Accounting for the Future: Recent Episodes
BDO Canada
Simplicity is the ultimate sophistication. Anne-Marie Henson transforms intricate concepts into digestible insights, helping financial leaders navigate with clarity and confidence.
As we close out 2025 at Accounting for the Future, this final episode brings together the standout insights around how Canadian businesses are navigating uncertainty. Host Anne-Marie Henson highlights the key conversations that stood out and insights that will continue to shape business strategy well into the year ahead.
Some of the topics we revisit include:
- How uncertainty in public markets is reshaping investment strategies and the signals leaders should watch next, with guest Sunil Sharma, National Leader, Transaction Services and Private Equity, BDO Canada.
- What the changing interprovincial trade landscape means for business and how to thrive through the transition, with guest Jonathan Kalles, Vice President, McMillan Vantage.
- How learning and development is emerging as a core driver of resilience and growth, with guest Dr. Keith Keating, Chief Learning and Development Officer, BDO Canada.
- And many more topics, from sustainability and generative AI to the evolving impact of women in leadership.
Join us as we connect the dots across a year of insights and highlight the takeaways that will help you navigate what's coming next.
#accounting #BusinessStrategy #FinanceLeadership
What you'll hear in this episode:
00:00 – Anne-Marie introduces episode
02:05 – How uncertainty in public markets is shaping investment strategies
04:52 – Leveraging strategic planning to thrive through uncertainty
08:50 – Navigating interprovincial trade and policy changes
12:59 – Why board members need to stay informed on regulatory changes
18:37 – The value of finance leaders and boards prioritizing sustainability
23:43 – How women leaders are shaping the finance function
25:51 – Why learning and development is more than a cost centre
30:24 – How generative AI is helping businesses unlock value
33:56 – The role cybersecurity plays in ransomware and nation-state attacks
37:03 – Anne-Marie's closing thoughts
Mentioned:
Anne-Marie Henson
BDO Canada
Sunil Sharma
Jonathan Kalles
Dr. Keith Keating
Quotes:
"In these times, I think it's really critical to ensure that your organization has strategic clarity, because it provides organizations with a framework in which to make decisions when the external environment shifts—as it consistently is these days."
"Where I believe that we're actually going to see an active change towards more women in the boardroom is women becoming investors. Those that see the opportunity to write the checks and be a part of the deal making. I believe that that's going to actively lead to more women in the boardrooms over time as well." "Strong sustainability data creates value. It can protect value, and it can build transparency that can inform smarter decision-making and create numerous benefits in the business. Again, both from a value creation point of view and also from a value protection point of view, a risk management point of view."
"Agility, sometimes, is confused with a quick response, right? In fact, as a board, when you think about agility, it's more around: have you built a culture at the board level of being able to respond to things in a thoughtful way, in a timely way that will allow pivoting? That doesn't necessarily mean we've got to make a quick decision."
How can audit teams turn data into a strategic asset? This episode of Accounting for the Future explores the real-world impact of data analytics on the audit profession.
Host Anne-Marie Henson welcomes Dominic Chow, Head of Operations, Technology Risk Assurance at BDO Canada, for a candid discussion on how analytics is reshaping audits. They explore how technology is enabling auditors to move beyond traditional compliance, using data to proactively identify risks, uncover opportunities, and deliver more value to organizations.
They also discuss the importance of robust data governance, the role of collaboration between finance and audit teams, and practical steps for integrating analytics into audit workflows. Plus, examples of how analytics can reveal hidden trends, improve controls, and support smarter decision making are also covered in this episode.
#DataAnalytics #AuditTransformation
What you'll hear in this episode:
[00:30] Episode opening remarks and guest introduction.
[01:58] The transformation of auditing through data analytics.
[04:47] Examples of business-critical insights from analytics.
[06:33] The evolution from compliance to strategic insight.
[08:57] Real-world example of how analytics reveals an anomaly that shifts business decision making.
[13:37] The importance of controls, data quality, and governance.
[19:27] The collaboration between CFOs, finance leaders, and audit teams.
[23:53] Challenges and actionable steps for organizations
[27:40] Closing remarks.
Mentioned:
Anne-Marie Henson
Dominic Chow
BDO Canada
Quotes:
"I always start with the fact that this isn't magic. The difficulty is actually in the doing."
"This is about moving from policing to a partnership—the auditor as truly a partner and strategic advisor to our clients."
"Understanding where the data originated and how it flows through the organization, that needs to be mapped out. That needs to be thought about."
"An organization could spend lots of money on the latest technology and tools, but if they don't have strong controls in place, if they don't have that culture of data ownership and governance and documentation, it doesn't matter how much you spend on those great tools, they won't work on your organizations."
"People need to treat the data in a sacred kind of way that maybe they didn't treat it in the past because, well, we're just going to slice and dice it anyway and go to the report. We might graph it. It doesn't have to be a hundred percent, but now it matters."
In this milestone 50th episode of Accounting for the Future, host Anne-Marie Henson and Rob Philpotts, a Partner in BDO's Cybersecurity practice, explore how cyber threats have evolved into a strategic business priority for organizations of all sizes and offer actionable advice for CFOs and finance leaders.
They also cover the impact of geopolitical activities on cybersecurity, real-world examples illustrating how cyber incidents can disrupt operations, and why even small and medium businesses must be vigilant. This episode highlights why integrating cybersecurity into business planning—beyond just budgeting—is essential, as the 'speed of cyber' demands that leadership teams take true ownership.
#cybersecurity #BusinessResilience #CyberAttack
What you'll hear in this episode:
00:00 – Introducing Rob Philpotts, Partner, Cybersecurity
01:45 – Cybersecurity and geopolitical tensions
04:13 – Why small and medium-sized businesses must be vigilant
08:19 – Cybersecurity in a shifting global supply chain
10:36 – Integrating cybersecurity in the planning phase
13:01 – Why planning is cheaper than responding
15:05 – Regulatory changes and Bill C-8
17:18 – Business repercussions of cyber incidents
23:14 – Why budget alone doesn't ensure cyber readiness
26:17 – Three strategies to build cyber defences
30:58 – Why true resilience involves the entire organization
31:52 – Practical advice: Security vendors and independent reviews
36:15 – Closing thoughts
Mentioned:
Anne-Marie Henson
Rob Philpotts
BDO Canada
Quotes:
"Now that we are very aware that cybersecurity is part and parcel of geopolitical activities, we definitely have to become more and more aware, and we strive every day to help our clients understand this."
"Financial risks are immediate and, typically, you see them show up quite quickly in the event of a cybersecurity issue. But the reputational risk is really the long-term potential damage to your supply chain, your customers who might have lost confidence in your ability to secure their data and their information. So those risks definitely should not be underestimated when we're looking at these types of issues."
"You can't outsource risk. It's not your IT company's risk. It's your risk. It's also your accountability."
"The organizations that don't just offload this responsibility to the CTO or the CIO, and actually make it the responsibility of everyone, are the ones that I've seen that are really most successful."
"Planning is cheaper than responding."
"Now doing that at the speed of light, of course, that's where your integration has to occur, and looking for those anomalies. Because that's how fast a cyber attack happens. We call it 'speed of cyber'—it happens in the snap of a finger."
As climate volatility and new regulatory pressures escalate, business leaders are increasingly framing complex strategic decisions through the lens of sustainability and resilience.
In this episode of Accounting for the Future, host Anne-Marie Henson, Partner, National Industry Leader, sits down with Simon Hutton, National Sustainability Leader, to discuss how organizations are integrating sustainability into proactive risk management, navigating growing pressures, and using data to stay transparent.
With grounded insights and practical examples, this episode offers CFOs, audit committee chairs, and business leaders a clear path to strengthening risk oversight, enhancing reporting, and building more resilient, future-ready enterprises.
What you’ll hear in this episode:
00:00 – Introducing Simon Hutton, National Sustainability Leader
01:45 – The evolving sustainability landscape
04:57 – Top sustainability priorities for Canadian businesses
09:13 – Sustainability as a catalyst for supply chain scrutiny
12:10 - Extreme weather and supply chain resilience
16:28 - Factoring climate risk into asset decisions
20:16 - Real-world example: Mining industry supply chain decisions
21:26 - Common mistakes in sustainability reporting
25:29 - Avoiding greenwashing & Bill C-59
30:52 - Why CFOs and boards should care about sustainability
35:23 - Closing thoughts
Mentioned:
Anne-Marie Henson
Simon Hutton
BDO Canada
Quotes:
“Sustainability has evolved from simply a reporting exercise to more being a core, integral part of building business resilience.”
“We do see more and more companies are recognizing that sustainability performance, commitments, and so on, is really part and parcel of not just building firm value, but also protecting firm value over the course of time.”
“The good news that we see unfolding is that more and more companies are shifting. Shifting from a place of reacting to disruptions—which is something, of course, they have to do—to taking a more proactive approach and building more resilience in their supply chain up front.”
“I think the two biggest mistakes that we see manifesting is overpromising and then undermeasuring.”
“There is a real benefit to starting with one or two things you can confidently do; there is a real risk to identifying five wonderful, bold aspirational goals but not having the confidence you can execute on them.”
“Sustainability is a financial management and valuation issue, and, as a result, this is an important thing for the CFOs of the world to take stock of.”
“I think, at the end of the day, strong sustainability data creates value, it can protect value, and it can build transparency that can inform smarter decision making and create numerous benefits in the business, again both from a value creation point of view and also from a value protection point of view—a risk management point of view.”
Learning and development (L&D)—is it just a cost centre, or is it a performance lever, retention strategy, and competitive advantage for your organization? Join host Anne-Marie Henson on Accounting for the Future as she explores the value of L&D with Dr. Keith Keating, Chief Learning and Development Officer at BDO Canada.
They unpack the evolving dynamics between CFOs and learning, why innovation and compliance don’t have to be at odds, how to integrate learning and development in business strategy, and much more.
If people are your greatest asset, this episode is your blueprint for turning learning into a strategic engine for growth.
What you’ll hear in this episode:
[00:00] Introducing Dr. Keith Keating
[01:38] Keith’s journey: What sparked a passion for learning
[05:34] Reframing L&D: From cost centre to catalyst
[10:27] The evolving relationship of CFOs and L&D
[17:53] The CFO as a Chief Value Officer
[20:25] Ensuring L&D is central to business strategy
[24:13] Balancing innovation with compliance
[26:50] The power of “FAIL”
[30:59] Strategic partnerships for future-ready learning
[37:19] Advice for leaders: Model what you want to multiply
[39:33] Closing thoughts and where to learn more
Mentioned:
Anne-Marie Henson: https://www.bdo.ca/our-people/anne-marie-henson
Keith Keating: https://www.bdo.ca/our-people/keith-keating
BDO Canada: https://www.bdo.ca/
Quotes:
“Leaders are starting to recognize in general that learning isn't just a perk. It's a performance lever. It's a retention strategy.”
