Understanding Financial Statement Audits: A Guide for Nonprofits

For nonprofits, audits ensure accountability and donor trust. Here's what you need to know.

Financial audits are more than compliance—they reflect transparency and trust.

Why Nonprofits Need Audits:

• Required by many donors or government grants

• Verifies accuracy of financial statements

• Improves internal controls

  
  

The Audit Process:

1. Initial planning and document requests

2. Testing of controls and balances

3. Issuance of audit report with recommendations

   
   

Tips for a Smooth Audit:

• Stay organized year-round

• Document everything

• Partner with experienced CPA professionals

  
  

Need help preparing for your audit? Schedule a free consultation with our nonprofit specialists.