Nearly 120 nations and reporting jurisdictions permit or require IFRS for domestic listed companies, and approximately 90 countries have fully conformed with IFRS as promulgated by the IASB and include a statement acknowledging such conformity in audit reports.

Adopting IFRS, helps a business to present its financial statements on the same basis as its foreign competitors, making comparisons easier. Also companies with subsidiaries in countries which require or permit IFRS may be able to use one accounting language company-wide. Also the companies may need to convert to IFRS if they are a subsidiary of a foreign company that must use IFRS, or if they have a foreign investor that must use IFRS. Companies may also benefit by using IFRS if they wish to raise capital abroad.

One of the biggest difference is that IFRS provides fewer detailed rules than U.S. GAAP. Also IFRS also contains limited industry-specific guidance.

In the process of adopting IFRS, a business can present its financial statements on the same basis as its foreign competitors, making comparisons easier. Also companies with subsidiaries in countries which require IFRS may be able to use one accounting language company-wide. Also organization may also be required to convert to IFRS if they are a subsidiary of a foreign company that must use IFRS, or if they have a foreign investor that must use IFRS. Organization may also benefit by using IFRS if they wish to raise capital abroad.

IFRS abbreviated as International Financial Reporting Standards refers to a single set of accounting standards, that are developed and maintained by an independent not-for-profit organization referred as International Accounting Standards Board [IASB] with the intention of those standards capable of being applied on a globally consistent basis that is by developed, emerging and developing economies. Thereby providing investors and other users of financial statements with the ability to compare the financial performance of publicly listed companies on a like-for-like basis with their international peers.