“Involve L&D early and often. Invite your learning leaders into the room where strategy is being shaped; not just when it's time to roll it out. Because when L&D can understand what the business is solving for, then it can align those efforts from the start.”
“If people are your competitive advantage—and most organizations say that they are—then L&D isn't optional. It's an infrastructure. It's the operating system for growth, agility, performance. But it only works when it's embedded into the strategy, not bolted on as an afterthought.”
“Shift the mindset from deliverables to value. I want to encourage leaders to move away from asking, ‘What training can we create?’ to, ‘What problem are we solving, and how can learning be part of that solution?’”
“Hold learning accountable to business outcomes. What I mean by that is learning shouldn't be measured by butts in seats or satisfaction scores. It should be measured by the outcome that it enables: employee retention, productivity, engagement, capability, client impact, client experience.”
“For us, compliance isn’t a blocker; it’s a boundary, yes, but great design can thrive within those boundaries”
“We let our teams know that failure isn’t fatal, it’s feedback.”
“If I could offer one piece of advice, it would be this: model what you want to multiply. You can’t mandate a growth mindset; you have to live it.”
What do interprovincial trade barriers mean for Canadian businesses and what’s changing? In this episode of Accounting for the Future, host Anne-Marie Henson sits down with Jonathan (Jono) Kalles, Vice President of McMillan Vantage and former advisor to the Prime Minister, to unpack the implications of Bill C-5 and how the interprovincial trade landscape is evolving in Canada.
From the removal of federal exceptions under the Canadian Free Trade Agreement to the complexities of provincial cooperation, they explore the economic, regulatory, and strategic shifts underway. Hear practical insights for finance leaders navigating the ripple effects of new trade policies and find out what your organization can do now to stay ahead.
What you’ll hear in this episode:
[02:28] What are interprovincial trade barriers in Canada?
[05:35] What does Bill C-5 mean for Canadian companies?
[08:15] Removing the 53 federal exceptions
[10:25] Federal vs. provincial role in cutting red tape
[14:45] Industries most impacted
[17:31] How U.S. trade pressures are sparking policy shifts
[18:47] Controversy and risks around Bill C-5
[25:28] Lessons for CFOs and finance leaders
[29:21] How to stay up to date
Mentioned:
Anne-Marie Henson: https://www.bdo.ca/our-people/anne-marie-henson
Jonathan Kalles: https://mcmillanvantage.com/team/jonathan-kalles/
BDO Canada: https://www.bdo.ca/
Quotes:
“We are in a new reality where tariffs, red tape, and trade in general are being reassessed. We’re thinking about them differently and, obviously, the biggest reason is Donald Trump.”
“I think everybody can say there is just too much red tape, there is too much regulation in Canada, and the goal of this is to unleash a lot of our natural resources—projects that go, really, across the country.”
“I will throw this out right now—the majority of these barriers remain between provinces, and they’re not at the federal level. So there’s still a lot of red tape to be cut.”
“When you live in a world of either free trade or a more tariffed type of trade—and that could be international amongst countries, but it’s true within Canada, as well—it’s trying to balance out how do you protect your local economy, your local workers, how to incentivize buying local, while at the same time opening up markets and having, in a sense, more people to trade with, more people to sell to.”
“For a lot of clients that I’ve worked with and companies that I speak to, they often talk about the fact that it’s easier to export north-south than it has been to export east-west or west-east.”
“As they say, ‘necessity is the mother of all invention’… All of the tariffs that [President Donald Trump] imposed, it has forced us to reckon with some of our own barriers that we could be getting rid of and making life easier and actually more prosperous within Canada.”
How can you communicate effectively with your board and turn them into one of your most valuable strategic assets? In this episode of Accounting for the Future, host Anne-Marie Henson is joined by Anthony Marinelli, Board Chair and Partner, Assurance-East Leader at BDO Canada, and Janet Boyle, Independent Board Member at BDO Canada and Senior Vice President at RBC.
Together, they unpack how CEOs and senior leaders can foster trust, transparency, and strategic alignment with their boards. Tune in to hear practical advice on the role and value of independent board members, leveraging your board as a strategic partner, and much more.
What you’ll hear in this episode :
[1:40] Management vs. board of directors responsibilities.
[4:01] Balancing dual roles as board chair and partner.
[5:49] Keys to a strong board-management relationship.
[10:05] Tips for better board collaboration.
[14:16] The board’s value in understanding discarded ideas.
[16:04] Navigating difficult conversations with trust.
[20:32] The value of independent board members.
[27:43] How to be agile amid constant change.
[32:48] Setting the right tone at the top.
[35:47] How to get on a board of directors.
Mentioned:
Anne-Marie Henson
Anthony Marinelli
Janet Boyle
BDO Canada
Quotes:
“My advice to new CEOs: start early with individual relationships. Don’t wait until first board meetings. Get to know the people, find out what their experiences are, what your board members do, and where they can add value.”
“A common mistake I've seen is that CEOs and management sometimes treat the board as an audience instead of a resource.”
“As an independent board member, the value is really bringing a very different perspective that the organization does not currently have.”
“One thing that CEOs, especially new ones, should remember, is that the board should be one of their most valuable strategic assets, not just an oversight body. Using the board properly will help them have success in their job.”
“Boards don’t expect perfection. They want to go through this process and work with management to get there.”
“I will double down on using the board for conversation, and not for presentation. Make sure you’re sharing ideas with them and don’t wait until you have a finished product before going to the board with it.”
In this episode of Accounting for the Future, host Anne-Marie Henson is joined by Sunil Sharma, National Leader of Transaction Services and Private Equity at BDO Canada , to unpack what's fueling the rise in companies going private. They discuss how current market conditions, including interest rates, geopolitical uncertainty, and undervalued assets, are influencing M&A activity in 2025. The conversation also covers why private equity is eyeing public markets, what makes a company an attractive target, and the ongoing valuation gap between buyers and sellers.
What you’ll hear in this episode:
[1:38] Market comparisons between 2022 and 2025, and what they mean for stock prices.
[3:52] Analysis of why the Canadian stock market was better equipped to withstand volatility in comparison to the U.S. market.
[5:10] Insights into the impact of interest rates on public market activity.
[7:04] How Trump’s election and policy announcements are affecting exit strategies, initial public offerings (IPO) plans, and the broader Canadian economy.
[9:16] A look at how private equity is approaching today’s market, including the valuation gap between buyers and sellers.
[11:41] Further analysis of the persistent valuation gap in the private market, influenced by pandemic-era expectations, tariff-related slowdowns, and more cautious decision-making by investors.
[14:06] The difference between a private equity firm taking a company private vs. an industry player acquiring a public company.
[16:37] What makes a public company attractive to a private equity fund.
[19:12] Key considerations and steps to understand before completing a go-private transaction
[23:22] A real-world example of a company that went public and later returned to private ownership.
[24:03] Sunil’s market predictions for the next 12 months.
Mentioned:
Anne-Marie Henson
Sunil Sharma
BDO Canada
Quotes:
“If you're thinking about potentially going private or partnering with a private equity fund, you should know that the expectations are different from those in the public market.”
“Nearly 50% of private equity deals valued at US$5 billion or more in North America were public-to-private deals.”
“Making sure there's excitement and interest from an investor base is crucial when a company is considering going public. In contrast, for private equity, having an aligned business strategy is more important.”
“As a result of some of the inefficiencies and challenges we're seeing in the private markets, there continues to be a record amount of dry powder out there. Private equity funds are increasingly looking to the public markets for undervalued assets, see where they can make an impact, and then look to take them private.”
In today’s evolving market, finance leaders are moving beyond traditional back-office functions to become strategic leaders and value creators. Anne-Marie sits down with Jesus Ballesteros and Charlotte Zhen of BDO’s value creation team, to explore how the modern CFO is transforming into a chief value creation officer—aligning finance, operations, and strategy while leading digital transformation to boost efficiency and long-term growth.
What you’ll hear in this episode
[4:07] The role of historical and current market fluctuations when analyzing and creating effective margin strategies.
[9:08] How today’s CFOs are shifting from back-office operators to strategic value creators.
[11:53] Why CFOs must adopt a strategic mindset to create value beyond finance and operations—regardless of company size.
[13:46] How finance leaders at smaller firms can take the lead in digital transformation to improve efficiency.
[16:36] Common inefficiencies companies face when launching value creation initiatives—and how to avoid them.
[22:00] The importance of strong performance metrics in enabling smarter, data-driven business decisions.
[26:04] Key financial and operational metrics that CFOs should track to continue to drive value.
[30:03] The vital role finance plays in shaping corporate strategy and guiding decision-making through accurate, actionable data.
[36:29] Actionable advice for CFOs looking to expand their impact and drive greater value across their organization.
Mentioned:
Anne-Marie Henson
Jesus Ballesteros
Charlotte Zhen
BDO Canada
Quotes
“If there's one skill that CFOs need to learn nowadays—it’s how to implement strategy effectively. This is because they’re at the centre of all activity within the firm and are uniquely positioned to execute those plans.”
“Finance is at the core of being able to bring different functions together towards a common goal. It’s important that they are seen as partners towards driving success.”
“Finance teams can really add value by providing ongoing visibility into what is going on in the business. From a numbers perspective, they act as an advisor to ensure that all the operational efforts translate into positive financial results.”
“The voice of finance at the table is very important when doing digital transformation. It’s important that CFOs understand how digital transformation impacts operations and how it can make the finance function itself much more efficient.”
Host Anne-Marie Henson sits down with Paul Dostaler, BDO’s Partner and National Manufacturing and Distribution Leader, to unpack how manufacturers can move beyond pilots and start scaling AI effectively. They explore the current pace of AI adoption in Canada, the roadblocks many businesses face, and what’s needed to realize long-term ROI. The episode features data from Momentum: BDO's Manufacturing and Distribution Leadership Report.
To explore more findings, visit the report page.
What you’ll hear in this episode:
[1:33] AI overview: Rate of adoption and key trends.
[5:08] Challenges in AI adoption.
[9:30] Considerations for scaling AI.
[12:02] The connection between warehousing, logistics, supply chains, and financial reporting.
[14:05] An overview of the BDO Boost AI tool.
