Technology Blog

Armanino’s Technology Blog informs technology and software CFOs and executives of the latest industry trends, rule changes and best practices. Our professionals bring you their insights and advice from an accounting and organization perspective to help your company reach its goals.

Friday, May 1, 2015

Trends in Follow-On Offerings

A recent article from Financial Executive International (FEI)  indicates that the heady market for initial public offerings (IPOs) is taking a breather following record 2014 issuance, but that does not mean financial executives at high-growth companies can rest easy. On the heels of the IPO decline is an increase in follow-on offerings (sometimes called “seasoned …

Tuesday, March 31, 2015

Etsy’s Roadshow: A Reminder for Pre-IPO CFOs

While the SEC is reviewing Etsy’s Form S-1 submission (filed on March 4 of this year), the management team is preparing to embark on a roadshow tomorrow, where company executives and bankers will provide financial analysts and investors with the opportunity to question management—particularly the CEO and CFO—on the upcoming NASDAQ launch of ticker symbol …

Tuesday, August 12, 2014

SOX Compliance Opens New Chapter

The route to Sarbanes-Oxley (SOX) compliance has never been a straight line. And recently, the Public Company Accounting Oversight Board (PCAOB) Staff Audit Practice Alert # 11 offered some new direction that C-level executives need to consider in making sure their firms don’t end up in the regulatory ditch. The PCAOB is sending a clear …

Monday, May 19, 2014

Internal Control Reporting Changes: The New COSO Framework

In our recent webinar, New COSO Framework—Imperative Internal Control Reporting Changes, me and my colleagues, Consulting Partner David Davis and Consulting Senior Manager Dave Osburn, walked through the first internal controls overhaul in more than 20 years. And with new Committee of Sponsoring Organizations (COSO) implementation deadlines upon us, it’s time for companies to stop …

Tuesday, March 11, 2014

The Importance of 409A and Equity Awards for Growing Companies

For growing companies, options and other forms of equity awards are an important way of incentivizing top talent when cash is in short supply or the market demands ownership opportunity. According to a recent Armanino webinar titled The Importance of 409A and Equity Awards for Growing Companies, Dirk Van Dyke, Managing Director of Valuation Services, …

Tuesday, August 6, 2013

Revenue Recognition: A Good Time to Review Accounting Infrastructure

In its late May meeting, the Financial Accounting Standards Board left no doubt that the cement has been poured on its game-changing shift in the way the world handles revenue recognition. Sure, there’s still time for some fine tuning before the cement hardens. The board acknowledged, for example, it would be taking another look at …

Thursday, April 11, 2013

Favorable and Unfavorable Leases in a Business Acquisition

Acquisition accounting can be a bit tricky, and one item that companies often overlook is the accounting for operating leases in a business combination. The accounting rules for leases acquired in a business combination are not very intuitive and can raise a host of considerations. If you acquire a business with multiple locations, this should …

Monday, March 11, 2013

Not All Valuations Experts Are Created Equal

Private technology companies are required by the IRS (Code Section 409A) to grant their common stock options at a strike price that is not less than the fair market value of common stock. The IR Code recommends that a valuation of common stock be done not less than annually, if not more often. It’s very …

Monday, January 21, 2013

Mandatory Auditor Rotation: Good or Bad?

Should auditor rotation be a mandatory practice? Studies have shown that audit failures are three times more likely in the first two years of an auditor/client relationship. Further, the Public Company Accounting Oversight Board, (inspecting independent financial statement audit quality on an annual basis) found that the seven largest CPA firms in the U.S. incurred …

Thursday, October 4, 2012

Closing the FASB-IASB Gap Is Unlikely

Ten years since the FASB and IASB agreed to cooperate and make their reporting standards compatible, the two sides still remain far apart. Unfortunately it’s a marriage that may never happen. At their joint meeting in Norwalk, Connecticut, USA on September 18, 2002, the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board …