Today, Carta announced a new tool that automates ASC 718 stock-based compensation reporting—making it possible for companies to easily build audit-defensible financial reports for profits interest units right on Carta.
“Carta has been amazing for us in terms of getting real-time ASC 718 reporting for our profits interest units,” said Jake Hansen, corporate controller at NMI. “Typically, we did expense reporting once a year because of the labor involved in doing it in-house. Now we are able to book it monthly. It’s great.”
Using Carta’s new automated ASC 718 Financial Reporting tool, LLCs can:
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Automate expense and disclosure reports based on real-time information within their Carta cap table, eliminating the need for manual reconciliation
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Confidently enter audits with accurate, transparent, and defensible stock-based compensation expense and disclosure reports
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Customize reporting parameters and generate reports using the same ones every month, quarter, or year to ensure consistency
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Expense profit interests with any time-based and performance-based vesting conditions
The ASC 718 tool is backed by a dedicated Carta support team that will answer any questions and support customers through audit cycles.
“Finance teams used to have to manually calculate ASC 718 expenses for monthly, quarterly, and annual financial statements,” said Vrushali Paunikar, chief product officer at Carta. “Not anymore. With our automated ASC 718 tool, finance teams can pull expense and disclosure reports right on Carta with just a few clicks.”
The new tool will be available as an add-on to all LLC companies with equity plans required to do expense reporting for stock-based compensation to comply with ASC 718 accounting standards.
If you’re a Carta LLC customer, contact your CSM for a demo and pricing. If you’re new to Carta LLC, request a demo of ASC 718 and our cap table management platform here.
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DISCLOSURE: This communication is on behalf of eShares Inc., d/b/a Carta Inc. (“Carta”). This communication is for informational purposes only, and contains general information only. Carta is not, by means of this communication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services nor should it be used as a basis for any decision or action that may affect your business or interests. Before making any decision or taking any action that may affect your business or interests, you should consult a qualified professional advisor. This communication is not intended as a recommendation, offer or solicitation for the purchase or sale of any security. Carta does not assume any liability for reliance on the information provided herein. ©2023 eShares Inc., d/b/a Carta Inc. (“Carta”). All rights reserved. Reproduction prohibited.
