, especially in the expansion and subsequent integration phase.

Our comprehensive assistance in your transition to IFRS

Alongside these advantages, the cost of a transition to IFRS should not be underestimated. The transition process involves a deeper intervention in the company accounting system that requires a thorough preparation. Professional project planning is thus a critical factor for a successful cost-benefit optimised transition. Such a project also offers an opportunity to streamline reporting processes and raise the quality of the information.

The Rödl & Partner Competence Centre for International Accounting will be happy to advise you and assist your company on its way to future-oriented accounting.

Drawing on our long experience in diverse transition projects, we have developed a comprehensive services portfolio:

Quick check analysis for possible effects of transition to IFRS
Advice on/preparation of trial accounts
Expert opinions on individual matters
Analysis and adjustment of processes and IT systems for generating the financial data required in the future
Advice on/preparation and implementation of accounting guidelines and reporting packages
Employee accounting and finance training courses by qualified experts
Comprehensive assistance throughout the transition process in project management and in individual subject areas

On top of things with Rödl & Partner

The accounting world is constantly changing, with individual users often finding it difficult to stay informed about the latest developments. Along with the increasing rate of change, the risk of unpleasant surprises arising from new, mandatory accounting principles and standards also increases.

We offer you a compact overview of the latest changes in accounting and select those relevant for you and your company.

On the basis of an ongoing analysis, we will gladly support you with the timely planning for a successful implementation. In addition, the affected employees are to receive prompt training so as to work independently in the future and navigate new standards with certainty, thus avoiding the risk of accounting errors. In this process, the effects on the balance sheet and financial ratios are also to be analysed, especially if they form the basis for contractual arrangements (e.g. loan agreements with debt covenants).

We support you in establishing the relevance of the new standards in your company and successfully incorporating them into your accounting system.