We provide reviewed and compiled financial statement services to a wide range of clients reaching many different industries. Some of the industries include; charter schools & religious organizations, Construction Companies, Professional Service Firms and Nonprofits.
Stockholders, creditors, and private investors often need assurance that the financial statements accurately represent the true financial position of a company.
Your stockholders, creditors, or private investors have different levels of risk tolerance, so we provide three levels of assurance to meet your needs
A financial statement review provides limited assurance. Our financial statement review process is less extensive than a full audit, but more extensive than a compilation. They are designed to evaluate whether your accounting principles are in accordance with Generally Accepted Accounting Principles (GAAP). During a typical engagement our team will:
Analyze and report your financial position and results of operations, including prior year and industry average comparisons and any detectable variations
Perform ratio analyses of financial data, such as gross margin analysis and turnover ratios, to improve your ability to forecast financial results and trends, and provide key indicators of your organization’s performance
Evaluate your significant accounting policies, including revenue recognition policies to ensure compliance with ASC 606
Look for fraud or the potential for fraud and identify controls that can mitigate fraud risks
Analyze your debt covenant requirements to provide assurance to lenders that you are operating within agreed-upon financial thresholds for your outstanding loans
Evaluate debt, lease and other contractual agreements to identify financial obligations
Search for potential enhancements to operating or internal control procedures, to provide assurance that your systems, processes and controls are appropriately designed to increase business effectiveness
In compiling financial statements for a client, we present information that is the “representation of management” and expresses no opinion or assurance on the statements. Compilations don’t require inquiries of management or analytical procedures. Instead, we rely on our knowledge of accounting principles and a general understanding of your business.
Banks often require compilations from an independent CPA as part of their lending covenants.