At The Property Partnership, we assist clients with Internal Financial Reporting Standards (IFRS) requirements. These are the standards whereby land and building assets may need to be apportioned for depreciation purposes.

What does that mean for you?

According to, International Financial Reporting Standards (IFRS) is a set of accounting standards developed by an independent, not-for-profit organization called the International Accounting Standards Board (IASB).

The goal of IFRS is to provide a global framework for how public companies prepare and disclose their financial statements. IFRS provides general guidance for the preparation of financial statements, rather than setting rules for industry-specific reporting.

Having an international standard is especially important for large companies that have subsidiaries in different countries. Adopting a single set of world-wide standards will simplify accounting procedures by allowing a company to use one reporting language throughout. A single standard will also provide investors and auditors with a cohesive view of finances.

Currently, over 100 countries permit or require IFRS for public companies, with more countries expected to transition to IFRS by 2015. Proponents of IFRS as an international standard maintain that the cost of implementing IFRS could be offset by the potential for compliance to improve credit ratings.

IFRS is sometimes confused with IAS (International Accounting Standards), which are older standards that IFRS has replaced.

What this means for you is that if your business operates internationally, there are certain regulations and requirements that need to be followed for financial reporting purposes. Standardising these requirements globally actually simplifies the way the reports are compiled, and ensures that everyone is speaking the same language when discussing the figures that propel the business forward.

With centralised reporting structures like this, a business can hire qualified financial service providers in every country in which they operate, and have the peace of mind that these professionals will work together seamlessly, as they are operating under the same requirements and guidelines.

As the TechTarget article points out, adopting a single framework simplifies reporting and allows companies to speak the same financial language globally. The impact of this in terms of efficiency and productivity cannot be overstated.

The key requirement, then, is that your financial team (both inside your organisation, and the contractors to whom you outsource services) all understand these requirements, and work within them.

The Property Partnership understands how these regulations work, why they matter, and how they apply to your business. We can work with you to ensure that your organisation meets these standards. What is more, we can work with your team to help them implement and understand the requirements as they relate to your organisation. Call The Property Partnership on 0860 999 440 or email for the help you need to stay competitive in a global economy.