Financial Reporting Framework for SMEs

The AICPA has issued its Financial Reporting Framework for Small- and Medium-Sized Entities. The FRF for SMEs™ accounting framework is designed for America's small business community. It delivers financial statements that provide useful, relevant information in a simplified, consistent, cost-effective way. The FRF for SMEs™ framework may be used when GAAP financial statements are not required.


Download the free framework (PDF).


The following resources are available to help you learn more about the FRF for SMEs™ accounting framework:

FRF for SMEs™ Toolkits

The AICPA has developed  free FRF for SMEs™ toolkits to help CPAs and CPA firms, financial statement users and small businesses learn about the FRF for SMEs™ reporting option. These toolkits contain overviews, sample illustrative financial statements, videos, PowerPoint presentations, and much more. Select the toolkit that best fits your needs:


Exposure Draft and Comment Letters

An exposure draft of the proposed FRF for SMEs™ accounting framework was released on November 1, 2012. View the exposure draft and comment letters received in response.

About the FRF for SMEs

In this 2-minute video, see how the FRF for SMEs accounting framework evolved and why it was needed. Learn about the framework's benefits for America's Main Street businesses and their financial statement users.

More on AICPA TV


What - The FRF for SMEs™ framework is an additional non-GAAP financial reporting option.  The framework draws upon a blend of traditional methods of accounting with some accrual income tax methods. It consists of simplified principles and focuses on the most relevant information needs of Main Street America and their financial statement users.

Why - Research over the years and input from stakeholders demonstrated the marketplace need for such an accounting framework.

Who - A working group of CPA professionals and AICPA staff who have years of experience serving smaller-to-medium-sized private entities crafted the framework.

Contact Information

For more information or to contact the AICPA regarding the FRF for SMEs™ framework, please email

Technical inquiries on the framework should be directed to the AICPA's A&A Hotline (free for AICPA members).