The transition to IFRS (International Financial Reporting Standards) has a major impact on your financial reporting and operations. Implementation can be complex and requires specialist knowledge. We help you integrate IFRS into your organisation efficiently, so that you comply with the rules and reap the full benefits. In addition, national regulations, including in the Netherlands, seek alignment with IFRS.
Financial reporting requirements differ in each country. Therefore, companies with group companies in multiple countries benefit from IFRS. This is because the annual figures of these group companies use the same accounting policies, making consolidation at holding company level easier.
Not only listed companies base their annual accounts on IFRS, an increasing number of unlisted companies are also using the standard. IFRS for SMEs is the 'light' version of IFRS and was developed for unlisted companies. This version is only 10 per cent of the full IFRS, making it an attractive standard even for SME's.
Our experts will guide you through every step of IFRS implementation and compliance. We start by identifying the differences between your current annual accounts and the IFRS standards. We then analyse your current reporting processes and identify the necessary adjustments to comply with IFRS requirements. We support you in restructuring your internal reporting processes and adjusting your general ledger accounts. In addition, we help prepare your annual accounts in accordance with IFRS so that you comply with all relevant standards.
Through our support in implementing IFRS, you will ensure accurate and transparent financial reporting that complies with international standards. This boosts the confidence of investors, creditors and other stakeholders in your organisation. Moreover, it facilitates access to international markets and capital, as IFRS is recognised and valued globally. It also streamlines your internal processes, increasing efficiency and reducing the likelihood of errors.
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Grant Thornton Netherlands is a member of Grant Thornton International Ltd (GTIL), one of the world's largest networks (#7) of independent accounting and advisory firms, with 73,000 professionals in over 150 countries. From eight Dutch offices, more than 700 professionals support our clients with advice and guidance in the fields of accountancy, tax, and (financial) advisory. We deliver world-class expertise in a way that seamlessly aligns with each client's unique situation. We operate from a solid foundation with a flexible and results-driven mindset.
IFRS stands for International Financial Reporting Standards and is a globally recognised system of accounting rules that promotes financial transparency and comparability. For companies operating internationally or attracting investors from abroad, IFRS is essential. It ensures that financial information is consistent and understandable to stakeholders, such as shareholders, lenders and regulators. Compliance with IFRS may also help raise capital more efficiently and enhance the credibility of financial reporting. Moreover, increasingly, countries and stock exchanges are mandating the use of IFRS, making it a necessary switch for many companies.
IFRS and Dutch GAAP (RJ) both aim to ensure reliable financial reporting, but differ in approach and application. IFRS is principle-based and provides a more flexible framework in which companies may apply their own interpretation within certain guidelines. In contrast, Dutch GAAP is rule-based and contains more detailed requirements for specific situations. IFRS is internationally recognised and mandatory for listed companies in the EU, while Dutch GAAP is mainly applied by unlisted companies. For organisations that operate internationally or have investors from different countries, IFRS offers benefits such as uniformity and better comparability in global capital markets. This can facilitate access to finance and increase stakeholder confidence. However, moving to IFRS often requires adjustments in financial processes and systems. Our experts will help you with analysis and implementation to ensure a smooth transition.
The transition to IFRS is a process that requires careful planning and implementation. It starts with a gap analysis to identify the differences between current accounting rules and IFRS. Internal processes and IT systems must then be adapted to meet the new requirements. It is also essential to train employees so that they understand and can apply IFRS standards correctly. This is followed by a re-draft of the annual accounts, including comparative figures to ensure consistent reporting. Finally, transparent communication with stakeholders is crucial so that they are well informed about the impact of the transition. Because IFRS can involve major changes, our experts will guide you every step of the way. This way, we ensure a smooth and efficient transition, without unnecessary disruptions in your financial reporting.
