CERTYNEX IFRS ACADEMY

Lumen SA acquires an online sales platform: website, customer database, servers, and a development and support team. The platform's revenue is still nil (launch planned). Case assumption: the team operates the servers and the database. Which reading is consistent with the definition of a business?

It is not a business: without revenue, the set is a group of assets.

It is a business because the platform's billing and accounting are already in place.

It is a business because the commercial launch of the platform is planned within the year: the expected outputs are enough to show it.

The set comprises inputs and processes applied to those inputs; the absence of outputs does not prevent it from being a business.