[18:21] Regulatory and compliance considerations.
[21:45] Top considerations for businesses to realize and maximize ROI.
[25:17] Economic uncertainty and AI.
Mentioned:
Anne-Marie Henson
Paul Dostaler
BDO
Momentum Report
Quotes:
"AI is different than other technologies. It's not just a standalone tool, it's actually more of a muscle. And so the more that you use AI, the better it becomes and the more potential for ROI that it has."
“More and more manufacturers are choosing digital transformation as a means to adapt to all of the current events and the changing environments.”
"Look holistically at your business and think about the parts that are taking you the most time and start thinking about what more sophistication around automation and generation might help speed up those workloads."
“Organizations really need to understand that adopting AI means experimenting, it means having successes and failures, and it means charting a path that brings the most benefit.”
“Everything that the business does is in support of clean and effective financial reporting. And so really good inputs create good outputs, and getting more insight into those inputs further creates better results.”
Host Anne-Marie Henson welcomes two of WXN’s Top 100 Most Powerful Women in Canada: Shilpa Mishra, Managing Director and National Leader of Capital Advisory at BDO, and Alyssa Barry, co-founder of irlabs and President at Alliance Advisors. They discuss navigating male-dominated industries, the power of authenticity and allyship, and how economic uncertainty impacts their roles. The conversation explores strategies for success, the future of women in leadership, and the importance of mentorship in driving gender equality.
What you’ll hear in this episode:
[1:54] Career paths of Shilpa and Alyssa and their journey toward leadership.
[7:45] Challenges in male-dominated industries.
[13:10] The impact of current economic uncertainties on their roles.
[18:23] The Women Driving Growth pillar at BDO Canada and its success.
[26:20] The future of women in leadership roles.
[29:16] The role of mentorship and allyship in supporting the next generation of leaders.
Mentioned:
Anne-Marie Henson
Shilpa Mishra
Alyssa Barry
BDO
Quotes:
“I often say, I know we're not saving lives, but I love saving companies and helping them navigate their strategies and futures."
“I've always approached my career with a mindset of I am who I am, and I don't really see being a woman as something that defines my ability to succeed or limit what I can accomplish.”
“And I just want to say that a key driver of our success for Women Driving Growth over the past couple of years has been the continued support from our amazing women partners at BDO and our male allies as well.”
“So I think we have a responsibility to bring that next generation into the good, the bad, and the ugly calls. I think sometimes we're all in the client services business here. Sometimes we may not want that junior to sit in on that really tough conversation where we need to have a conversation with a client. I think we need to bring them in and need to allow them to shadow and find unique ways to be a part of it.”
“We're starting to see that movement away from tokenism and seeing that shift towards women in the boardroom playing critical roles in decision making, which is really great to see.”
In this episode of Accounting for the Future, host Anne-Marie Henson, Eastern Canada Markets Leader, sits down with Daniel Ma, Partner, Valuations & Modeling, to discuss the challenges of navigating political uncertainty following recent tariff announcements by the Trump administration. They explore the potential impact on Canadian businesses and share proactive strategies for managing risk through scenario planning and financial modeling—essential tools for anticipating unexpected economic or political shifts, from global pandemics to trade policy changes.
What you’ll hear in this episode
[3:09] The possible implications of the proposed tariff legislation for Canadian businesses.
[5:06] Short-term strategies for Canadian businesses amid evolving conditions.
[6:11] How the Canadian government is responding to the proposed changes.
[7:58] The broader economic impact of tariffs on Canada.
[12:12] Analysis of potential scenarios and their impact on Canada.
[16:20] How CFOs and business owners can use financial modeling and stress testing for effective scenario planning.
[19:52] Tools for CFOs and business owners to assess financial modeling and make informed decisions.
[26:11] Exploring the potential positives tariffs could have for the Canadian economy.
[28:17] Why strategic planning and adaptability are key to navigating political and economic uncertainties.
Mentioned:
Anne-Marie Henson
Daniel Ma
BDO Canada
Quotes:
“I've built enough models to know that the only thing you can say with certainty about the future is that there will be uncertainty.”
"Good planning and adaptability are critical for businesses to weather political and economic uncertainties."
“There's a lot of tough decisions to be made in times of uncertainty, but strategic planning helps provide a clearer picture in terms of what could happen and how we could strategize and attack it.”
“The silver lining is that there could be some benefits or some positives that we can look towards. We've seen more unity around Canada, and we've seen our political parties band together to support retaliatory tariffs and promote buying domestic.”
“Tariffs are top of mind for so many Canadian businesses today, but we've certainly seen this before in other situations. The pandemic being one recent situation that where we saw a number of companies pivot or change the way they do business.”
In part two of this two-part mini-series, host Anne-Marie Henson welcomes back Armand Capisciolto, Chair of Canada’s Accounting Standards Board, BDO alumnus, and former host of the Accounting for the Future podcast. In this episode, they delve into the significant changes that have occurred among different standards, the importance of optionality in standard setting, as well as the impacts of cryptocurrency and ESG on the current standards. . This episode also explores actionable insights for businesses when looking at compliance of current and future standards.
For more on accounting standard setting, subscribe to Armand’s LinkedIn newsletter: Inside Standard Setting.
What you’ll hear in this episode:
[1:52] Guidance and actionable steps for navigating various compliance standards applicable to public companies.
[4:04] How do we make standards scalable for businesses of various sizes?
[9:26] The impact of ESG and connectivity between sustainability reporting and traditional financial reporting.
[14:19] The challenges and opportunities presented by evolving economies, highlighted through the impact of cryptocurrency on accounting standards.
[20:56] Addressing the realities of due process and the importance of developing standards that are not only relevant today but will continue to hold value in an evolving economy.
Mentioned:
Anne-Marie Henson
Armand Capisciolto
BDO
Quotes:
“IFRS has moved, and our domestic standards have stayed still, so there's now this large gap between part one and part two of our handbook. First and foremost, any company that is applying ASPE and is thinking about going public, will have to adopt IFRS. They must understand they have a fairly large lift. This is not something you can do at a moment's notice, it takes time.”
“One element I think companies absolutely have to consider today, that maybe wasn't as important 10 or 15 years ago with different technology and systems, is the importance of understanding what that change means fundamentally to your organization.”
“We spend a lot of time on what we refer to as connectivity, and that's really the connections between sustainability reporting and traditional financial reporting. It highlights risks that traditional financial statements have not necessarily covered. Sustainability reporting looks quite a ways out into the future. Accounting standards do look out to the future, but not that far.”
“As standard setters, whether it's the FASB, whether it's us in Canada, or whether it's the IASB, we only have so many hours in the day. We must properly prioritize the projects we're going to work on, and we have to focus on the projects that are going to impact the majority of companies, or the most companies.”
“The reality is that we must deal with a standard-setting process that's built around a due process of consultation and outreach that takes time, while dealing with a changing economy and technology that really doesn't care how long standard-setting takes. That for me as a standard-setter is the challenge. How do I create standards that aren't just relevant today but standards that will remain relevant in a changing economy?”
Host Anne-Marie Henson is joined by Armand Capisciolto, chair of Canada's Accounting Standards Board, BDO alumni, and former host of the Accounting for the Future podcast. They discuss the importance of accounting standards, the process of setting them, and Canada's influence on international standards. The episode also highlights how standards improve financial information and the role of stakeholders in the process.
For more on accounting standard setting, subscribe to Armand’s LinkedIn newsletter: Inside Standard Setting.
This episode is part 1 of 2.
What you’ll hear in this episode:
[2:29] The importance of standard setting and what it means.
[5:17] The process of developing a new standard or making an amendment to a standard.
[10:37] The importance of engagement from Canadian stakeholders in the global standard-setting process.
[13:39] The unique position of Canada in dealing with diverse industries and regulations.
[15:18] How can individuals, companies, and firms get more involved in the standard-setting process?
Mentioned:
Anne-Marie Henson
Armand Capisciolto
BDO
Quotes:
"Our focus is very much on the financial statement user. So, when we talked about a new standard, when we talked about an amended standard, will the new standard, will the amendment provide better information to an investor, to a creditor, to a funder who's making a decision on where to put their money?"
"The accounting standards are applied by accountants, they're audited by accountants, but they're not really for accountants. The accounting standards are for the users of the financial information. They're for the public who's using financial statements to make decisions."
"When the IASB comes here and we arrange for them to meet with the interested and affected parties in Canada, whether it's investors, whether it's the Canadian Bankers Association, whether it's just preparers and the auditors in the various industries that are prevalent in Canada, they get such great constructive feedback."
“I also think one of the reasons why we do a good job of influence from a Canadian standpoint is I always see Canada as kind of a microcosm of the globe, of the world.”
"So my biggest thing, get involved. It doesn't matter what size company you work for. Yeah, we understand that there's resource constraints. Everybody has resource constraints. But if you want quality standards, we need to hear from you."
In this episode, host Anne-Marie Henson explores the growing realm of cybersecurity threats with guest Sacha Blasiak-Priestley, BDO's National Leader of Cloud Security. They discuss some of the biggest cybersecurity breaches this year, including Christies, London Drugs, and AT&T. The conversation uncovers the lasting operational and reputational impacts of cyber attacks, AI's intricate role in cybersecurity, and the importance of having a robust, frequently tested incident response plan.
What you’ll hear in this episode:
[1:27] The trends of emerging cybersecurity threats.
[3:07] The types of threats and common vulnerabilities businesses overlook.
[9:07] The long-term consequences of cyber attacks.
[11:10] How accurately do portrayals in media reflect real-life cyber attacks?
[13:09] New technologies that help mitigate cybersecurity risks.
[14:38] What companies can do to proactively prepare for sophisticated cyber threats.
[18:37] Recommendations on testing and revisiting your company’s plans.
[20:20] The future of cybersecurity.
Mentioned:
Anne-Marie Henson
Sacha Blasiak-Priestley
BDO
Quotes:
"Sometimes it can take companies up to years to actually recover all of those systems. So they might have those core systems that are up, but it could take years to get the supporting systems adjusted and fixed to be operational again."
"A lot of organizations think, I don't have data that's worth stealing, no one would come after me, I'm not even a large organization. But the truth is that a lot of these attacks are really opportunistic."
"We're seeing a lot of frauds that are perpetrated by asking, Hey, I'm your regular supplier, but I need you to change my banking account information or wire me this money somewhere else."
"On the defense side, we're using AI to help us quickly detect patterns to identify perhaps misconfigurations or some suspicious behavior.’
