IFRS for SMEs

In July 2009 an International Financial Reporting Standard (IFRS) designed for
use by small and medium-sized enterprises (SME) was published. In May 2015,
the IASB completed a comprehensive review of the standard and made limited
amendments to the standard.

The self-contained standard is much simpler than
the full IFRSs and is designed to meet the needs and capabilities of smaller
businesses. Many of the principles in full IFRSs for recognizing and measuring
assets, liabilities, income, and expenses have been simplifed, topics not relevant
to SMEs have been omitted, and the number of required disclosures has been
reduced.

However, the new standard has not yet been endorsed by the EU and its
implementation in German accounting law is still not accepted by Germany. With
the implementation of the BilMoG, Germany has developed adequate and simpler
regulations for SMEs compared to IFRS for SMEs.