What it is
A short-form prompt list for the lease and revenue footnotes of a private company: the items that are most often missed or incomplete. It is not complete and does not reproduce the Codification.
Use it to find gaps in a first draft. The reference column points to the Codification paragraphs to read for each item, including the relief available to entities that are not public business entities.
When to use it
- Drafting or reviewing the lease and revenue footnotes of a private company.
- As a first pass before a complete commercial disclosure checklist on a complex entity.
What’s inside
- Lessee: policy elections, nature of leases, lease cost, cash flows, term and discount rate, maturity analysis
- Lessor: lease income by type and maturity analysis
- Revenue: policies, disaggregation, contract balances, performance obligations, judgments
- Costs to obtain and fulfill contracts, remaining performance obligations and available relief
- A column giving the Codification area for each item
Standard cited
This template follows FASB ASC 842 / ASC 606. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Is this checklist complete?
No. It is a short list of common prompts. For complex entities use a full disclosure checklist from a publisher of accounting guidance.
Do private companies have to give every ASC 606 disclosure?
Not necessarily. ASC 606 lets entities that are not public business entities omit some disclosures, such as the amount of the transaction price allocated to remaining performance obligations, the explanation of significant changes in contract balances and much of the contract cost disclosures, and gives a shorter disaggregation requirement. Opening and closing contract balances are still required if not shown on the face of the balance sheet.
What discount rate may a private company lessee use?
A lessee that is not a public business entity may elect, by class of underlying asset, to use a risk-free rate instead of its incremental borrowing rate when the rate implicit in the lease is not readily determinable. The election can apply to all classes. Disclose the election and the classes it covers.
Related templates
- GAAP Disclosure Checklist (Private Company, Short Form)
- Independent Auditor's Report — Unmodified Opinion (AU-C 700)
- Audit Program: Accounts Receivable and Revenue
Last updated 11/04/2026. All free templates.