"Organizations can help protect around the sophisticated attacks by making sure that they have controls all along the different ways."
Learn how technology, particularly AI and data-driven solutions, is revolutionizing the audit profession, leading to enhanced productivity. Host Anne-Marie Henson is joined by Paul Vetrone, Innovation and Change Director at BDO Canada, and Youssef Hounat, VP of Product at DataSnipper. Together they discuss the integration of innovative technologies in auditing, emphasizing the shift towards more efficient and higher-quality audits.
What you’ll hear in this episode:
[1:42] An introduction to DataSnipper as an intelligent audit platform.
[3:20] What do audit firms look for when it comes to audit technology?
[6:56] What a data-driven audit looks like.
[9:20] What is BDO Harmony and what does it do?
[12:00] The evolution of AI and its impact on some industries.
[15:46] AI in the audit process.
[23:22] The future of audit technology and data-driven tools.
Mentioned:
Anne-Marie Henson
Paul Vetrone
Youssef Hounat
BDO
DataSnipper
Quotes:
"When we're talking about a data-driven audit approach, we're really looking at the entire population, the entire data set, and being able to see trends and anomalies within that data to really identify what are those true outliers within that information."
"People want to make sure that their teams are actually working on value-added activities, and that's really why they come to DataSnipper, to take away the manual and repetitive work so that their teams can focus on what matters."
“Since the launch of ChatGPT in September 2022, there's been so many exciting new products, whether it be bookkeeping assistance that can completely do a reconciliation with absolutely no input from a human, all the way through to transaction risk scoring.”
“in terms of what we're seeing in the audit industry right now, I think AI is really kind of on the fringes. I think a lot of firms are really trying to figure out how to best utilize it at this point”
“What I can expect to see is much more integration with tools such as APT or with BDO Harmony to make sure that it's more of a seamless experience as people are working”
Auditors can provide value beyond the numbers through practical solutions and advice on governance and regulatory changes. In a special live episode, guest host Mary Mathews is joined by Anthony Marinelli, Assurance-East Leader and Chair of BDO Canada’s Board, in a discussion on how the role and expectations of auditors have evolved and how business leaders should select auditors. They also discuss the impact of ESG and how technology and AI are transforming audit practices.
What you’ll hear in this episode:
[1:56] How audit has evolved over the years.
[5:35] What business leaders should look for when selecting an auditor.
[9:17] Building a strong auditor-client relationship.
[13:35] What business leaders should expect from their auditors with respect to ESG.
[16:08] People and talent in auditing.
[18:18] Ensuring technical excellence.
[21:00] What does an auditor do to adapt to the challenges and opportunities in today’s business environment?
[23:01] The role of innovation and technology in transforming auditing practices.
[25:15] Providing value beyond numbers.
Mentioned:
Mary Mathews
Anthony Marinelli
BDO
Quotes:
“…what is the company buying? It's the experience. It's an audit experience, and it's not only from the day the audit starts to the day the audit ends. It's also the post-audit experience from the day the audit ends to the day the next audit starts.”
“..our stakeholders are becoming more sophisticated. I just think about a lot of the users of our financial statements, whether it's the bankers, whether it's private equity firms, whether it's second generation now that are involved in the business that expect more out of a financial statement, so absolutely the landscape has changed.”
“The pace of change now may be quicker than it ever was, but it's slower than it will be in the future."
"Happy people lead to happy clients. It starts with the happy people, and then it's infectious."
"AI tools are great and help us become more efficient, but they'll never replace the human auditor."
“I think it starts with the numbers though. I think we have to make sure the numbers are right, and if the numbers are wrong, it really doesn't matter what happens after.”
AI holds immense transformative potential for revenue optimization. Yet, governance, ethical considerations, and continuous monitoring cannot be undermined for responsible and effective AI implementation. Guest Achille Ettorre, Advisory Board Member at Queen's University, TedX presenter, and Faculty Member and Executive Consultant at the International Institute for Analytics, joins our conversation on the importance of AI governance, its impact, and ways to mitigate bias.
What you’ll hear in this episode:
[2:01] Defining Generative AI and big data.
[3:49] The impact of AI on business processes.
[6:59] AI’s impact on revenue, risks, and opportunities.
[10:00] The balance between speed and governance.
[12:45] How audit committee members or directors can improve their AI readiness.
[15:44] The impact of governance on AI.
[22:52] Mitigating AI bias.
[26:00] Guest speaker’s reflections on the future.
Mentioned:
Anne-Marie Henson
Achille Ettorre
BDO
Quotes:
"…a larger organization has so much more inputs, data inputs that they really have to have a governance program to ensure that all the throughputs are done in such a way that it's systemic, methodical, and correct every time.”
“..it's interesting from a revenue perspective, I truly believe that using these tools or these models can increase the revenue for any organization that understands the processes involved and the people that are actually working these models.”
“..for board members specifically, spending some time on whether it's informal education or some formal training on understanding what AI can actually do within their organization, or quite frankly entire industry would definitely bode well.”
“…you need to understand where you sit in the maturity model within your organization on how you use data and how you use analytics and how you implement AI.”
“If I were to say within the audit industry… I would suggest that a lot of the routine tasks would be automated so that there's oversight and a review versus actually compiling the data that will be automated.”
“I definitely think AI can help out in augmenting or setting up the framework, but I do think that should resonate within the leaders of the organization.”
Having robust internal controls is necessary for accurate financial reporting. In this episode, host Anne-Marie Henson is joined by Michael Crolla, Partner and National Capital Markets & Public Company Services Leader, and John Asher, Partner and Risk Advisory Services Leader in Western Canada. Drawing from their experience, they discuss the current Canadian regulatory landscape for public companies, how strong governance affects audits, and the role that strong internal control environments play in financial reporting. Explore the challenges companies face when establishing internal controls, best practices for building an audit committee, and special governance considerations for companies planning to list. Plus, discover key insights for optimizing internal controls in an evolving business landscape.
What you’ll hear in this episode: [01:30] An overview of the Canadian regulatory landscape for public companies.
[03:56] The importance of establishing and maintaining strong internal control environments.
[06:11] How a strong control environment affects the audit process.
[10:11] Challenges companies face when trying to develop internal controls.
[15:06] Top qualities an audit committee should have to maintain strong governance.
[22:47] Advice for companies that want to improve their control environment as they prepare to list.
[23:34] Strategies for optimizing internal controls.
Mentioned: Anne-Marie Henson
Michael Crolla
John Asher
Quotes: “The regulatory landscape for public companies is really multifaceted and involves several levels of oversight to really ensure the integrity of financial reporting and the internal controls that feed into financial reporting.”
“Having robust internal controls ensures accuracy and reliability of financial reporting.”
“Some of our clients are very busy with acquisitions, and so anytime you have an acquisition, you're bolting on another set of controls, you're bolting on another set of information systems.”
“If you do have that tone at the top, that leadership buy-in, it can really result in a very strong internal control program that really will help mitigate any risks and there's actually more benefits than pain points.”
“The world continues to evolve and change, and there's different risks that we're talking about on this right now that could affect the business as you look into the future.”
“Focus on some of those key issues or key areas that may have a little bit more risk. Try to mitigate that first, see how it's working, and then obviously keep implementing as you go along and adjusting as you go along.”
“Avoid control creep…meaning avoiding adding more controls for the sake of having controls.”
“We talked about tone at the top, but it's really important that there's strong commitment from leadership to ensure that staff are knowledgeable and that they're aware of regulations.”
Navigating the complexities of fraud prevention and detection in your organization is critical. In this episode, host Anne-Marie Henson is joined by Alan Mak, Partner and National Leader of BDO’s Forensic Disputes & Investigations, and Mary Mathews, Partner in BDO’s Accounting Advisory Group. Drawing from their expertise, they delve into the pervasive issue of fraud in today's financial landscape, discussing current trends, examples of fraudulent activities ranging from small-scale employee expense frauds to larger procurement frauds, and the psychological and societal implications of fraudulent behaviour. Discover key insights into the indicators of fraud in financial statements, the role of auditors in detecting fraud, and practical strategies for implementing effective controls to mitigate fraud risks.
What you’ll hear in this episode:
[1:35] An update on the latest fraud trends and status.
[2:11] Explanation of the fraud triangle.
[4:15] Examples of fraudulent activities.
[5:57] Examination of types of fraud and occurrences across different company sizes.
[8:25] The psychological aspects of fraud.
[13:17] Indicators of fraud in financial statements and the role of auditors in detecting fraud.
[17:10] Strategies for reducing the risk of fraud.
[23:15] Reflection on the societal perception of fraud and the need for robust consequences for perpetrators.
Mentioned:
Anne-Marie Henson
Alan Mak
Mary Mathews
BDO
Quotes:
"Fraud is one of those things that is very personal, even when it's a big company. And the reason why is because fraud inherently involves trust."
"As auditors, we have to meet high professional standards, a financial statement audit doesn't actually serve as a guarantee against any fraud or detecting fraud."
"It starts with good governance in place... putting in checks and balances to reduce those opportunities and the risks of fraud where opportunities might exist."
"We look at the world through one of several ways in terms of risk assessments for fraud, and a common framework that we use is something called the fraud triangle."
"Perform reconciliations with the right level of detail and attention... doing it thoroughly, properly, reviewing budgets to see how performance is going."
"The fraud triangle lists three elements that are necessary in order for frauds to exist or to occur. They are opportunity, rationalization, and motivation."
How can Canadian companies prepare to comply to Bill S-211? In this episode, host Anne-Marie Henson is joined by Pierre Taillefer, Partner and National Sustainability and ESG Leader at BDO Canada, in a discussion on the evolving landscape of ESG reporting and compliance. He sheds light on regulatory requirements in Canada, specifically, Bill S-211, highlighting the importance of understanding and addressing compliance obligations regarding supply chain management and the mitigation of child labour and forced labour risks. The episode offers valuable insights into the challenges faced by organizations and provides practical strategies for navigating the complexities of reporting obligations.
What you’ll hear in this episode:
[1:55] ESG regulatory and reporting landscape update.
[7:35] Introduction to Bill S-211.
[10:50] Compliance and reporting obligations.
[15:38] Impacted industries
[21:40] The role of Governance (the G) in reporting obligations.
[23:30] Challenges and response strategies.
[26:26] The future of ESG reporting.
Mentioned:
Anne-Marie Henson
Pierre Taillefer
BDO
Quotes:
“We're seeing a lot of activity over the last couple of months on Bill S-211, which is Canada's Anti-Slavery Act.”
