An IPO is a complex, time- consuming and expensive process with many challenges which may delay or at worse, derail the process. These challenges are wide-ranging and include compliance with legal, financial reporting and governance requirements. Management’s readiness to provide timely and accurate information to the professionals is a significant factor in an IPO’s success.
In this article, we will share some of the common accounting issues and challenges which an IPO candidate may face in its IPO journey. The critical issues that we will be discussing include:
- Share-based Payments
- Revenue from Contracts with Customers
- Listing of a subsidiary and its impact to the holding company