Guide to Financial Statement Services – Compilation, Review and Audit
You’ve worked hard to get your business off the ground. Business is good— so good that you’re ready to trade up from your leased space and build your own building. You’ve met with the bank and they’ve given you preliminary approval on a loan package. But the bank representative says she needs to see your financial statements before she can finalize your loan.
You know that timely, accurate and understandable financial statements are necessary to gauge how well your business has performed and to assess the strength of its financial position. You know that they are the foundation upon which you make important business decisions.
The True Benefits of an Audit or Review of Financial Statements
An independent audit or review of a company’s financial statements by external auditors has been a keystone of confidence in the world’s financial markets since its introduction. However, when discussing the value of audited or reviewed financial statements with privately held, middle-market business owners and operators, their views might fall more along the lines of obligation to bank terms rather than any true benefit to the business. In fact, industry-focused audit teams can deliver many business insights. With the help of an audit team, business owners can improve controls and operational inefficiencies while gaining a sense of best practices within their industry. An annual audit or review can support proper regulatory reporting and compliance, implementation of accounting standards in a timely manner and improved company KPIs for forecasting.
Hiring a Quality Auditor: Your Guide to the Selection Process
CPAs provide a wide range of services to the public, and auditing is at the core of those services. Since the founding of the American Institute of CPAs (AICPA) in 1887, the Institute and the profession have been committed to achieving the highest level of performance for financial statement audits. As part of the AICPA’s commitment to quality, we are providing this resource to assist your organization.
Accounting and Financial Reporting of Leases
On February 25, 2016, the Financial Accounting Standards Board (FASB) issued its new lease accounting guidance in Accounting Standards Update (ASU), Leases. This edition of “A Closer Look” examines the accounting and financial reporting for leases as ammended by ASU.
