We provide three levels of financial statement assurance services – audit, review and compilation. Understanding the advantages and disadvantages of each level of assurance can help you choose the most appropriate one to fit your needs.
An audit provides the highest level of assurance, the primary objective of which is to develop an opinion on the fair presentation of the financial statements. The audit process includes our firm gaining an understanding of your business, including internal controls, testing selected transactions and communicating with third parties. Based on our findings, we issue a report on whether the financial statements present fairly, in all material respects, the financial position of the company. As an integral part of the audit process, we will communicate to management and those charged with governance any deficiencies in internal controls as well as make recommendations to strengthen your company’s operational efficiency.
Not as extensive as a full audit, reviews offer limited assurance that your organization’s financial statements are presented correctly. Generally, your business may need a review when third parties, such as investors, need assurance that your financial reports are accurate, but don’t require fully audited statements a review does not entail an in-depth evaluation of your company’s internal controls or verification of data with third parties.
In a compilation engagement we will take the financial data that your company supplies and create financial statements that comply with Generally Accepted Accounting Principles (GAAP). We will not audit or perform any audit procedures on the underlying data, as a result we will offer no assurance that the numbers are accurate.