Ernst & Young LLP (EY) is stepping up to help universities across the country modify accounting curriculum to prepare students for a new world of accounting. It’s a world of international accounting standards and EY is supporting faculty through their Academic Resource Center (EYARC). This month they released the second phase of International Financial Reporting Standards (IFRS) curriculum and teaching materials, as well as a national training session for professors.

US Lags the World in Adoption of IFRS

According to EY, the US is now the only industrialized country that hasn’t adopted IFRS or set a “date certain” for adoption. In November, the SEC issued a roadmap proposing the adoption of IFRS in the US beginning in 2014, but this plan is currently open for comment before mandatory adoption is initiated.

“Given the roadmap issued by the SEC and the probability of mandatory adoption of IFRS in the US in the relatively near time frame, we believe it’s a matter of when — not if — schools will need to realign their educational programs to address IFRS learning,” said Ellen Glazerman, Ernst & Young LLP, Americas Director of University Relations. “Even though IFRS is not currently mandated in the US, most of our multinational clients report under IFRS in some capacity, therefore demanding that knowledge from our professionals and the new campus recruits that we hire. We, along with universities, have a shared responsibility in accounting education.”

Ernst & Young, a top accounting and consulting firm that employs 130,000 people worldwide, has invested $1.5 million in EYARC, which is a collaborative effort of faculty and professionals dedicated to helping the next generation of accounting professionals meet the fast-changing needs of the global financial markets.

Students Will Demand IFRS Education

The further down the road to IFRS we travel, the universities will need to offer a comprehensive international accounting program in order to remain competitive. Accounting students will demand it. And according to Catherine Banks, EYARC Program Director, students will not only benefit from the technical knowledge, but their overall critical skills will be improved by the expanded curriculum as well.

“Students who have an understanding of IFRS will distinguish themselves in the hiring process and will likely have increased career and mobility opportunities. Learning IFRS requires students to build more critical-thinking skills to better understand the substance of transactions, which should make them better accountants.”  

What Resources Are Available?

The first phase of IFRS curriculum was released in January of this year. The second phase of curriculum provides additional IFRS resources intended to supplement typical US university financial accounting coursework. EYARC’s curriculum is unique as it includes comprehensive and flexible materials that compare IFRS with US Generally Accepted Accounting Principles (GAAP), including a user guide, lecture notes, presentation slides, homework problems, illustrative disclosures, case studies and international spotlight features.

EYARC held its first national IFRS training session in Cleveland last week for more than 60 faculty attendees from across the country. James Wahlen, Professor of Accounting and Chairman of the MBA Program at the Kelley School of Business at Indiana University said,

“The EYARC IFRS faculty training was an outstanding experience. Several accounting faculty and retired partners assembled a comprehensive and detailed set of materials that will help me and accounting faculty members all over the country incorporate an understanding of IFRS into our courses. This training is a great example of how practice and academia can partner for the benefit of our students, our teaching and research, and our profession.”

Jennifer Blouin, Assistant Professor, University of Pennsylvania Wharton School of Business said,

“Making an effort to maximize pedagogical flexibility, EYARC offered faculty extensive training and materials useful for developing IFRS curriculum at both the undergraduate and graduate levels. The class notes, cases, and high level spotlights on convergence issues created by EYARC’s team of academics and practice professionals will be invaluable as I incorporate IFRS into my syllabus.”

Faculty who are interested in obtaining access to the private EYARC site should contact Catherine Banks at catherine.banks@ey.com. On this site, faculty have access to not only the EYARC curriculum materials but many other firm resources on IFRS, accounting, auditing and tax. 

More information about IFRS, and the ‘roadmap’ to adoption is available from the AICPA at http://www.ifrs.com/.

Earlier this month, the Dingman Center for Entrepreneurship at the University of Maryland’s Robert H. Smith School of Business announced that Craig Dye will take over as Director of Investments. In this new position, Dye will lead the Dingman Center’s Capital Access Network, which provides early-stage funding (up to $1.5 million) to area start-ups. This type of angel investment captial is crucial in nurturing start-up companies.

