Going Concern language
A startup's Chief Financial Officer (CFO) reported that auditors used the term "substantial doubt" in going concern-related statements, questioning its standard nature and whether there is room to adjust the wording. This article analyzes industry practices regarding this statement and discusses whether companies can seek modifications to the language in the context of losses and reliance on venture capital for operations.
A buddy is CFO for a startup and the auditor has provided going concern language that includes the term "substantive doubt' about its ability to continue as a going concern. I understand that this is standard, especially when they're losing money and relying on VC funds to operate. But is there any wiggle room to possibly modify the verbiage? I look forward to your responses.