Robert Loe CPA

Auditing for New Clients

So, you are in need of an accountant to help you complete your audit?

Well you came to the right place.

Our auditing services are steeped in the time-honored tradition of honesty and integrity. Geared to support everything from complex organizations to simple engagements, our audit clients have come from a wide variety of services and industries including broadcasting, real estate ownership and development, and farming industries. We are well-versed in providing auditing services for homeowner associations.

If an audit is what you are looking for, or you are not sure, we provide you with some basic information on our process and what you will need.

Who Needs it: Publicly traded companies require audits every year. Not only public, but some privately held companies may needs an audit as well. This can be a requirement from your financing institution or even your insurance company. Even if you aren’t required to get an audit, it may make sense to get one. An audit is the highest level of assurance you can obtain from a CPA. Due to the large scope of an audit, the CPA has to spend a lot of time reviewing your financials, which can be costly. This means that most small businesses don’t get them unless they absolutely have to. However, audited financial statements may make the difference in getting a loan approval and can even get you a lower interest rate.

How to Prepare: Since an audit is very detailed in nature, the CPA will need a lot of information and data from the client. This includes a copy of the company financial records, this can be a backup file of the accounting program used i.e. QuickBooks, Sage, etc., and related work-papers. Copies of the bank statements and reconciliations done for the year in question so we can confirm the balances and proper accounting. It is also a good idea to provide any other financial documents that may help the audit team such as a schedule of aged receivables, aged payable, etc. This will cover the basics of what we need to get started on the engagement. We may ask you for more documents in the course of the audit, but these are the documents that you should have prepared to give to the audit team at the beginning of the engagement.

First Step: The first and foremost step if you want an audit done is to contact us. We need to gauge the job and determine if it is something we have the expertise to do and the staff to do so. Once we decide that we will accept the engagement, we will send out an engagement letter to you, the client. This letter needs to be signed and sent back to us before we do anything. Once we have received the signed engagement letter, we will contact you to confirm and from there we will begin arrangements for document retrieval and any initial field visits that we may need to do.

How long will the audit take: Audit timelines vary significantly based upon:

  • the workload the firm is currently working on,
  • the size of the clients’ business or company,
  • the complexity of the clients’ financials,
  • the timeliness of correspondence between client and CPA firm,
  • the timeliness of confirmation between financial institutions and CPA firm,
  • and a number of other small factors.

If you are ready to take the step and start an audit engagement, go ahead and give us a call or even contact us through our website. We look forward to working with you soon.

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