Title: Preparers' perceptions on the consequences of introducing IFRS for SMEs - evidence from German small and medium-sized entities
Authors: Markus Grottke; Thomas Späth; Felix Haendel
Addresses: University of Passau, Innstraße 27, 94032 Passau, Germany ' Devatax GmbH, Bahnhofstraße 40, 94032 Passau, Germany ' Ernst & Young GmbH, Wirtschaftsprüfungsgesellschaft, Arnulfstraße 59, 80636 München, Germany
Abstract: In July 2009, the IASB published the IFRS for SMEs, and this standard was amended only recently, in 2015. The standard seems to be successful. Within its short lifetime 89 jurisdictions have already made use of it. Ongoing debates have taken place over whether this standard is well suited to be introduced throughout Europe and in most other non-adopting countries. We present the results of an online survey carried out among German SMEs. In the study, we focus on trying to determine whether the IFRS for SMEs meets SMEs' needs, whether it makes international comparability possible and what impact can be expected to result from controversial disclosures. Finally, we seek an overall judgment on all the issues mentioned in the survey. Drawing on the partial least square method, we then provide a causal analysis which diagnoses how the different answers contribute to the overall judgment. We discuss these results.
Keywords: IFRS; International Financial Reporting Standards; SMEs; economic consequences; disclosure; small and medium-sized enterprises; Germany; partial least square; PLS.
International Journal of Critical Accounting, 2016 Vol.8 No.3/4, pp.195 - 226
Received: 09 Feb 2016
Accepted: 09 Feb 2016
Published online: 16 Nov 2016 *