Private company decision-making framework
The objective of this completed project was to develop a private company decision-making framework (the "Guide") for the FASB and the PCC to use in determining whether and in what circumstances to provide alternative recognition, measurement, disclosure, display, effective date, or transition guidance for private companies reporting under U.S. GAAP. The Guide is not intended to be an entirely new conceptual framework that would lead to a basis for preparing financial statements of private companies that is fundamentally different from the basis for preparing financial statements of public companies. Rather, the Guide augments the existing conceptual framework for financial reporting to provide additional considerations in making user-relevance and cost-benefit evaluations under the existing conceptual framework for private companies. The Guide was issued on December 23, 2013, completing the project.
Meeting minutes
FASB discussions regarding this project are found in the following meeting minutes:
- July 16, 2013 — The Board and the PCC finalized the Private Company Decision-Making Framework (PCDMF).
- April 10, 2013 — The Board discussed issues relating to the issuance of the Invitation to Comment, Private Company Decision-Making Framework: A Guide for Evaluating Financial Accounting and Reporting for Private Companies.
- February 12, 2013 — The Board and the PCC made decisions related to the PCDMF.
- July 20, 2012 — The staff discussed their remaining questions before the release of the Invitation to Comment on the decision-making framework for private companies.
- May 14, 2012 (education session) — Presentation of the staff’s progress toward developing a decision-making framework for private companies.
Project milestones
Date | Development | Comments |
---|---|---|
July 31, 2012 | Discussion Paper, Private Company Decision-Making Framework: A Framework for Evaluating Financial Accounting and Reporting Guidance for Private Companies. | Comment deadline October 31, 2012. |
April 15, 2013 | Invitation to Comment, Private Company Decision-Making Framework: A Guide for Evaluating Financial Accounting and Reporting for Private Companies. | Comment deadline June 21, 2013. |
December 23, 2013 | Private Company Decision-Making Framework: A Guide for Evaluating Financial Accounting and Reporting for Private Companies. | Project completed. |