Financial Statements

Financial statements preparation can be done in any frequency that is most useful for you. Typically, this service is performed in conjunction with bookkeeping or transaction processing services and can be monthly, quarterly or annually. The financial statements are prepared in accordance with an acceptable financial reporting framework. If you’re not sure which reporting framework to use, we can explain the pros and cons of each and the best fit for your business.

The financial statement preparation service is primarily intended for your own use to have current information on the financial standing of your business and to make decisions accordingly. In essence this service is no different from what an in-house controller or CFO would provide to management in a larger company.

You can share your financial statements with outside parties but on each page, we will include a notice that “no assurance is provided” on the financial statements. We prepare financial statements directly from the records you provide and we do not verify the accuracy or completeness of the information and we are not required to issue a formal report on the financial statements.

Compilation

A compilation is Intended for use by lenders and other outside parties who may appreciate the business’s association with a CPA without requiring a level of assurance on the accuracy of financial statements.

Compilation of financial statements is a service where the role of the CPA is more apparent to outside parties, and as such, the requirements for performing this service are more explicit. For example, if the CPA is not independent from ownership, management and other circumstances in their relationship to you and your business, the CPA is required to disclose the impairment to his or her independence in the compilation report. The compilation report is the first page before the actual financial statements and is written by the CPA.

The compilation report states that the CPA did not audit or review the financial statements and accordingly does not express an opinion, a conclusion or provide any assurance on them.

The Burns Firm is here to support your financial and compilation needs. Give us a call today!