Business Reporting improves the quality and transparency of information companies provide so investors and other key stakeholders can make better informed decisions. The focus is on shifting the model from one that is based primarily on historical or lagging financial information to a model that incorporates relevant value drivers, financial and non-financial performance measures, and qualitative information around management’s strategy, plans, opportunities, and risks. This improved business reporting model delivers a broader view of current performance and greater understanding of an entity’s future. The AICPA is working on a number of initiatives in Business Reporting. The Changing Landscape of Corporate Reporting provides answers to questions related to how corporate reporting is evolving to address the needs of stakeholders to fully understand a company's value potential over the short, medium and long term.
Initiative to enhance and consolidate existing reporting practices to move towards a reporting framework that provides the information needed to develop the global economic model to meet the challenges of the 21st century.
- Response to IIRC Draft International Framework
- Response to IIRC Discussion Paper Toward Integrated Reporting
- Comment Letter to IASB Management Commentary Exposure Draft
- Comment Letter to SEC Advisory Committee on Improvements in Financial Reporting
- Comment Letter to SEC 21st Century Disclosure Project
- Comment Letter to IASB Management Commentary Discussion Paper
The Better Business Reporting Series provides a roadmap for improved communications with capital markets and demonstrates experiences from some early movers who have derived benefits from enhanced business reporting. View the documents:
- Capital Markets in the Dark
- "The Journey to Better Business Reporting"
- Better Business Reporting: Enhanced Financial Reporting
The International Federation of Accountants (IFAC) released the report, Integrating the Business Reporting Supply Chain that addresses elemental changes required to the current format of financial reporting to increase relevance and stakeholder value and stem the increasing complexity that has plagued financial reporting in recent years. Key business leaders from around the world were interviewed in the report that provides a summary of interviewees’ recommendations in each area and highlights some of IFAC’s related initiatives such as:
- what should be done to effectively improve governance
- the financial reporting process
- the audit
- the usefulness of business reports in the aftermath of the financial crisis
FINRA Investor Education Program grant with support from the EBRC presents findings of research that support the relevance of the enhanced information content included in the EBRC’s framework.