Scope sheet
finbryn.com
Credit loss and fair value
IFRS 9 expected credit loss modeling for IFRS reporters with US operations
Finbryn provides IFRS 9 expected credit loss models for US subsidiaries and lenders that report to an IFRS parent, building the stage allocation and the default, loss and exposure inputs behind the group pack (IFRS 9, effective 1 January 2018; US GAAP counterpart ASC 326 CECL; checked 2026-10-16). Management and the group auditor own the final provision.
What is included
- Classification and scope check for each financial asset class
- Stage allocation rules with the significant-increase-in-credit-risk triggers documented
- Probability of default, loss given default and exposure at default inputs with scenario weights
- Provision matrix for trade receivables under the simplified approach
- Group reporting pack schedules and IFRS 7 disclosure support, with a CECL reconciliation
The process
- 1.
Scope the financial assets
We list loans, receivables, contract assets, lease receivables and debt investments, and record the classification for each class and the group policy that applies.
- 2.
Set the staging rules
Quantitative and qualitative triggers and the past-due backstop are written down with the evidence for each, ready for the group's methodology review.
- 3.
Build the loss inputs
Probability of default, loss given default and exposure at default by segment, with scenario weights and the source of each macro forecast.
- 4.
Run the calculation
Allowance by exposure and class, the stage movement table and the provision matrix for trade receivables.
- 5.
Reconcile to the local CECL figure
A bridge by asset class from the US GAAP allowance to the IFRS 9 allowance, with each difference explained in a sentence.
- 6.
Package for the group
Pack schedules, IFRS 7 disclosure tables and the methodology memo go to your controller, who submits them to the parent.
Software
Microsoft Excel, Python, NetSuite, Sage Intacct
Pricing
Scoped per engagement from the number of asset classes, the availability of default history and the group's reporting calendar. It runs separately from the monthly tiers on the /us/pricing rate card, and the fee is confirmed in writing before model work starts.
Finbryn is a brand of Northlane Solutions Inc., a Delaware corporation.
Reviewed October 2026