"Demonstrating that you've done something and that you have a plan for improvement is crucial, and it allows you over time to implement a more robust process around managing that risk in your supply chain."
"We're not trying to boil the ocean. The idea here is not perfection, it is to demonstrate that you have done your work. An organization that needs to comply has done work to evaluate its supply chain and has a plan, a plan for improvement."
"The objective is that Canada's supply chain adequately manages the risk of child labour and forced labour within its supply chain."
"It's not only “what is the financial result you achieved,” but how did you achieve it, and that trend is not going to go away."
“We definitely see Europe ahead in terms of integrated reporting, and they will continue on that trajectory. It does have an impact on Canadian/US organizations that are selling into Europe.”
From enhancing audits to streamlining processes and predicting financial outcomes, AI is here to empower the finance function. In this episode, host Anne-Marie Henson is joined by David McKellar, a Partner and key leader in BDO’s Innovation & Change team and Senior Leadership Team, to discuss the impact of artificial intelligence (AI) on the accounting and finance function. Together, they explore how AI, including generative AI, can benefit financial statement auditors. The episode also touches on the potential applications of AI for CFOs, discussing its role in pattern recognition, prediction, and transparency. Addressing governance, the episode emphasizes the importance of data quality, security, transparency, and addressing potential biases in AI algorithms.
What you’ll hear in this episode:
[2:30] Understanding artificial intelligence (AI) vs. generative AI and the difference between the two.
[6:00] AI in financial statement and auditing.
[11:27] AI's impact on the finance function and CFOs.
[18:30] Governance considerations for AI adoption.
[26:30] AI and the society: The importance of education and embracing AI.
[27:35] Optimism about the positive impact of AI and democratization of knowledge.
Mentioned:
Anne-Marie Henson
David McKellar
BDO
Quotes:
"I think a lot of us understand that in some way, AI and how businesses will be using it in the future, is completely accepted."
"AI is not going to replace people's jobs; it's going to replace the jobs of those that don't embrace it."
" When you're looking for different patterns, instead of a human sorting through different files, no matter how fast they are, there's only so much that you go through. Now, we can actually leverage AI to drive through much more data and still pick up on the trends."
"The more AI gets out there, the better the models get, and the more they get fed, the more they learn.”
“I think we're going to see a level and a layer of regulation that will likely create some opportunity and some challenges from a finance function of just understanding what's there."
"The more AI starts to enable an organization, the more important understanding how biased your data and your algorithms are because you're going to be asked for that"
Despite the effects of the great resignation, there is still appears to be a scarcity of financial talent. In our latest episode, host Anne-Marie Henson, Partner, Eastern Canada & SMB Leader for Markets & Industry Canada, and Barbara Palmegiani, National Leader for CFO Services at BDO Canada, explore the challenges of hiring and retaining financial talent and the evolving role of CFOs, emphasizing their transformation into Chief Value Officers (CVOs) with a focus on purpose and value. The episode underscores the importance of CFOs cultivating "value acumen" and a growth mindset through continuous learning. Additionally, it addresses leadership styles, diversity and inclusion, and the CFO's pivotal role in leveraging data analytics and technology to drive organizational value.
What you’ll hear in this episode:
[1:42] The great resignation impact; is it still happening?
[5:33] Exploration of the evolving responsibilities of CFOs and the concept of becoming Chief Value Officers (CVOs).
[10:38] Defining value and the CFO's role in driving value.
[11:33] Skills CFOs should develop to navigate the changing landscape.
[16:12] Evolving leadership styles for CFOs, with an emphasis on “extreme ownership” and the shift towards a more sustainable, inclusive approach.
[19:51] The importance of diversity, equity, and inclusion in building effective finance teams.
[22:59] Data ownership and technology.
[26:17] Advice for CFOs and controllers.
Mentioned:
Anne-Marie Henson
Barbara Palmegiani
BDO
Quotes:
“As we continue to manage so much uncertainty about the future, we have to be adaptive so we can't be afraid to be wrong.”
"There are definitely more and more finance teams that are much leaner these days."
"If you talk about what does value mean, it is very widely held that there is no one definition of value for all CFOs in all organizations."
"CFOs need to manage legitimate short-term performance pressures and, at the same time, drive long-term behaviors."
"As a key player on the executive team, it's that play to win attitude. You have to know that you're not afraid to fail, that whatever you undertake, you either win or you learn along the way."
"Be not afraid of going slowly. Be afraid of only standing still."
Audit quality is a key issue for the interest and governance process of both auditors and companies. In today’s episode, host Anne-Marie Henson, Partner, Eastern Canada & SMB Leader at BDO, welcomes BDO’s Head of Global Audit Quality, Nazia Lakhani for a look at the importance of quality assurance, the challenging power of CSQM1, recent changes in assurance and quality standards and what the future of quality assurance holds.
What you’ll hear in this episode:
[1:05] An overview of the goals of BDO’s first Head of Global Auditing Quality.
[2:52] Insights into BDO’s decision to publicly release an annual audit quality report.
[5:52] Navigating the intersection of transparency and protection of investors and public interest.
[8:20] Report content details, including diversity and partner statistics.
[11:41] The impact of CSQM1 on firm process monitoring and commitment to improvement.
[16:14] Advice for CFOs regarding improved audit quality.
[17:35] Steps to enhance proper governance on all sides of audit quality decisions.
[20:51] A five-year look at the future of audit quality.
Mentioned:
Anne-Marie Henson
Nazia Lakhani
BDO
Audit Quality Report 2022-2023
Quotes
“Quality is such a spotlight that a role has to be created because of it.”
“Quality is a journey, and I like the use of that word because it should be interwoven in what we do on a daily basis.”
“Our role as auditors is to promote quality and elevate our role in protecting investors and the public interest.”
“CSQM1 provides a roadmap to areas that might need improvement.”
“Quality should be intertwined into what you do on a yearly basis, it’s not just a check that you do once a year.”
“Quality is continuous improvement that is always in the back of everyone’s mind.”
The speed of movement surrounding ESG changes is continually increasing and can’t be ignored any longer. In today’s episode, host Anne-Marie Henson, Partner, Eastern Canada & SMB Leader at BDO, is joined by Mary Mathews, Partner in BDO’s Accounting Advisory Group, to discuss the rapid pace at which ESG standards are being implemented and the impact that it can have on companies. They then turn to the 2022 Accounting for the Future conversation between Anne-Marie, Armand Capisciolto, and Pierre Taillefer, BDO Canada’s Sustainability Leader, who discuss all facets of the ESG journey, particularly the “G,” what companies are already getting right, and how they can advance their progress in the ESG journey.
What you’ll hear in this episode:
[1:20] Why it is essential to talk about ESG (again).
[3:35] Changes that need to be made to today’s governance to reflect new ESG standards.
[9:11] Defining the governance and reporting elements of ESG.
[13:10] Most organizations have already started implementing some ESG policies.
[15:49] Possibilities of mandatory sustainability reporting.
[20:17] Integrating ESG factors into operational decisions.
[21:34] Considerations addressing governance and reporting quality data.
[27:37] Advice to boards when implementing ESG policies.
[32:31] Pierre’s advice for getting started with ESG engagement.
Mentioned:
Anne-Marie Henson
Mary Mathews
Armand Capisciolto
Pierre Taillefer
BDO
Quotes:
“We’re not going to stop hearing about ESG,… it’s moving faster than I have ever seen previously.”
“As companies are starting or part way through their ESG journey, it gives everyone a chance to reset and to create processes from the ground up that are really intentional and focus on the right information to produce sustainability-related information for investors.”
“Take away the regulatory requirements, and ESG is reviewing how you operate as an organization and implementing ESG factors to be better off as an entity.”
“When we talk to clients about ESG, the starting point is to talk about what they already do.”
“You can’t think of these things in isolation. You have to be thinking about sustainability, reporting, and financial reporting as a package.”
“Start with small pieces, but have a full picture of where you eventually want to go.”
Over the past year, increasing interest rates, high inflation, and the threat of recession continue to affect the ability to raise funds. In today’s episode, host Anne-Marie Henson, Partner, Eastern Canada & SMB Leader at BDO, is joined by Mary Matthews, Partner in BDO’s Accounting Advisory Group. Together, they discuss key points of raising funds including the importance of data transactions and forecasting information prepared prior to talking to investors. They then turn to the 2022 Accounting for the Future conversation between Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader and Jeffrey Stanger, President of ITB Solutions, Inc. for their still-relevant insights into what it takes to raise money in today’s tough market.
What you’ll hear in this episode:
[1:00] An overview of the past year from an investment perspective.
[4:16] Unique characteristics of companies that are successfully raising funds in today’s market.
[7:15] Armand Capisciolto introduces Jeffrey Stanger.
[10:05] Navigating early-stage companies through tighter capital markets.
[12:20] Strategies for companies to prepare to showcase what they have to offer.
[17:44] Accessing a larger audience in a tough market.
[20:40] Factors that can negatively impact the market.
[23:08] Jeffrey’s advice to companies that are trying to raise money.
Mentioned:
Anne-Marie Henson
Armand Capisciolto
Mary Matthews
Jeffrey Stanger
BDO
Quotes:
“Some of the things I’m actually seeing in some of these capital raising agreements are what I’ll call sweetener terms.”
“Understanding what the accounting could end up looking like is critical for you as a business owner or CFO.”
“Sometimes easy money can lead to long-term failure for companies.”
“Companies that raise money in hard times like this need to delve deeper into their industry business model and market.”
“During tough times, money can still be raised; it just takes a lot more work and a larger audience.”
“Starting in a tougher market just makes things easier in the future.”
In this season of the Accounting for the Future podcast, we feature three timely, previously aired episodes with additional insights and background information, in addition to three brand-new episodes.
In today’s episode, host Anne-Marie Henson, Partner, Eastern Canada & SMB Leader at BDO, is joined by Mary Matthews, Partner in BDO’s Accounting Advisory Group. Together, they reflect on the impact of the great resignation on the finance function as well as some of the best and worst things to come out of hybrid work. Listeners can revisit the still-relevant insights from BDO Alumni and current Chair of the Accounting Standards Board (AcSB), Armand Capisciolto and Barbara Palmegiani, Partner, and CFO Services Leader to listen to their discussion on the future of the finance function.
What you’ll hear in this episode:
[:10] An overview of what to expect from Season 5.
[2:40] The best – and worst – things that have resulted from hybrid work.
[9:51] Armand Capisciolto introduces Barb Palmegian.
[11:25] The state of the finance function prior to the great resignation.
[13:14] The skills of a “future fit plan”.
