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Groupon debacle highlights need for financial expertise

The ongoing Groupon financial debacle emphasizes the value of accounting knowl

The ongoing accounting mishaps at Groupon have exposed some glaring inadequacies on the daily deal website's governing board, according to a number of critics.

The mega-site faltered right out of the gate, hitting

The ongoing accounting mishaps at Groupon have exposed some glaring inadequacies on the daily deal website's governing board, according to a number of critics.

The mega-site faltered right out of the gate, hitting every stumbling block it could find following its massive IPO. Accounting errors and unexpected costs have raised concerns at the now-public company, and many experts are stepping forward to criticize the financial experience and background of the board's audit committee, according to Reuters. Under scrutiny from the Securities and Exchange Commission, Groupon was forced to change its accounting practices twice before it even went public.

To avoid the situation Groupon now finds itself in, public companies of any size need to have the financial expertise to accurately and consistently report earnings, oversee auditors and manage internal growth. Groupon's committee is made up almost entirely of CEOs, according to news sources, and adding even one financial heavyweight would go a long way toward rectifying some of the company's problems.

Groupon announced April 12 its international operations would now be run by Veit Dengler, formerly of Proctor & Gamble. Dengler will oversee operations in Europe, the Middle East and Asia-Pacific.