SFAS 123R

High Quality
Low Overhead
Valuations with Value

Statement of Financial Accounting Standards 123R has broadened the use of “fair-value” accounting in determining the expenses recognized due to non-cash compensation plans such as incentive options. Like IRC 409A, SFAS 123R requires that a fair market valuation be determined of the underlying stock at the time of an option grant. In addition, it requires that the options themselves be valued and that the value be expensed over time.

For private companies, we provide and integrate valuations of common shares that cover both IRC 409A and SFAS 123R compliance. In addition, we can provide full SFAS 123R analytic services to determine appropriate option valuation and expense recognition, including taxation and international accounting standards if necessary.

For public companies, we offer a full range of SFAS 123R analysis and project management services—from volatility analysis to multi-year restatements and implementation of new systems and procedures for compliance with SFAS 123R.