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Nonprofits, schools, and other entities may be subject to regular, annual audits. Here are some tips on getting ready.

AuditingBPI can help you get ready for an audit Many organizations are required to have independent audits by a certified public accountant (CPA). Follow these steps to save time, money, and stress in your annual audit.

  • Don’t wait until the end of the fiscal period to start getting ready. Your bookkeeper should know how to keep the books and files audit-ready on an ongoing basis. A cost-efficient, successful audit is a function of planning and preparation, not a last-minute scramble to find records and update the accounts.
  • Your bookkeeper should be in touch with the auditors well in advance of the scheduled date, finding out what materials they will need and what questions they anticipate. As with most financial management issues, ongoing communication between the parties is key.
  • Use an experienced bookkeeper who has prior experience with the accounting regulations for your type of entity, including the rules and procedures that apply.

The purpose of an audit is to attest that your organization’s books and financial statements are a fair and accurate representation of the organization’s financial position. Many stakeholders, regulators, and other interested parties rely on a clean audit. If you have any questions about getting ready for an audit, give me a call.  —Beth (Reynolds) Marsh, CEO