Groupon has come under increasing scrutiny from the SEC since going public as the company continues to issue updated financial statements in which its accounting practices, specifically how it deals with customer acquisition and refunds have come into play.
The team at Backgroundcheck.org have come up with a simple to understand infographic that showcases the problems associated with Groupon’s accounting methods.
When examining the image below be sure to pay close attention to Groupon’s timeline of financial events and controversial history periods and then its b2b accounting practices in terms of payment structure. It should be pretty simple even for someone without an accounting background to understand the problems Groupon’s accounting methods bring about.
Here’s the infographic:
Author: James Kosur
James Kosur has worked in the new media space for the last 10 years, helping many publications build their audiences to millions of monthly readers. He currently serves as the Director of Business Development at Business2Community.com and the CEO of Aven Enterprises LLC.