CIO/CTO Advisory

CIO and CTO teams often find themselves wondering whether costs that are hitting the OpEx budget should in fact be hitting the CapEx budget.

The Problem

CIO and CTO teams often rely on guidance from internal accounting teams to determine what costs can be capitalized under GAAP. However, many internal accounting teams—particularly in small to medium-sized organizations—lack the subject matter expertise in cost capitalization, especially software-related. The result? They often reject legitimate capitalization opportunities in the name of "conservative" accounting while larger organizations with subject matter expertise capitalize these same costs.

But wouldn’t auditors catch these undercapitalized costs?

Unfortunately, no. Their audit procedures primarily focus on preventing over-capitalization, not identifying missed opportunities. As a result, auditors typically don't flag situations where GAAP-compliant capitalizable expenses are being unnecessarily expensed.

The Solution: Specialized Expertise

We bring the subject matter expertise your team needs to uncover GAAP-compliant capitalizable efforts that may have been mistakenly denied by your internal accounting team.

Our process includes thoroughly documenting these opportunities, ensuring they meet GAAP requirements, and delivering auditor-ready documentation for seamless validation.

A No-Risk, Success-Based Review

We’re so confident in our ability to uncover missed GAAP-compliant opportunities that we offer a no-risk, success-based review. This means you pay nothing unless we identify missed capitalization opportunities that both your internal accounting team and auditors agree are valid.

Ready to uncover Missed Opportunities?

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