Assurance for Your Financial Statements
- 1 hr1 hour
There may be times when it is necessary to assure others that your organization’s financial statements are reliable. Do you need to: borrow money for your organization, demonstrate compliance for terms on existing loans, bring on another partner or investor and so forth? My firm can perform: audits, reviews or compilations of your financial statements and report on the results. Audits require the highest level of service, meeting Generally Accepted Auditing Standards (GAAS), to assure stakeholders (i.e. - business owners, directors, bankers, investors, donors, etc.) that the organization’s financial statements follow Generally Accepted Accounting Principles (GAAP) and there are no material misstatements. In addition to testing General Ledger account balances, a financial audit may entail observing inventory counts, confirming balances due from debtors and/or owed to creditors, verifying existence of the organization’s assets, testing internal controls, etc. Reviews and Compilations also have established standards, but do not involve the same level of assurance as audits. As your Reviewer, I will test relationships between accounts, analyze ratios and perform other limited testing. Compilations are primarily based on records provided by the client and inquiries of management, but do not provide a level of assurance often required by bankers/investors. Note: CPAs must limit other services provided for their audit/review clients to maintain independence for these engagements.