Small and medium-sized companies call for specific financial reporting standards

Small and medium-sized German entities (SME ⇒ Wikipedia) are calling for their own special version of the so-called International Financial Reporting Standards (IFRS ⇒ Wikipedia ). This is the unanimous opinion voiced at last Wednesday´s “Internationale Rechnungslegung” conference, according to the organiser of the event, the accountancy and consultancy enterprise PricewaterhouseCoopers (PwC).

PwC is ready to support small and medium-sized companies in achieving their aim. “The facilitating measures currently discussed by the International Accounting Standards Board (IASB ⇒ Wikipedia) will not bring about the relief required by small and medium-sized companies. For that reason it is necessary to play an even more active role in the setting up of IFRS which are tailored to the needs of small and medium-sized companies”, claims Professor Norbert Winkeljohann, member of PwC´s managing board of directors. The currently discussed draft of accounting standards specific to small and medium-sized companies is still modelled to a great extent on the IFRS for major enterprises. That is why several SME have joined to form an association called “Association for the co-operation in the development of accounting principles for family-owned companies” (VMEBF).

PwC is a member of this association and also leads a task force called IFRS for SME (also see “No to IFRS for SME”, “The signs are set for change”, “Family-owned companies renounce new accounting principles” and “International Accounting Standards are controversial”). Further information is available at VMEBF and the IFRS/IAS-Portal. A chronology in English of the IASB discussion is available on IAS Plus. GERMAN