Top Accounting Advisory Needs for Emerging Technology Companies

For both true start-ups and mature emerging technology companies, we have seen that there are numerous accounting advisory projects with which our prospects and clients need help.

Early-stage companies place significant emphasis on preserving cash to fund research and development-related costs: starting and continuing to develop the software and its concept. Therefore, their accounting departments typically need support for several of the accounting research projects and analyses that must be performed as they seek to expand operations and/or explore various avenues for debt and equity financing.

Below, we've compiled a list of the top accounting advisory projects we've done to support our emerging technology clients: 

• Accounting for stock options 
• Accounting for stock warrants 
• Accounting for stock appreciation rights 
• Evaluation of revenue recognition under ASC 606 
  • Revenue recognition 
  • Contract assets 
    • Accrued commissions 
    • Unbilled receivables 
  • Contract liabilities  
    • Deferred revenue 
• Accounting for convertible debt 
• Capitalized software cost accounting 
• State and local tax implications 
• Accounting for capital raises 
• Evaluation of debt vs. equity accounting considerations 
• Lease accounting services under ASC 842 
• Accounts receivable and deferred revenue gross up issues on the balance sheet 
• Valuation services – both impairment and business combination fair value reports
• Assistance with capitalization table 
• R&D tax credits 
• ESOP accounting services 

Do you have an audit and accounting advisory services question or concern? Contact us today. 

Related Articles

This article is part of a series exploring the complex business challenges startup and early-stage companies may encounter as they grow. Additional articles include:

• Best Practices After an Equity Raise for Start-Up Companies
• Five Tax Considerations for Start-up Companies
• Understanding Leases In Technology Arrangements
• Pros and Cons of IPO for Early-stage Companies
• Emerging Technology Companies and the R&D Tax Credit
• Compilation, Review or Audit? What Early-Stage Companies Should Know

About Schneider Downs Emerging Technology Services 

Schneider Downs understands the ever-changing landscape and business challenges facing companies focused on emerging technologies and software. Our clients represent a wide range of organizations, from emerging growth companies to large mature companies, and we are well-versed in the unique challenges they face. Our team of seasoned professionals has experience working with emerging technology companies in all phases of their evolution.  

To learn more, visit our Emerging Technology page.