[15:31] Finance function in the past and key differentiators from the present day.
[20:48] Altering the CPA reaction to mid-career change.
[23:35] The impact of remote work on connectedness and relationship building.
[27:10] Developing a CFO community and network that is supportive.
[30:14] Addressing the risk associated with a record number of CFOs that are resigning from the finance profession.
[34:06] Recommendations for managing resignation risks on a timely basis.
[36:03] Best next steps for CFOs in this decade of disruption.
Mentioned
Anne-Marie Henson
Barbara Palmegiani
BDO
Mary Matthews
The Squiggly Career: Ditch the Ladder, Discover Opportunity, Design Your Career, by Helen Tupper and Sarah Ellis
Quotes:
“Embracing all this new technology has been a great advantage but a little bit of a challenge as well.”
“This decade is the decade of disruption. It’s just a matter of time before we’re saying, ‘here we go again’.”
“We’ve got to find ways of increasing the connectedness, and at the same time working remotely, and those two things don’t have to actually be mutually exclusive.”
“Transformation is not just about influencing more and more technology; it’s about reimagining the entire business model.”
Financial statements should ideally tell the right company story and provide meaningful information. Still, increasingly complex IFRS requirements have resulted in financial statements that can be both overwhelming and lacking in useful information. In today’s episode of Accounting for the Future, host Anne-Marie Henson, BDO Partner, is joined by BDO Accounting Advisory Group Partner and return podcast guest Mary Mathews. Together, they examine strategies to make financial statements more meaningful and useful. Mary offers steps to meet complex compliance standards while also telling the story users need to obtain from their financial statements.
What You’ll Hear In This Episode:
[1:22] A brief overview of IFRS and its impact on reporting today.
[4:08] Common presentation issues and complexities within disclosure requirements.
[7:32] The effect of the latest IFRS standards on financial reporting and statements.
[9:40] Key steps to crafting financial statements that say what they mean.
[16:38] Tips for staying organized throughout the yearly process.
[21:57] Strategies for organizing and minimizing report pages.
[24:00] Additional considerations when preparing for the future of financial reporting.
Mentioned:
BDO
Mary Matthews
Anne-Marie Henson
Quotes:
“Thinking about financial statements as a communication tool is key.”
“The continuing changes to IFRS add a complexity to that important role of preparing the financial statements.”
“There are always changes happening in the world of accounting standards and financial reporting.”
With unprecedented supply chain shortages, exorbitant shipping costs, and scrutiny over sustainability, companies are questioning whether importing is best to ensure their company’s long-term growth and viability. In today’s episode of Accounting for the Future, host Anne-Marie Henson, BDO partner, is joined by BDO Canada’s Director of Operational Improvement, Charlie Reid, for a conversation about the risks and benefits of altering a reshoring strategy. Together they discuss the risks and benefits of utilizing various importing strategies when accounting for the optimal impact on a company's future.
What You’ll Hear In This Episode:
[1:25] A brief history of international importing.
[3:53] A definition of common reshoring terms.
[5:46] Key considerations in determining whether to continue overseas sourcing.
[9:20] Major risks that can occur during the reshoring process.
[13:56] Advantages of pursuing a reshoring strategy.
[19:45] Maintaining competitive pricing while utilizing locally sourced vendors.
[23:37] Benefits of reshoring when accounting for the company’s future.
[26:15] Additional considerations when implementing a reshoring strategy.
Mentioned:
BDO
Charlie Reid
Anne-Marie Henson
The CFO of the past may have been focused on the past, but the CFO of today needs to be focused on the future. In today’s constantly changing environment, there is a greater demand than ever for competent CPAs and forward-thinking CFOs. In today’s Accounting for the Future episode, host Anne-Marie Henson, BDO partner, sits down with Pamela Steer, President and CEO of CPA Canada. Together, they discuss the challenges and rewards of the ever-changing role of the CFO. From navigating digital transformation and ESG initiatives to increasing your knowledge and skills in ways that will align competencies with your values, Pamela has the experience and shares the advice that every CPA needs to hear.
What You’ll Hear In This Episode:
[1:15] Pamela’s less-travelled path led to her current role as CPA Canada’s CEO.
[4:48] The most important skills an effective CFO must have in today’s world.
[10:01] The impact of change on a CFO’s focus today.
[18:15] How can a CFO add value to the organization through digital transformation?
[23:22] Potential ESG and sustainability initiative efforts of companies in Canada.
[30:28] Advice for CPAs who want to learn more about key topics.
[37:25] Pamela’s suggestions when navigating your next career move.
Mentioned:
BDO
CPA Canada
Pamela Steer
Anne-Marie Henson
Quotes:
“Changes are accelerating in pace and the demands on the CFO of today are very different.”
“The CFO of today and tomorrow is a very different individual than it was 20 years ago.”
“The CFO of the past was very focused on the past, and CFOs today need to be very focused, much more than ever, on the future”
“I also think some of the training of a CPA, unlike other roles, is to take very complex topics and tell a story.”
Cryptocurrency is a hot topic in today's world, but is the crypto apocalypse here? How is crypto impacting BDO clients and businesses? What are some concerns surrounding crypto, and what considerations should a company looking into investing in cryptocurrencies be aware of? On today's Accounting for the Future episode, host Anne-Marie Henson, BDO partner, is joined by Mary Matthews, BDO Accounting Advisory Group Partner, and Michael Crolla, BDO Assurance and Accounting Partner. Together they discuss developments in cryptocurrencies over recent months, managing crypto volatility, and what investors can do to vet new and young investment opportunities better.
What You'll Hear In This Episode:
[2:45] An overview of the current cryptocurrency world and FTX.
[6:30] The ripple effect of cryptocurrency on companies like Silvergate Capital.
[10:02] Regulations that could help stabilize the crypto industry.
[14:58] Recommendations for crypto best practices and financial controls.
[21:00] How can management avoid a fate similar to FTX?
[23:15] The critical role of the CEO in leading a company.
[25:42] Cautionary advice for investors to better protect capital.
Mentioned:
BDO
Mary Matthews
Michael Crolla
Anne-Marie Henson
Quotes:
"While Crypto is a relatively new industry, we can't ignore the fundamentals of running a company with strong governance."
"No matter how big a company is, poor governance can always throw it into chaos."
"Investors need to be wary of boards which consist of just executives or just management.”
“What’s interesting with companies like FTX, is that they’re creating their own currency, their own token, and in general as an investor I would be very cautious of that.”
“It’s a hard balance, but you have to know who and what you’re investing in.”
Today host Anne-Marie Henson, BDO Partner, and co-host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of accounting advisory services, team up one last time to explore their changing roles as well as some trends that are impacting both of their new roles. Together they discuss the role and importance of private equity, its relevance in today’s accounting environment, and a look to both the future and the past of the Accounting for the Future podcast.
What You’ll Hear In This Episode:
[1:42] A look at Anne-Marie’s changing role in market leadership and firm strategies in private equity.
[5:09] The impact that private equity, reporting, and standard setting will have on new business owners.
[10:10] Armand’s focus as the incoming chair of BDO’s Accounting Standards Board.
[14:04] Defining relevance in the current accounting environment.
[22:06] Highlights from favorite past Accounting for the Future podcast episodes.
[25:45] Armand’s final goodbye as co-host of the podcast.
Mentioned:
BDO
Anne-Marie Henson
Armand Capisciolto
Quotes:
“For anyone who may think accounting is boring or not fun, I dare you to listen to this podcast.”
“We need to think about how private equity is going to be using financial statements.”
“Anyone who is looking at financial statements is not looking at them in isolation.”
“Talking with companies about where they want to go is what makes our job as accountants interesting and exciting.”
Cloud transformation is changing the way that data is handled today, but what does that mean from an accounting standpoint? To help understand the impact, cost, and many benefits of cloud transformation, host Anne-Marie Henson, BDO Partner, and co-host Armand Capisciolto, BDO's National Accounting Standards Partner and leader of accounting advisory services, are joined by Feng Liu, BDO Lixar's Head of Cloud Engineering. Lixar is BDO's technology division and helps clients with a variety of needs, including digital transformation support, big data analysis, AI tools to help profitability, business applications, and cyber security. Together they discuss tactics for executing a successful cloud transformation that doesn't include any surprises.
What You’ll Hear In This Episode:
[2:02] Defining cloud transformation in the most basic sense.
[6:20] Overcoming key challenges will result in a successful transformation.
[13:10] The benefits of effective cloud transformation.
[20:15] Accounting issues regarding cloud transformation strategy costs.
[24:10] Arrangements for handling various digital assets.
[29:30] Highlighting the accounting impact during the implementation process.
Mentioned:
BDO
Feng Liu
Anne-Marie Henson
Armand Capisciolto
Quotes:
"Cloud transformation, by its definition, is changing something significantly to be better."
“When you have cloud computing power at your fingertips, the cost of trying new ideas and response to market trends is going to be a lot faster. The innovation barriers are a lot lower.”
“The cost is a benefit for organizations when transforming their business over to the cloud.”
“When it comes to accounting, no one likes surprises.”
Every business owner must face their exit at some point, and those who think about planning their exit strategy in advance are likely going to experience a better transition than those who leave it to the last minute. Today, host Anne-Marie Henson, BDO partner, and co-host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of Accounting Advisory services welcome Sunil Sharma, BDO Canada’s Transaction Services and ARM Private Equity leader. He has joined the podcast for a discussion about the role of private equity in the SMB and SME space, including current trends, considerations for clients who are looking at a private equity exit, and the advantages of creating an exit plan sooner rather than later.
What You’ll Hear In This Episode:
[1:57] Insights into the size of various companies and their impact on private capital investors.
[5:41] Entities that are considered providers of private capital.
[7:45] Comparing the private market growth against public markets.
[10:20] A look at the trends in the IPO market in 2023.
[14:06] Advice for SMB and SME clients who are looking into a private equity exit.
[19:14] The advantages of creating a five year exit plan today.
[23:26] Preparations that assist the owner-managed business to portfolio company transition.
[27:14] Exit strategies of private equity when looking to divest.
Mentioned:
BDO
Sunil Sharma
Anne-Marie Henson
Armand Capisciolto
Quotes:
“We are seeing that private capital is truly outpacing public market growth quite considerably.”
“Getting help, there’s nothing wrong with that. It will generally lead to a more successful outcome.”
“You’re going to exit your business one way or another; voluntarily or involuntarily. You’re better off thinking about it earlier so you can dictate the terms and have a plan.”
“Where you can do preparatory work to make the eventual [exit] process as seamless as possible is only to your advantage.”
