Accounting Advisory Firm Blythe Leading the Way in Revenue Recognition Services

Blythe Global Advisors, a leading Orange County accounting advisory firm, is in the forefront of helping companies implement the new guidelines around revenue recognition services.

Irvine, United States – March 20, 2018 /PressCable/ —

Blythe Global Advisors, a leading Orange County accounting advisory firm, is in the forefront of helping companies implement the new guidelines around revenue recognition services. With its directive for a single worldwide standard for reporting revenue, the new guidelines represent one of the biggest accounting changes in years and have turned accounting on its ear.

Experts in the finance and accounting reporting world all agree that because the rule’s requirements will impact companies’ systems, processes and culture, successful implementation depends on a depth of professional knowledge that most companies don’t possess and that audit firms are restricted from offering.

As an early provider of professional services for the new rule, Marc Blythe, president of Blythe Global Advisors, has observed best practices emerging from early implementers – the first of which is adopting updated processes to ensure an accurate estimation of the impact of the converged standard on revenue results.

In Marc’s view, many companies are glossing over the new rules and coming to quick conclusions regarding material impact – usually coming down on the side of little or no materiality. The new rule requires deeper analyses of key drivers including:

¨ Revenue streams – activities that might not have been significant in the past that could be very significant under the new rules.

¨ Deferred revenue – issues including large amounts of deferred revenues that will likely be reported on an accelerated basis going forward and/or previously deferred monies that might never be reflected as revenue – either of which could look like “holes” in results and cause perception problems among shareholders and other stakeholders.

¨ Business changes – the kinds of normal, incremental changes that occur over time outside the realm of requirements that might have reached a cumulative point of immateriality and now must be included in regular reports accompanied by documentation, analyses, judgments, etc.

Given the above circumstances, the most important action companies can take is to ensure their revenue recognition practices are adequate to their current business model and revenue streams. In response, many accounting advisory firms (of which Blythe is one) have developed updated best practices to help companies identify the activities and associated revenue streams that are material under the new rule. For its part, Blythe Global Advisors offers a four-phase service that starts with a detailed impact assessment and strategy that examines each revenue stream and its associated processes, policies, etc. and then moves on to implementation, year-end close and maintenance phases.

According to Marc, because the new rule is really complicated, it has tentacles that reach beyond the accounting and financial functions into IT, sales, procurement, facilities, investor relations, human resources, etc. Development of upgraded, bulletproof practices and processes along with the enhanced skills necessary to deploy them is a steep curve. In short, companies will need outside help.

Marc’s first piece of advice is for companies to call a trusted accounting advisor who has a proven history of helping clients resolve revenue recognition issues. If they’ve updated their practices to ensure the identification of issues that are material under the new rule, they can most likely continue to help companies comply accurately and on time.

About Blythe Global Advisors

Blythe Global Advisors, a full-service accounting advisory firm located in Irvine, CA that helps companies of all sizes meet their reporting obligations by filling the gap with their accounting and financial reporting standards expertise. With extensive Big Four experience in all areas of accounting and financial reporting, Blythe Global Advisors offers a broad range of sophisticated, customized, affordable solutions and services to help companies prepare successfully for audits, upgrade the human and technical competency of their accounting and financial infrastructures, make investment decisions with confidence, and convey their companies’ true value to external and internal stakeholders. It ranks number 10 on OC Business Journal’s 2017 Management Consultants List.

About Marc Blythe

As president of Blythe Global Advisors, Marc Blythe brings more than 25 years’ experience advising companies of all sizes across all industries on their accounting and financial reporting requirements. Prior to forming Blythe Global Advisors, Marc was an audit partner at EY.

For more on Blythe Global Advisors, check them out at blytheglobal.com or contact them at 949-656-4180.

Contact Info:
Name: Marc Blythe
Organization: Blythe Global Advisors, LLC
Address: 19800 MacArthur Blvd., Suite 300, Irvine, CA 92612, United States
Phone: +1-949-757-4180

For more information, please visit http://www.blytheglobal.com

Source: PressCable

Release ID: 317389