NonProfits

The financial statement reporting requirements for nonprofit organizations are significantly different than those for public institutions since the issuance of Financial Accounting Standards Board Statements 116, 117 and 124. We are well versed in these reporting requirements and how they can be applied in a way that effectively communicates financial results to a range of users from accounting professionals to members of the Board.

In addition to extensive experience auditing nonprofit organizations, we also have many years of experience in completing the required Form 990 for these organizations.

We will assist you in fine-tuning your system as much as possible to facilitate preparation of annual external financial reporting while still accommodating your internal accounting needs and benefits.

Overview of Nonprofit Audits
The objectives of financial reporting within the scope of nonprofit organizations are to provide information to current and potential resource providers and others in assessing:

• The services provided and the entity’s ability to provide those services.
• How management has discharged its stewardship responsibilities
• The organization’s economic resources, obligations and net resources
• The effects of transactions, events and circumstances that change those resources.
• Communicate the method in which resources have been used to meet the organizations objectives and external requirements
• Identify an organization principal programs and their costs.
• Help the user evaluate the organization’s ability to carry out its fiscal objectives
• Provide relevant information to meet the common interest of donors, members, creditors, and others who provide resources.

Groups Interested in Financial Information of Nonprofits
Groups that are particularly interested in the financial information of colleges include:

• Governing boards
• Funding sources and contributors to the organization
• Regulatory agencies
• Creditors and potential creditors
• Employees

We have experience with all types of non-profits including churches and religious organizations, private schools, museums and country clubs.

For more information regarding our audit services, please contact us.