Raising capital is inherent to any growing and expanding business. While narrating the future growth story of investor’s capital is one part of capital raising, it is equally important to show the history, which is best told by a set of financial statements.
Most companies that raise capital for the first time do not have adequate financial reporting processes and experience to handle public financial reporting. Moreover, at the time of capital raising, the existing finance teams are already stretched to their extreme. This is where our team of professionals can help, by handling the pressure and helping companies in telling their financial reporting story through high-quality financial statements.
Why is IPO assistance required?
- Increased financial reporting requirement
- Most markets require companies to restate and present historical period financial statements for normally 3-5 years to comply with the latest accounting policies and correction of errors. This often requires re-drafting and re-audit of the historical financial statements.
- Some regulations require pro-forma/combined financial statements, eg InvIT
- Quarterly and stub period financial statements are often required
- No standard processes/templates for financial reporting
- Multiplicity of GAAPs for companies in different geographies
- Accounting complexities in pro-forma financial reporting — twisting actuals with planned group structures
How do we assist?
- Preparation of restated financial statements as per applicable GAAP (based on capital market requirements)
- Preparation of pro-forma and/or combined financial statements
- Use of standard reporting templates for efficient and scalable reporting
- Use of an automated consolidation tool with matching of inter-company transactions/balances, etc., for timely reporting