What's new?

You can now pull automated expense and disclosure reports for profits interests with vesting schedules that include time-based conditions and event-based performance conditions.

What's important or valuable about this change?

ASC 718 reporting involves expensing each equity grant on your company’s income statements, which are subject to audits. With Carta, you can now simplify expense reporting for profits interests: 

• Eliminate errors and save time with automated expense reporting based on your up-to-date cap table in Carta
• Define reporting parameters and pull customized reports with a few clicks whenever you need them
• Confidently enter audits with accurate, transparent, and defensible expense reports every single time

What do I need to do?

ASC 718 financial reporting is available as an add-on to your current Carta subscription. Please reach out to your CSM to learn more and request a demo.

If you currently have ASC 718 financial reporting enabled on your Carta account, navigate to the Financial reporting tab to generate your reports.

1. Manage any exclusions (to control which interests are included in financial reports) and provide the ASC 718 fair value for each interest. Once you define these reporting parameters, they're saved so you can pull consistent reports every time.
   
2. Input the report start and end dates to run the report.
   
3. Download the expense and disclosure reports.
   

How do I learn more or get help?

If you need help with your Carta-generated financial reports, contact our dedicated ASC 718 support team.

If you’re interested in automating ASC 718 financial reporting with Carta, please reach out to your CSM to learn more and request a demo.