“Craig will help us continue the center’s role in supporting economic development and innovation throughout Maryland,” said Asher Epstein, managing director of the Dingman Center for Entrepreneurship. “His investment and entrepreneurial experience brings a valued set of skills to lead the Capital Access Network’s growth.”

Economic Growth Through Entrepreneurship

The Capital Access Network is one of the Mid-Atlantic’s largest angel investment networks linking entrepreneurs with potential investors. Together with regional tech councils, incubators and state-funded institutions, Dye will work to expand the Dingman Center’s regional presence and outreach across the university’s campus.

In addition to providing early-stage capital, the Dingman Center provides MBA and undergraduate students at the Smith School with practical experiences and opportunities to pitch their business ideas, obtain feedback from experienced entrepreneurs-in-residence, and access funding.

Angel Investors vs. Venture Capitalists

Angel investors and venture capitalists are similar, but there’s are a couple of key distincitons. Angel investors put their own money into a business, and it is typically less than what can be raised from the venture capitalists. An angel investor is any individual who provides start-up capital in exchange for debt or equity. Sometimes they organize into groups or networks to share research and pool their investment capital, but even when they do, it’s typically their own money on the line. This differs from venture capitalists, who manage the pooled money of others.

The amount invested by angels fills an important gap between the resources entrepreneurs can raise on their own and formal venture capital, which usually considers only very high dollar investments. Angel investment is sometimes a viable ’second round’ of financing for high-growth start-ups.

Like companies who receive venture capital, their start-up nature makes angel investments high risk. This, plus the fact that if the business is successful, the investment will likely be diluted by future investment (venture capital) rounds, requires that angel investments provide a high return. Similar to getting connected with venture capital, companies meet angel investors by referrals, at investor conferences, and at pitch meetings organized by groups of angels.

Angels Provide More Than Money

On old Broadway, angels were the wealthy individuals who provided money for theatrical productions. Business has borrowed the term. Angel investors may be retired entrepreneurs or executives interested in mentoring the future generation and leveraging their experience and contacts without committing to full time employment. Many angel investors provide much more than capital in the form of advice and access to their powerful networks.

If you’ve run out of cash, but don’t yet need millions, you might be ready for an angel investor. And if you’re in Maryland, the Dingman Center might be able to help you out!

Ford recently honored young business leaders in the 2009 Ford HBCU Business Classic. Some of the nations top students submitted business plans for expert review and judging. Held at Clark Atlanta University, the contest showcased the best and brightest minds from Historically Black Colleges and Universities around the country. Student teams from Florida A&M University and Howard University won $100,000 in scholarship prizes for their innovative business plans.

The Competition

The students’ business plans were evaluated on the viability of their business model, as well as presentation and the business plan’s potential benefit to the community. 

“As an HBCU graduate I know firsthand the impact that programs such as the Ford HBCU Business Classic can have on students,” said Crystal Worthem, Multicultural Marketing Manager, Ford Brand. “The real-world solutions presented during the competition are extremely timely and will have huge positive implications on communities and businesses nationwide. We are excited to pave the way for this next generation of business leaders, and gain their perspective about the current economic situation and solutions for the domestic auto industry.”

The teams had 25 minutes to present their business plans to the judges and prove that their plan can be converted into a viable business strategy. Plans were judged by a panel of judges that included influential entrepreneurs from the business community.

“This is my second year participating in the Ford HBCU Business Classic and the students continue to impress me with the level of professional dedication that they put into their business plans,” said Dr. Randal Pinkett. “They are presenting timely real-world solutions and business models for a number of industries, including real estate, automotive, manufacturing, technology and the environment. These finalists are poised to become the business leaders of tomorrow.”

