Accounting Matters

Both Doors Open: Meet the Dual Track Exit 25.08.2026 39m

The IPO window is reopening. M&A is picking back up. And a backlog of PE-backed companies that delayed exits in 2022 and 2023 are now under real pressure to move. Adam Olsen and Nicole Harger break down the dual-track exit, the strategy of running an IPO process and an M&A process at the same time, and what's driving renewed interest in it right now.This is part one of a two-part series. Part two goes operational: what the CFO and finance organization need in place, and how far in advance.In this episode:What a dual-track exit actually is, and why running both processes simultaneously creates leverage that neither path generates on its ownWho uses this strategy: PE-backed companies remain the dominant profile, but corporate carve-outs and growth-stage companies are increasingly exploring it tooWhy most dual-track processes end in M&A, and why that's often the intended outcome rather than a failure of the IPO trackThe market backdrop heading into summer 2026: improving conditions, a buildup of past-hold-period PE portfolio companies, and a more disciplined IPO market than 2020-2021Inside the IPO track: the S-1 process, the three-year audited financial statement requirement, PCAOB auditor considerations, carve-out accounting complexity, and realistic 12-18 month preparation timelinesInside the M&A track: the CIM process, strategic versus financial sponsor buyer dynamics, quality of earnings diligence, the working capital peg negotiation, and the gap between signed LOI and closeWhy the financial rigor required for IPO readiness is the same rigor that protects valuation in an M&A process, and why there's no shortcut on either side

Going Public Could Get A Lot Cheaper - The SEC's Proposed 2026 Reporting Overhaul 18.08.2026 33m

In May, the SEC proposed two of the most significant changes to public company reporting in decades: a full restructuring of the filer status framework and an optional off-ramp from quarterly reporting. Adam Olsen and Nicole Harger break down what's actually in both proposals and what finance leaders should be doing while the comment window is still open.In this episode:How the filer status framework drifted over 20 years, and why the SEC is collapsing five categories down to two: large accelerated filer and non-accelerated filerThe new $2 billion threshold (up from $700 million) and the two-year measurement lock that gives companies near the line real visibility before a status change hitsWhat non-accelerated filer status actually means: the 404(b) audit attestation exemption, scaled-back executive compensation disclosure, and the new opt-up flexibility to voluntarily keep stricter requirementsThe five-year mandatory on-ramp for newly public companies, and how it changes IPO readiness planning and S-1 financial statement requirementsThe companion semi-annual reporting proposal: the new Form 10-S, what stays the same (8-Ks, earnings releases), and why market practice may not shift even if the rule doesPractical complications to watch: credit agreement covenants, underwriter comfort with older financials, exchange listing requirements, and the audit committee conversation around what fills the gap if 404(b) goes away

Return of the SPAC: Surviving the De-SPAC 11.08.2026 41m

The deal announcement is just the beginning. In Episode 2 of their two-part series, Embark's Nicole Harger and Adam Olsen get into the accounting and reporting mechanics that determine whether a de-SPAC actually succeeds on the other side of closing. The complexity surprises even experienced finance teams. This episode is the preparation they wish they'd had.In this episode:What public company readiness actually means for a private target, and why the de-SPAC process tests it rather than creates itPCAOB audit requirements, Reg S-X compliance, and the finance function capacity demands that can't be built during the transactionThe accounting acquirer determination under ASC 805: why the legal acquirer and the accounting acquirer are often different entities, and why it mattersHow redemption scenarios can flip the accounting acquirer conclusion, and what that means for pro forma financial statementsReverse recapitalization mechanics: no goodwill, no fair value step-up, and why the operating company's history becomes the combined entity's historyWarrant classification under ASC 480 and ASC 815-40: the 2021 restatement wave, what triggers liability classification, and the quarterly income statement consequences that followEarnout accounting: when it's compensation under ASC 718, when it's contingent consideration, and how liquidity event triggers can create mark-to-market exposureThe Form S-4/merger proxy, the Super 8-K's four-business-day clock, and why that deadline has no exceptionsICFR obligations post-closing: why de-SPAC companies don't get the newly public company grace period, and what that means for the first annual reportIf you haven't listened to Episode 1 yet, start there. The deal structure decisions covered in Episode 1 and the accounting consequences covered here are more connected than they might seem.

