A tech start-up with a new controller was seeking to professionalize their accounting and addressing known policy gaps in several significant areas including: 1) revenue recognition, 2) lease accounting and 3) stock compensation accounting and reporting. Prior to bringing on the controller, the company had no reporting responsibility and did not prioritize establishing accounting policies and controls over financial reporting.
Our technical accounting subject matter experts were brought to bear to address all these items contemporaneously, drawing upon our experience in each of these areas. We met with key stakeholders, reviewed the relevant documents in each area, and put together a clear assessment of the client’s environment. We then presented a path to compliance with the applicable accounting standards that would lower the risk of misstatement, mitigate the risk of regulatory noncompliance and prepare them for their initial financial statement audit.
Our group prepared technical accounting papers and policies for each of the areas reviewed, calculated the adjustments needed to get the current accounting and reporting correct, prepared the journal entries needed to make the adjustments and provided models for use by the company to ensure continued compliance. The company continued to seek our assistance as they grew and encountered additional technical accounting complexities, using us as their trusted advisor.