Currently, for many organizations, operational resilience is at the top of the agenda of the Board and senior management. The COVID-19 pandemic clearly showed how vulnerable societies and organizations can be to unexpected and unforeseen events.
Three years ago, the International Accounting Standards Board (IASB) and Financial Accounting Standards Board (FASB) created new accounting standards to replace IAS17 and ASC 840. Although IFRS 16 became effective on 1 January 2019, many companies are still seeking a structured and standardized approach to cope with the amended regulation. Private companies conforming to US GAAP still have some time left before ASC 842 takes effect at the start of 2020.
A significant change in lease accounting practices is a few months away: all lessors and lessees will have to be compliant with IFRS 16 standards from the start of their next fiscal year (1st of January 2019 or later).
To reflect the changing requirements of our clients, we have redefined our debt advisory service offering and established a dedicated team of consultants to secure the benefits of the currently strong financing conditions for our clients in the long run.