Return of the SPAC: What's Different This Time 04.08.2026 42m

SPACs are back. The numbers make it hard to argue otherwise. In Episode 1 of their two-part series, Embark's Nicole Harger and Adam Olsen unpack what's driving the resurgence, what went wrong in 2021, and what CFOs and finance leaders actually need to know before they consider this path.In this episode:What a SPAC is and how the three-phase lifecycle actually works, from IPO to business combinationThe full equity instrument landscape: founder shares, warrants, PIPE financing, and earnout arrangements, and why the headline deal value is never the complete pictureWhy the 2020-2021 SPAC boom collapsed, and how the SEC's 2024 rules changed the calculusWhat's fueling the current resurgence and why PE-backed companies are at the center of itSPAC vs. traditional IPO: the real trade-offs on speed, valuation certainty, cost structure, and projectionsThe three most common mistakes companies make going into a de-SPAC, including the one that shows up in almost every SEC filing reviewWhy public company readiness isn't a post-closing project, and what that preparation actually requiresEpisode 2 goes deep on the accounting and reporting mechanics. If you're close to a de-SPAC transaction or think you might be, it's worth your time.

Capitalizing on AI 21.07.2026 32m

Hyperscalers are pouring hundreds of billions into AI this year. Mid-market companies are right behind them, spending hundreds of thousands to millions on their own AI initiatives. Different scale, same accounting headache.Adam Olsen and Nicole Harger break down how to actually account for AI development costs, and why the playbook finance teams have used for traditional software doesn't map cleanly onto this technology.In this episode:Why framework selection comes first: internal-use software (ASC 350-40), externally marketed products (ASC 985-20), and pure research (ASC 730) all carry different capitalization rulesThe three-stage model under ASC 350-40 and why AI's iterative development cycle makes stage-tracking harder than it looksData costs: the most overlooked, most material line item, and the "alternative future use" judgment that determines its treatmentASU 2025-06: FASB's principles-based overhaul of internal-use software accounting, and the new "significant development uncertainty" concept that changes when AI projects can start capitalizingWhat this all means for budgeting, useful life assumptions, build-vs-buy decisions, and the auditor conversation

Navigating the New Risk Landscape: AI, Cybersecurity, Third-Party Risk & Regulatory Changes 29.06.2026 37m

The risks keeping CFOs up at night aren't new. But the way they connect, accelerate, and amplify each other is. In the final episode of their three-part GRC series, Embark's Adam Olsen and Managing Director Allison Bradshaw break down the risk landscape organizations are navigating right now, and what it actually takes to get ahead of it.In this episode:AI governance frameworks: how to build tiered oversight proportional to risk, from chatbots to credit decisions, without slowing down adoptionThe "black box" problem: why explainability and transparency are now regulatory expectations, not just best practicesCybersecurity as enterprise risk: how to reframe board conversations around cyber exposure and what ransomware preparedness actually requiresIdentity, access, and the human element: why phishing remains the most common attack vector and what effective security culture looks like beyond annual trainingData privacy in a fragmented regulatory environment: GDPR, CCPA, and the state-by-state patchwork, plus why privacy and cybersecurity programs are stronger when built togetherThird-party and vendor risk: how to apply a risk-based approach across a complex vendor ecosystem, including fourth-party exposure and ESG considerations in the supply chainThe regulatory change problem: AI regulation, SEC cyber disclosure rules, ESG reporting requirements, and how to build compliance capabilities that don't start from scratch every timeWhy integrated risk management isn't optional: how AI, cyber, privacy, and regulatory risks connect in ways siloed functions will always missTo connect with Allison or learn more about how Embark approaches GRC, visit embarkwithus.com.

GRC Modernization: Building a Future-Ready Risk & Compliance Function 07.05.2026 38m

Most GRC functions were built a decade ago in response to SOX or a single risk event. The world has changed. The function often hasn't. In this episode, Embark's Adam Olsen is joined by Managing Director Allison Bradshaw to break down what it actually takes to modernize governance, risk, and compliance for the environment organizations are operating in today.In this episode:Why siloed GRC functions create blind spots, audit fatigue, and hidden costs that far exceed what shows up on a budget lineWhat an integrated GRC model looks like in practice: common risk taxonomy, shared technology, and coordinated activities across all three lines of defenseHow to make the business case for modernization, including the 20 to 30 percent cost reduction organizations typically see when duplication is eliminatedTechnology enablement beyond the platform: continuous controls monitoring, workflow automation, and real-time integration with your ERP and source systemsHow modern GRC transforms SOX from a seasonal sprint into a year-round process, with a real-world example of an $800K compliance budget getting restructuredWhere AI fits into GRC today: risk identification, anomaly detection, and compliance monitoring, plus the governance frameworks organizations need to manage AI as a risk in its own rightWhat a risk-intelligent culture actually looks like, and why most GRC transformations fail on culture long before they fail on technologyHow to start without boiling the ocean: practical guidance on sequencing a GRC modernization roadmapTo connect with Allison or learn more about Embark's GRC maturity assessment, visit embarkwithus.com.

