Since the beginning of this week a draft by the International Accounting Standards Board (IASB) in London on the future International Financial Reporting Standards (IFRS) for small and medium-sized entities is available for comment. This subject matter is hot, given that the draft is controversial. A summary on the subject is provided by an article called Beitrag “IFRS im Mittelstand” published in the February edition of the Accounting magazine which is available for free-of-charge download.
The IFRS for small and medium-sized entities are based on the standards for major companies, but they have been simplified and abridged. Currently it is very disputed whether they have been sufficiently simplified or whether additional adaptations to the specific requirements of SMEs are necessary.
By October 1st 2007 it is possible to comment on the draft via email to the IASB (mail address) in London or to the German Accounting Standards Committee (mail address). The final version is expected for mid 2008. Reading the above-mentioned article is worthwhile not only to people wishing to comment, but in particular to bosses of small and medium-sized entities given that in principle the new accounting standards to SMEs will hardly be modified any more and therefore sooner or later affect all SMEs either on the occasion of a talk with their bank or investors. 