We hear a lot about the environmental and social aspects of ESG, but what about governance? Many companies have already implemented some ESG policies, but there may still be an overwhelming amount of work to be done. Today, host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of accounting advisory services, is joined by current co-host and future host of the Accounting for the Future podcast, Anne-Marie Henson, BDO partner. Together they welcome Pierre Taillefer, BDO Canada’s Sustainability Leader. He is responsible both for moving BDO Canada’s internal ESG strategy forward as well as leading BDO’s sustainability service offerings and has joined the podcast for a discussion about the ESG journey, what companies are already getting right, and how to advance their progress in the ESG journey.
What You’ll Hear In This Episode:
[3:06] Defining the governance and reporting element of ESG.
[6:30] Most organizations have already started implementing some ESG policies.
[9:45] A look at the possibility of mandatory sustainability reporting.
[13:00] Integrating ESG factors into operational decisions.
[15:08] Considerations addressing governance and reporting quality data.
[21:32] Advice to boards when implementing ESG policies.
[25:30] Pierre’s advice for getting started with ESG engagement.
Mentioned:
BDO
Pierre Taillefer
Armand Capisciolto
Anne-Marie Henson
Quotes:
“Take away the regulatory requirements, and ESG is reviewing how you operate as an organization and implementing ESG factors to be better off as an entity.”
“When we are talking to clients about ESG, the starting point is to talk about what they already do.”
“You can’t think of these things in isolation. You have to be thinking about sustainability, reporting, and financial reporting as a package.”
“Start with small pieces, but have a full picture of where you eventually want to go.”
Financial statements are more than just a compliance document, they’re also a communication tool. But what message are you communicating with hard to understand, vague, or overly complicated financial statements? Host, Armand Capisciolto, is joined by Anthony Scilipoti, Founder, President and CEO of Veritas Investment Research and board member of the Capital Markets Advisory Committee of the International Accounting Standards Board (IASB). Together they discuss the value of preparing financial statements that tell the company’s story clearly so that investors can make informed decisions and help move a company forward.
What You’ll Hear In This Episode:
[1:15] The value of clearly audited financial statements to investors.
[3:50] Anthony’s advice for crafting easy to understand financial reports.
[8:45] The downside of non-GAAP metrics in financial reporting.
[12:53] A comparison and reasoning of non-GAAP in the US versus Canada.
[14:04] Potential underlying causes of failure to supply needed numbers for data aggregation.
[17:57] Potential disclosure improvements resulting from new regulations.
[21:10] Do various non-cash expenses factor into non-GAAP measures?
[26:40] The value of ‘information overload’ in preparing financial reports.
[28:51] How US disclosure standards benefit companies seeking capital.
[30:18] Anthony’s recommendations for preparers of financial information.
Mentioned:
BDO Armand Capisciolto Anthony Scilipoti
Additional Resources:
8 Ways to make your financial statements say what they mean
Private equity is everywhere these days, regardless of your location or firm size. This episode features a conversation from BDO’s internal Assurance Conference. At this conference, Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, met with BDO Assurance partner Ian MacDonell, and BDO Valuations partner Amanda Tso. Together they discussed the ways that private equity is impacting businesses today, including preparing for a sale, how to increase a company’s appeal, and the importance of preparing financial information in advance.
What You’ll Hear In This Episode:
[1:30] Understanding private equity from the other side.
[7:20] The relevance of private equity funds in mergers and acquisitions.
[9:52] A “typical” company that is utilizing private equity investments today.
[12:26] Is selling the entire company necessary to tap into private equity?
[13:33] Characteristics for a target company for private equity?
[16:03] Recommendations for strategically preparing for a sale.
[19:52] Increasing appeal to minimize the likelihood of a deal falling apart.
[20:48] Preparing financial reporting for subsequent acquisitions.
[23:19] Private equity in light of sustainability and ESG.
Mentioned:
BDO Armand Capisciolto Ian MacDonell Amanda Tso
Additional Resources:How to prepare your financial reporting for purchase by private equity
Many private companies consider going public as the finish line, when in reality, it is simply the starting line for an entirely new life with deadlines, board members, investors, and regulations that have to be answered to. In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, sits down with Alex Lalka, a partner at Miller Thomson in their M&A and Securities group, and Anne-Marie Henson, a public company partner in BDO’s Montreal office. Together they discuss life as a public company — what it is, what it isn’t, who needs to be on a successful team, and the proactive steps companies can take now to avoid problems in the future.
What You’ll Hear In This Episode:
[2:02] A look at the road to becoming a public company over the last 12 months.
[5:05] Significant growing pains associated with becoming a public company.
[8:02] The vast leadership and advisor requirements for a public company.
[13:00] Essential financial reporting changes when transitioning to public.
[16:55] What happens when companies don’t comply with deadlines?
[20:00] How to minimize risks associated with missing deadlines.
[25:25] The importance of a strong CFO for a newly public company.
Mentioned:
BDO Alex Lalka Anne-Marie Henson
Additional Resources:
Life of a Public Company: What to consider after you’ve gone public
Climate risk management is a hot topic in boardrooms today. Organizations around the world are actively talking about climate change risk management and what that looks like in their governance structure, strategic plans and financial reporting.
In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, is joined by Kristyn Annis, a corporate commercial lawyer at BLG specializing in energy and climate change. Together they discuss director responsibility for climate risk management, regardless of mandatory climate risk disclosures, and the impact it can have on an organization – and the world.
What You’ll Hear In This Episode:
[2:02] Similarities between climate risk management and other board responsibilities.
[7:32] Core principles and duties held in the CBCA and OBCA.
[10:50] Long-term concerns regarding corporation sustainability.
[22:32] Practical points of the fiduciary duties.
[24:26] Best practices for directors, moving forward.
[27:50] The impact and implications of mandatory reporting.
[33:20] Potential changes to climate change management and strategy.
[35:38] The influence of institutional investors in the boardroom.
Mentioned:
BDO
Kristyn Annis
Additional Resources:
IFRS joins the fight to protect investors from climate risk
Around the world, companies are working to achieve net-zero, and BDO is no different. But why is this an accounting issue? This week, we welcome Mary Mathews and Braham Moondi, both Partners in BDO’s Accounting Advisory practice. Together, they discuss the role that accountants play in moving companies toward net-zero and best practices for approaching specific considerations along the way.
What You’ll Hear In This Episode:
[1:53] Mary explains why accountants are involved in the company’s work of moving toward net-zero.
[3:13] Braham reveals the financial solutions and market incentives associated with achieving net-zero targets.
[4:56] Details about sustainability-linked bonds and other lending arrangements and their link to ESG targets.
[8:02] What is a virtual power purchase agreement and what are its key issues?
[12:31] The standards associated with financial instruments don’t address many issues specifically, which often adds to their complexity.
[15:50] Considerations about how such changes impact financial reporting.
[17:19] These risks impact all companies, even those not affected by securities regulations, but how do that impact disclosure and financial statements?
[20:04] Braham shares key considerations for financial tracking from an auditing perspective.
[23:51] Final key takeaways regarding handling standard accounting processes.
Mentioned:BDO
Mary Mathews
Braham Moondi
Additional Resources:Accounting for Going Green: How businesses are achieving net zero emissions and the financial reporting implications
Whenever you have down markets in a recessionary environment, you are likely to see an increase in litigation, particularly in the M&A space. What are the key moves that companies can make now to avoid surprises — and potential litigation — when preparing for M&A?
In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, is joined by Robert Brush, Partner at Crawley MacKewen Brush LLP, specializing in corporate and securities litigation, and Michael Morrow, a BDO Partner specializing in Capital Markets and M&A. Together they discuss tactics for avoiding litigation in mergers and acquisitions.
What You’ll Hear In This Episode:
[1:45] Main causes of litigation in mergers and acquisitions.
[3:20] Strategies for avoiding surprises in M&A.
[6:15] Benefits of handling financial reporting in advance.
[14:22] Seeking resolution with dispute resolution clauses.
[17:34] The prevalence of litigation in recessionary environments.
[21:40] The importance of having the right advisors in place.
[23:00] Final key advice to avoiding litigation in M&A.
Mentioned:
BDO
Robert Brush
Michael Morrow
With lingering uncertainty in a post-pandemic market and increases in both supply and demand, worldwide M&A opportunities have reached trillions of dollars.
To highlight issues that companies are facing both before and after acquiring a business, in this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, is joined by two BDO advisors: Jamie Windle, Managing Director, M&A and Capital Markets, who specializes in financial due diligence, and Ziad Akkaoui, Risk Advisory Services Partner. Together they discuss how some decisions made before a deal can cause the greatest hurdles after a deal closes.
What You’ll Hear In This Episode:
[1:15] Two major factors that are leading into the $350 billion M&A market.
[5:00] Buying opportunities are increasing as more companies are exiting from the uncertainties of today’s market.
[7:10] Current industry trends in M&A, including within the broader healthcare market.
[11:02] Owner arrangement considerations when structuring an M&A deal.
[15:35] Top issues that companies overlook before they buy a company.
[18:45] Considerations from before a deal that cause the greatest hurdles after a deal.
[21:43] Strategies for merging a young company into a mature company while maintaining its entrepreneurial spirit.
[27:06] Top issues that clients need to pay more attention to after a deal.
[29:01] Sustainability and ESG reporting considerations when working with M&As.
Mentioned:
BDO
Jamie Windle
Ziad Akkaoui
Additional Insights:
Six under-the-radar accounting pitfalls when buying a business
3 Accounting issues to tackle after a deal closes
Following the right Generally Accepted Accounting Principles (GAAP) provides a communication and deal-making tool to help move your business plans forward. Opportunities in today’s volatile marketplace come and go quickly, and those who have put in the work of advanced planning will be prepared to seize opportunities as they arise.
In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, welcomes BDO partners Mikaela Taylor and Dave Rasmussen. Both Partners advise engagement teams and clients on accounting, regulatory, and audit matters and have joined the podcast for a conversation about choosing the right GAAP, shareholder decisions, options available in Canada, and the benefits of being prepared to act when opportunities arise.
What You’ll Hear In This Episode:
[1:51] What are GAAP for businesses in Canada, IFRS, and ASPE, and are they required?
[3:18] Some private enterprises are opting to use U.S. GAAP, which is permitted if they are incorporated and have unanimous approval.
[5:02] Not using any GAAP at all is an option under certain circumstances.
[6:40] If GAAP isn’t required, why would an entity choose to use it at all?
[8:53] Common drivers behind choosing to utilize GAAP.