The ROI of Internal Audit: Beyond Compliance to Value Creation 07.05.2026 48m

Most internal audit functions are still operating like it's 2010. In the first episode of Embark's new GRC series, Adam Olsen is joined by Allison Bradshaw, Principal and head of Embark's GRC and Internal Audit Services practice, to make the case for a fundamentally different model. The conversation covers what modern IA looks like, how to build the right delivery structure, and how CFOs can measure real return on investment.In this episode:Why compliance-checkbox IA is leaving significant value on the table, and what a risk-based, consultative function looks like insteadCo-sourcing vs. outsourcing: a practical framework for deciding which model fits your organization's size, complexity, and risk profileHow data analytics and AI are shifting IA from sampling transactions to testing entire populations in near-real timeThe emerging demand for IT audit, cybersecurity, and AI governance capabilities, and why most teams can't hire for all of itA framework for measuring IA ROI: prevented costs, recovered value, process improvements, and stakeholder confidenceA real-world co-sourced engagement example where a single year yielded over $1.6M in identified losses and fraud

Beyond the Line Item: Building Your DISE Roadmap 31.03.2026 37m

Understanding DISE is one thing. Actually producing the disclosure every quarter is another. In the final episode of their three-part series, Embark's Nicole Harger and Adam Olsen are joined by David Bushby, who brings real-world perspective from working directly with public companies on DISE implementation. If your team is asking "where do we even start," this episode is the answer.In this episode:How to conduct a readiness assessment and gap analysis before your 2027 effective dateWho needs to be in the room: why finance, IT, HR, procurement, and operations all have a roleKey decisions to make early: cost-incurred vs. expense-incurred, selling expense definition, and voluntary disclosuresSystems and data challenges: fragmented ERPs, the retail inventory method, cost pools, and how to use estimates responsiblyInternal controls for a new disclosure: what needs to be in place before your first filingHow DISE interacts with segment reporting under ASC 280 and what to address in MD&AIndustry-specific pain points for retail, consumer products, manufacturing, life sciences, and techSix practical tips for first-year adoption, including why running a pilot in 2026 could save you significant headaches

Beyond the Line Item: Inside the Natural Expense Categories of DISE 31.03.2026 31m

If Episode 1 covered the "why" behind DISE, Episode 2 is where theory meets practice. Embark's Nicole Harger and Adam Olsen get into the technical details of all five required natural expense categories, working through the tricky classification questions companies are already bringing to their teams. This is the episode to bookmark when your client asks, "But where exactly does that go?"In this episode:The difference between natural and functional expense classification, and why it matters for your disclosurePurchases of inventory: what's included, what's excluded, and how intercompany transactions and inbound freight factor inCost-incurred vs. expense-incurred basis: what each means and why most companies will elect cost-incurredEmployee compensation: the ASC 718 definition of "employee," how to handle contractors and leased workers, and a practical approach to mixed workforcesDepreciation and intangible asset amortization: how to handle finance lease ROU assets, internal-use software, and the costs that look like amortization but aren'tDD&A for extractive industries, plus special considerations for asset-related costs, liability-related expenses, and reimbursement arrangementsHow to define selling expenses for your business, and why that definition has to hold up over time

Beyond the Line Item: Why DISE Changes Everything 31.03.2026 33m

The FASB just issued new guidance that will fundamentally change how public companies communicate about their cost structure. In the first episode of a three-part series, Embark's Nicole Harger and Adam Olsen break down ASU 2024-03, the Disaggregation of Income Statement Expenses (DISE) standard, and why companies need to start preparing now, even with a 2027 effective date on the horizon.This episode covers the foundation: the investor demand driving the standard, who it applies to, and what "relevant expense captions" actually mean for your financial reporting.In this episode:Why the FASB issued DISE and how it fits into a broader expense transparency initiative (alongside ASU 2023-07 and ASU 2023-09)Who is in scope: all public business entities, including broker-dealers, IPO-stage companies, and private companies whose financials appear in SEC filingsEffective dates: annual periods beginning after December 15, 2026; interim periods beginning after December 15, 2027What goes into the tabular footnote disclosure, including the five required natural expense categoriesHow to identify relevant expense captions, and the key exceptions and practical expedients that offer some relief

Navigating Collaboration Arrangements — Accounting Under ASC 808 & 606 04.08.2025 35m

Collaboration arrangements are becoming more common across industries, from biotech partnerships to platform-sharing in tech. But when it comes to accounting, things get complicated fast.In this episode of Accounting Matters, Nicole Harger and Adam Olsen explore how to navigate ASC 808 and ASC 606. They cover:What qualifies as a collaborative arrangementHow to determine if (and when) ASC 606 appliesReal-world examples involving IP licenses, cost-sharing, and milestone paymentsThe role of customer relationships in collaboration agreementsDisclosure expectations and SEC hot buttonsCommon pitfalls and best practicesWhether you’re structuring a new deal or reviewing an existing one, this episode offers a practical roadmap to get the accounting right.

