A flexible, specialized resource for the technical accounting needs of life science companies
We provide technical accounting advisory and implementation services for maturing life science companies, whether they are preparing for audit, facing transaction-related accounting complexities or laying the groundwork for an IPO.
These services complement our full range of day-to-day operational finance and accounting capabilities, allowing clients to access specialty skill sets on an as-needed basis for optimal capital efficiency. Given our exclusive focus on the life science sector, we uniquely understand the nature, timing and implications of transformational events in this space and how to plan accordingly on our clients’ behalf.
Key Considerations
Both private and public companies have a need for technical accounting expertise, including the following examples.
- Preparation for an audit, which can necessitate accounting for transactions dating back several years.
- Convertible debt and preferred stock capital raises, which each have unique terms and conditions that require a thorough reading and understanding to conclude on the proper accounting conclusions.
- Accounting for license agreements and collaborative arrangements.
- Accounting for employee and nonemployee share-based payment awards.
- Adoption of a new accounting standard, which can impact a company’s ability to close its accounts in a timely manner and with accuracy.
How Danforth Can Help
Audit Readiness
We adjust a client’s general ledger to be in conformity with U.S. GAAP, including preparation of all technical accounting white papers and preparation of a complete set of financial statements and footnote disclosures. We facilitate all interactions with the external auditors to ensure a smooth audit process.
Acquisitions, Divestitures and Financing
We obtain a thorough understanding of these unique transactions and determine the proper accounting conclusions.
IPO/Reverse Merger
We have extensive experience bringing clients to market utilizing the liquidity path of their choice. Our relationships with industry leaders allow us to introduce our clients to potential partners. Learn more about our IPO capabilities here.
Share-Based Payment Awards
We compile all awards to ensure all agreements are signed and accounted for. We calculate the fair value of these awards on the date of grant and model the expense through the vesting period.
Lease Accounting
We lead a client’s adoption of the new lease accounting standard.
Risk and Insurance Management
We can readily activate our risk management specialists to perform risk assessments as needed, whether to prepare for a transformative event like an IPO or M&A, to provide detailed overviews for 10-K financial statements or to assist audit committees in understanding levels of risk. Click here for more information about this resource.
How else can we help?
Learn about our additional capabilities