[12:16] Dave offers examples of scenarios in which a client would want to adopt IFRS.
[17:43] Mikaela highlights ideal times when companies should consider U.S. GAAP.
[20:41] Strategic planning tips to help move a client forward.
[22:51] When are ASPE accounting standards enough?
[24:33] Questions companies need to ask when beginning to follow an accounting framework.
Mentioned:
BDO
Mikaela Taylor
Dave Rasmussen
Additional Insights:
ASPE vs. IFRS (vs. U.S. GAAP): Choosing Accounting Standards
Despite the pandemic, 2020 and 2021 were extremely busy years in the active capital markets with a host of companies going public and successful funds raised. So far, 2022 has presented a slowdown in the public markets, but what does that mean for early-stage companies that are looking to raise money now? In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and Accounting Advisory Services Leader, sits down with Jeffrey Stanger, President of ITB Solutions, Inc.
Jeffrey works with both private and public companies to successfully access capital markets, working alongside registered investment dealers. Jeffrey shares his insights into what it takes to raise money in today’s tough market.
What You’ll Hear In This Episode:
[2:42] Navigating early-stage companies through tighter capital markets.
[4:52] Ways companies can prepare to showcase what they have to offer.
[7:19] The benefits of raising funds in a tighter market.
[9:11] The right time to start thinking about accessing the public market.
[10:23] Accessing a larger audience in a tough market.
[13:46] Factors that can negatively impact the market.
[15:45] Jeffrey’s advice to companies that are trying to raise money.
Mentioned:
BDO
Jeffrey Stanger
Additional Insights:
Financial Foresight: Getting the accounting right, right now
An impressive number of companies have gone public in recent years, but the benefits of being a public company are not always available to certain companies during a period of economic uncertainty. Does it make more sense to take a public company private? In this episode of Accounting for the Future, host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of Accounting Advisory Services, is joined by Georges Dubé, Partner at McMillan, Capital Markets & Securities team. Together they discuss the benefits, mechanisms, and considerations of taking a public company private.
What You’ll Hear In This Episode:
[1:00] Georges works with both the public and private sides of capital markets.
[2:26] What motivated so many companies to go public in recent years?
[3:40] The key benefits of becoming a public company aren’t always available.
[7:05] Pros and cons of companies choosing to go private.
[12:33] Financing considerations in today’s uncertain market.
[16:48] Mechanisms that companies can use to go private.
[20:55] Key differences between the ways companies can go private.
[24:02] Can public companies become private again without getting up-to-date on compliance issues?
Mentioned:
BDO
Georges Dubé
Additional Insights:
Going Private: Why and how to take a public company private
With inflation rates at their highest since the 1980s and unprecedented interest rate increases, companies are left wondering what steps they can take to mitigate the impact of the current economic environment. In this episode, host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of accounting advisory services, is joined by Kevin Meyler, national leader of BDO’s Business Restructuring and Turnaround Services for a discussion about managing the current economic environment.
What You’ll Hear In This Episode:
[1:55] First advisory steps that companies can take to mitigate the current economic environment.
[4:05] The vast and fast pace of change in the current economy is not limited to any one industry.
[5:24] Kevin offers specific ways that companies can mitigate the impacts of inflation.
[8:30] Is it more challenging for companies to secure financing in today’s market?
[11:00] Handling the increasing cost of capital in sustainable ways before seeking financing.
[12:58] Advice for proactively managing debt covenants.
[16:30] What might happen when a company breaches its debt covenants?
[19:52] A profile of a successful breach and how a resolution was reached quickly.
[21:05] Kevin shares his opinion of the Canadian entrepreneur in today’s turbulent times.
Mentioned:BDO
Kevin Meyler
Additional Insights:How businesses can mitigate inflation risks
80/20 Profitability Analytics
Forward-thinking companies are working toward sustainability and increasing their focus on environment, social, and governance practices. Environmental and social issues are now business issues, but what is the impact of these efforts on financial reporting?
In this episode, host Armand Capisciolto, BDO’s National Accounting Standards Partner and leader of Accounting Advisory services, is joined by Kyle Hulme, a BDO alumnus and previous member of our Strategy and Sustainability Consulting team. Together they discuss the link between sustainability and financial reporting.
What You’ll Hear In This Episode:
[1:45] Are sustainability and ESG interchangeable terms? Not exactly, and Kyle explains why.
[3:26] Insights into all that is entailed in advising a client’s sustainability strategies.
[6:21] Who is the primary owner of sustainability projects within an organization?
[9:45] The inevitable evolution of the finance department based on reporting requirements and pending regulation.
[12:30] Potential risks and opportunities created by sustainability strategies.
[15:20] The impact of sustainability transitions and timelines from a financial spending perspective.
[22:32] The value of focusing on sustainability in business today, even if mandatory reporting is not in place yet.
Mentioned:
BDO
Armand Capisciolto
Kyle Hulme
Additional Insights:Why CFOs should make sustainability a part of their financial reporting today
This week we welcome Barbara Palmegiani, Partner and CFO Services Leader with BDO Canada, to talk about the significant impact The Great Resignation is having on the already lean finance profession. There is no formula to guarantee employment, but through transformation businesses can keep up with the future of the finance function. Spoiler alert: it’s about more than technology.
What You’ll Hear In This Episode:
[1:35] Barbara talks about the fact that educated knowledge workers’ jobs could soon become threatened.
[2:48] What are “future-fit skills”?
[3:18] We shouldn’t view machines as competitive interlopers, but instead as collaborators and partners.
[4:11] Barbara shares how we can improve the motivation of CPAs to go the extra mile in their current roles.
[4:37] There’s no formula to guarantee your employment, but what we can do is keep up with the future of finance function.
[5:42] Barbara talks about finance function in the past and how it differs from the present day.
[13:45] Employers are finding themselves in probably the most competitive market we’ve ever seen, and it’s a significant challenge for leaders.
[17:19] Workers want to have the option for remote work in many cases, but also want more connectedness.
[18:11] The CFO role can be a very lonely place. That’s why having a community helps!
[20:35] There is a record number of CFOs resigning from the finance profession today. What risks does this pose to organizations?
[24:15] Barbara shares recommendations for managing resignation risks on a timely basis.
[28:43] What are the best next steps for CFOs in this decade of disruption?
Mentioned:
Barbara Palmegiani
BDO
The Squiggly Career: Ditch the Ladder, Discover Opportunity, Design Your Career, by Helen Tupper and Sarah Ellis
With compliance conversations heating up, sustainability reporting and options for meeting requirements continue to be top priorities for proactive businesses. This is the second part of our conversation with BDO partners Andrew Buchanan, BDO’s Global Head of IFRS and Corporate Reporting, and Christopher Tower, BDO USA’s ESG Strategy and Services Leader. Together they explore key sustainability requirements proposed by the Canadian Securities Administrators, the U.S. Securities and Exchange Commission, and the EU Corporate Sustainability Reporting Directive.
What You’ll Hear In This Episode:
[1:30] Specific key requirements and significant differences of the various scopes across the countries.
[6:49] Andrew defines scenario analysis and highlights proposal requirements from the ISSB.
[9:40] Scenario analysis and disclosure requirements from the U.S. perspective.
[10:33] Andrew highlights the presentation draft risks and proposed guidance for disclosures.
[14:07] Acronym definitions and clarifications regarding their purposes.
[15:30] Christopher addresses the disclosure of unfair labor practices and the burden of proposed disclosures within financial statements.
[21:20] Which disclosures are subject to audit regardless of the size or type of filer? Andrew offers caution regarding the real need to aggregate.
[24:05] Similarities between various ISSB proposals and disclosures.
[26:40] Proposed timelines for compliance dates and challenges that will hinder meeting them.
Mentioned:
BDO
Andrew Buchanan
Christopher Tower
Additional Insights:
SUSTAINABILITY REPORTING: 10 Questions boards should know the answers to
Q1 2022 Sustainability Reporting Update
Sustainability reporting is gaining momentum - and fast! Businesses that aren’t already thinking about their ESG strategy are at risk of falling behind their competitors. To unravel some of the details regarding sustainability reporting around the world, in this two-part conversation we welcome BDO partners Andrew Buchanan, BDO Global's Head of IFRS and Corporate Reporting, and Christopher Tower, BDO USA’s ESG Strategy and Services Leader. Together they address how sustainability reporting is impacting businesses in Canada, the USA, and Europe.
What You’ll Hear In This Episode:
[2:22] Why should every member of the firm care about the varied and often confusing sustainability reporting jurisdictions?
[4:40] Christopher explains why private companies should have an interest in the requirements set by securities regulators.
[8:06] The role of a proactive ESG strategy in your company’s brand image.
[9:03] EU proposals vary from the Canadian and US proposals — Andrew lists which entities will be required to comply with EU requirements.
[12:35] Regardless of jurisdiction, companies need to consider all of the implications and requirements of all the jurisdictions they do business with.
[13:00] Andrew details the goals of international sustainability standards.
[17:06] Is compliance with proposed ISSB standards consistent with proposed SEC requirements?
Mentioned:
BDO
Andrew Buchanan
Christopher Tower
This week, we welcome Anne-Marie Henson, BDO partner from our Montreal Office. Anne-Marie works with public companies, as well as many technology companies in both the start-up and scale-up stages. We discuss the difference between a scale-up and a start-up, why taking time to think over investment decisions matters, and a few success stories of companies who understood the benefits of investing time in accounting and finance upfront.
What You’ll Hear In This Episode:
[1:53] What is the difference between a start-up and a scale-up?
[5:35] Companies that are successful as they grow and scale are companies that see accounting and finance as more than just compliance.
[8:40] When a start-up ensures they have the right information to make appropriate business decisions, it gives investors confidence and that warm fuzzy feeling.
[11:12] The implications of accounting could have real long-lasting business implications.
[13:48] Anne-Marie gives an example of a company that succeeded because it understood the benefits of investing time upfront.
[20:38] The first area where we see the most in terms of complexities is financing.
[31:43] Accounting can be really complicated, especially when a company is at the stage where you’re trying to raise funds and you don’t have access to traditional financing. The more you know about the implications, the better prepared you are as a founder to be able to advance and communicate these implications to your stakeholders.
Mentioned:
Anne-Marie Henson
BDO
Additional Insights Top 4 Accounting Challenges Businesses Face As They Scale Up
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In this show Armand Capisciolto, BDO Canada's National Accounting Standards Partner, will take his everyday strategic conversations to the studio. In each episode, he’ll uncover the challenges financial leaders face as they navigate change to achieve business growth.