Accounting for Innovation — R&D Costs Explained 11.06.2025 33m

Join hosts Nicole Harger and Adam Olsen as they explore the intricacies of accounting for R&D costs. This episode covers the current U.S. GAAP treatment, challenges in the life sciences sector, and differences with IFRS. Discover potential changes from FASB and gain insights into how these accounting principles impact financial statements across industries. Perfect for professionals navigating the evolving landscape of R&D accounting.

FASB in Focus - Key Projects to Keep on Your Radar 02.05.2025 38m

In this episode of "Accounting Matters," hosts Nicole Harger and Adam Olsen explore the FASB's 2025 agenda, highlighting key projects aimed at modernizing financial reporting standards. They discuss the proposed overhaul of software cost accounting, the introduction of a framework for environmental credit programs, and long-awaited guidance on accounting for government grants. These initiatives reflect a shift towards greater transparency and decision-usefulness in financial statements, addressing real-world challenges faced by companies today. Tune in to understand how these changes could impact your organization's financial reporting practices.

The Global Tariff Tango – Keeping Your Financial Statements in Step 21.04.2025 42m

Join hosts Nicole Harger and Adam Olsen as they explore the complex world of tariffs in this episode of Accounting Matters. Discover how global trade policies and tariffs are reshaping financial statements, supply chains, and pricing strategies. From the hardest-hit industries to strategic mitigation tactics, this episode provides valuable insights for navigating today's dynamic trade environment. Packed with in-depth analysis, it equips you with the knowledge to stay ahead in the financial landscape.

The EU Buses in Proposed Changes to Sustainability Reporting 18.03.2025 41m

Join hosts Adam Olsen and Allison Bradshaw as they break down the EU's proposed Omnibus package in this episode of Accounting Matters. They explore the evolving landscape of sustainability reporting, including SEC climate rules, state regulations, and ISSB standards. Discover how these changes impact CSRD obligations, scoping, timing, and assurance requirements. Packed with insights, this episode equips you with the knowledge to navigate the future of sustainability reporting.

2024 AICPA & CIMA Conference on Current SEC & PCAOB Developments Recap 09.01.2025 38m

Join hosts Nicole Harger and Adam Olsen as they break down the key takeaways from the 2024 AICPA & CIMA Conference on Current SEC & PCAOB Developments! In this episode, they dive deep into the latest shifts in SEC & FASB priorities, the rising impact of AI on the accounting industry, and the evolving landscape of ESG reporting. Packed with expert analysis and actionable insights, we provide you with everything you need to stay ahead in accounting and finance.

Deepdive on EFRAG CSRD Study | Live from Workiva Amplify 16.10.2024 19m

Coming to you live from Workiva Amplify! Join your hosts Adam and Allison as they dive into the recent EFRAG study unpacking key findings from companies navigating their early implementation of the EU's CSRD.EFRAG Study on Early Implementation of ESRS

FASB Proposed ASU, a Slew of IFRS Updates, New FAQs from GHG Protocol 07.08.2024 7m

Your AM Now hosts Adam Olsen and Matt Fisser are back to bring you what’s happening in accounting and finance, including stories on:The FASB’s proposed ASU on the scope of derivative accounting and share-based payments from customers.The IASB’s recently completed review of IFRS 15 and IFRS for SMEs Accounting Standard along with some final decisions on their rate-regulated activities project.The recently released Exposure Draft proposing amendments to IFRS 19, Subsidiaries without Public Accountability: DisclosuresThe proposed inclusion of illustrative examples in the IFRS standards to enhance the reporting of climate-related and other uncertainties in financial statements.The recently released set of FAQs from the Greenhouse Gas Protocol to help companies in applying their standards.For more on this week’s topics:Proposed Accounting Standards Update, Derivatives and Hedging (Topic 815) and Revenue from Contracts with Customers (Topic 606)IFRS, Rate-Regulated ActivitiesIFRS Exposure Draft, Amendments to IFRS 19 Subsidiaries without Public Accountability: DisclosuresIFRS Exposure Draft, Climate-related and Other Uncertainties in the Financial StatementsGreenhouse Gas Protocol, Corporate Standard Frequently Asked QuestionsConnect with Embark on: LinkedInInstagramTwitterFacebookYouTubeListen to AM Now on Apple Podcasts and Spotify.

Leading through an accountant shortage 06.08.2024 44m

Practical ways leaders can overcome the accountant shortage from 3 managing directors with direct experience.