Florida A&M and Howard Take Top Prizes

Students from Florida A& M University in Tallahassee, FL, received the grand prize for their business plan for VMed LLC. This life changing company is planned to utilize technology to simplify people’s health care needs. As the grand prize winning team, the students from Florida A&M received a total of $50,000 in scholarship funds.

Howard University students presented a plan for AutoCard, a student printing company with licensing rights to incorporate university logos on student business cards. They received $30,000 in scholarships. Hajj Media, also from Howard University, took home second place honors for a plan to offer multitier marketing solution for local small businesses.

Students from Lincoln University also placed in the finals with their strategic plan for an architectural firm dealing with industrial, commercial and residential services in Philadelphia.

Got a Great Business Idea?

It’s too late for this year, but bookmark www.FordHBCU.com and plant to enter the competition next year.

Looking for a great international business program at a public school? The Moore School of Business at the University of South Carolina has been recognized as the top international MBA program at any public university in the United States. This is the result of the U.S. News & World Report’s America’s Best Graduate Schools 2010.

A History of Excellence

Moore has been ranked among the top two in the category for the past twenty years. This year, in terms of international business, they beat out all these heavy hitters:

• University of Pennsylvania (Wharton)
• University of Michigan-Ann Arbor (Ross)
• Columbia University
• Duke University (Fuqua)
• New York University (Stern)
• Harvard Business School
• University of Southern California (Marshall)
• University of California-Berkeley (Haas)

In addition to the top marks for their international business program, the Moore School also moved into the Top 25 among the top business schools at the nation’s public universities.

New International Programs at Moore

The latest ranking comes on the heels of the Moore’s announcement of two new international business programs for the fall.

The Master of International Business (MIB)
This a unique one-year graduate program will be offered jointly with the political science department and the School of Law to provide students with an advanced understanding of the interaction between business, government and society. Courses are approached from an interdisciplinary view so that students gain practice in applying socio-cultural, political and economic perspectives to a rich variety of international management issues including overseas trade and investment and the operation and role of multinational firms in the global economy.

International Business and Chinese Enterprise (IBCE)
This collaborative program partners with the Chinese University of Hong Kong for undergraduates and includes two years of study in Hong Kong, along with intensive language and cultural training.

“These new offerings are continuing evidence of the Moore School’s innovative leadership in international business education,” said Moore School Dean Hildy Teegen. “We are pleased that this leadership is further recognized by U.S. News and we look forward to building on this position with the development of new international programs in the future.”About The Moore School of Business

The Moore School of Business is a comprehensive business school with more than 4,200 students in its undergraduate, master’s, and doctoral programs, and 38,000 living alumni around the world. The Executive Education program last year provided approximately 90 programs for 2,500 executives and government leaders. The Moore School’s undergraduate program in International Business is ranked #1 by U.S. News & World Report and, in the category of “international experience,” the School’s MBA program is ranked second among all business schools globally and first in the U.S. by the Financial Times.

If you plan to take the GMAT any time soon, you’ll want the very latest study guide. The Official Guide for GMAT Review is published by the people who bring you the GMAT, the Graduate Management Admission Council (GMAC). It contains exclusive content and is the only guide to the Graduate Management Admission Test (GMAT) with past questions from the exam. And lucky for you there are hundreds of them.  

This 12th edition of The Official Guide for GMAT Review will run you $36.95 in stores, but only just over $24 on Amazon. That’s a no brainer for prospective business students.

Do You Really Need to Study For the GMAT?

A lot of people like to ‘wing it’ in a variety of situations. It might be a test, a job interview, or an important sales pitch. While this works exceptionally well for some people, they are most likely the exception and not the rule.

Most people do well with an adequate amount of preparation. And methodically proceeding through an organized study guide can provide that preparation. Remember that successful test taking involves a lot of strategy that has nothing whatsoever to do with the content of the test.

So I say yes, study for the GMAT!

Study for the GMAT with Real Questions

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