The Financial Reporting Framework (FRF) for Small and Medium-Sized Entities (SMEs). was created by the AICPA as non-GAAP accounting guidance that was issued in 2013. The FRF for SMEs was in important change as it was designed to produce concise, clear, and relevant financial statements for private company stakeholders. It is also less complicated than GAAP and a less costly reporting option for SMEs that do not need U.S. GAAP compliant financial statements. Users of financial statements often have different objectives. To appreciate why this is important it is helpful to consider the needs of different private and public company stakeholders. Primary financial statement users for private companies are often banks or lenders evaluating the entity for a loan or internal management evaluating the business to make business decisions. Financial statement users for publicly traded companies include investors evaluating the company to make investment decisions. These investment users are concerned with consistency and comparability of financial statements to the firm's competitors and the disclosure of items such as earnings per share and other comprehensive income