Review & Compilation Services
Not sure which level of financial reporting you need?
The difference between bookkeeping reports, compiled financial statements, reviewed financial statements, and audited financial statements can be significant — both in scope and cost. If a lender, licensing board, bonding company, investor, or other third party has requested financial statements, KDW Tax & Accounting can help you determine the appropriate level of service before you incur unnecessary expense.
Professional financial statements backed by CPA expertise.
KDW Tax & Accounting provides Review and Compilation services designed to help businesses meet financial reporting requirements with confidence. These engagements provide a more formal level of financial reporting than internally prepared bookkeeping reports and can help support financing, licensing, bonding, ownership reporting, business transactions, and other third-party requirements.
Compilation Services
A compilation takes your company’s financial information and presents it in the form of professionally prepared financial statements in accordance with the applicable financial reporting framework.
A compilation does not provide assurance on the financial statements. However, it provides CPA involvement, professional financial statement presentation, and an accompanying accountant’s report identifying the level of service performed.
Compilations are often appropriate when a third party requires formal financial statements but does not require assurance from the CPA.
Review Services
A review provides a higher level of service than a compilation.
The CPA performs analytical procedures, inquiries, and other review procedures designed to determine whether any material modifications are necessary for the financial statements to conform with the applicable financial reporting framework.
A review provides limited assurance and requires the CPA performing the engagement to be independent of the client.
When You May Need a Review or Compilation
- Bank financing or loan renewals
- Lines of credit
- Contractor licensing or bonding requirements
- Investor or ownership reporting
- Business acquisitions or sales
- Franchise or regulatory requirements
- Management or board reporting
KDW can help determine the appropriate reporting level and prepare financial statements that meet the requirements of the people relying on them.