Prepare for an IPO
Build the finance discipline a listing may ask for.
The board asks whether Finance could support a listing someday, and you want the answer built from your own records.
Put a repeatable close, written controls, dated evidence and consistent reporting in place. If an IPO opportunity arises, Finance already works that way.
This is the most demanding of the three outcomes, and it builds on the same base as the others.
Who this is for
CFOs, controllers and finance leaders of private companies that may consider a public listing in the future. Teams who want to see how their reporting and controls compare with what a listing may ask are welcome too.
What Finance should be able to demonstrate
- The close and reporting repeat on a schedule, period after period.
- Key controls are written down, followed and evidenced.
- Each control has a named owner and a recorded review.
- Accounting policies are documented and applied the same way each period.
- Revenue and disclosure support trace back to source records.
- Systems and approvals are documented and hold up as volume grows.
Readiness areas
Spend · Accounts payable
Control spend with written approvals and separated duties.
Get Paid · Order to cash
Support revenue recognition with contracts, billing records and review.
Payroll · Payroll and benefits
Control pay changes with written approvals and reconciled payroll accounts.
The Close · Month-end close
Run a close that repeats on a schedule with documented steps.
Plan vs Actual · Budgeting and FP&A
Keep a budget and forecast process that is documented and repeatable.
Cash Ops · Treasury and cash
Reconcile cash with evidence of review and track lender terms.
Controls · Internal controls
Write, run and evidence the key controls, and apply policies the same way each period.
Reporting · Financial reporting
Build repeatable reporting, including support for disclosure work.
How your GAAPx Score sets your priorities
Your score is the same for every outcome.
For this outcome, repeatable close, control evidence and reporting discipline move to the top.
Your findings are priorities to work on, and they describe how Finance runs today.
Slow close
A close that varies by month makes repeatable reporting harder. Look first at documenting the close steps and setting a schedule the team can repeat.
Weak revenue support
Revenue recognition may lack documented support that reviewers could ask about. Look first at documenting the revenue process and keeping reviewed support each period.
Missing control evidence
Controls may exist in practice but lack a written record or dated evidence. Look first at writing the key controls, assigning owners and keeping dated proof of each run.
Fragmented systems
Reporting depends on spreadsheets and access that are hard to document. Look first at the systems, data flows and access behind your most relied-on reports.
Start with a pathway
Pathway
First financial audit
Get your books ready for independent outside auditors.
See the first financial audit pathway
Three ways to get support
Do it yourself
Use the GAAPx platform and playbooks to build controls and evidence at your own pace.
Do it with you
Get guidance and playbooks from GAAPx as you work the plan.
Done for you
GAAPx carries out the work through managed implementation, and your team reviews and approves every step.