Guidance for micro-sized entities
The International Accounting Standards Board (IASB) has developed guidance to help micro-sized entities apply the IFRS for Small and Medium-sized Entities (SMEs).
Over 80 jurisdictions have either adopted the IFRS for SMEs or stated a plan to do so within the next few years. In some of these jurisdictions the IFRS for SMEs is being used by very small companies with just a few employees. The IASB was asked and agreed to develop guidance suitable for micro-sized entities currently applying the IFRS for SMEs and also those considering doing so in the future.
The guidance has been developed with input from the SME Implementation Group. It extracts from the IFRS for SMEs only those requirements that are likely to be necessary for a typical micro-sized entity, without modifying any of the principles for recognising and measuring assets, liabilities, income and expenses. In a few areas, it also contains further guidance and illustrative examples to help a micro-sized entity to apply the principles in the IFRS for SMEs.
The guidance contains cross-references to the IFRS for SMEs for matters not covered by the guidance. Consequently, having applied the guidance, an entity’s notes to the financial statements and auditor’s report could refer to conformity with the IFRS for SMEs because this guidance does not modify the requirements of the IFRS for SMEs.
* The Guidance is free to download for private, non-commercial use. You need to be a registered user to access the IFRS for SMEs; the registration is free of charge. eIFRS subscribers, registered users of our webshop or public site can access the material with their username and password. Click here if you have forgotten your password.
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Once you have registered, return to this page and enter your username and password, when requested, to access the IFRS for SMEs.