Taylor Roth: CPA Firm for Nonprofits

The steps involved in gathering the required paperwork are fairly straightforward, but they must be followed diligently in order to provide sufficient evidence for the auditor. The cost of an independent audit varies depending on the geographic region where the nonprofit is located and how large the organization is. Audit fees can be significant for large nonprofits located in major urban areas.

Managing project start-up delays caused by donors

• There are individual auditors or entire audit firms that specialize in the nonprofit sector.
• By carefully navigating the selection phase, organizations lay a strong foundation for a successful audit process.
• An audit can also provide insight into the organization’s financial health and help identify areas of improvement.
• Transforming your technology standing can help you leverage the power of IT solutions to help boost your operational efficiencies through access to comprehensive, real-time views of your entire organization.
• By fostering a culture of transparency and continuous improvement, non-profits can enhance their reputation and attract more funding opportunities.
• Some of these actions may be simple improvements that add up to make a significant difference in your operations, while others may be more complex changes that will take time and effort to implement.
• Control activities, including approvals, verifications, and reconciliations, mitigate risks.

For example, some nonprofit bylaws require annual audits, but others state that they should occur every two, four, or five years. Or, if your organization doesn’t plan to apply for any grants that request audit reports this year, even though you did so in the past, you may be able to skip this year. At CLA, we provide assurance services to more than 4,000 nonprofits and Form https://nerdbot.com/2025/06/10/the-key-benefits-of-accounting-services-for-nonprofit-organizations/ 990 preparation services to more than 8,000.

Clients Include:

These clients pay nothing or less than the costs, so in what way are they the customers? Are the communities and local governments whose populations nonprofits serve the customers? It is true they give the social or even legal access to the populations served but they don’t pay for the services or directly receive the services. Nonprofits in effect do the work that communities and local governments should have done. There is also the question of volunteers, they can be thought of as customers too, they too offer their time and in some cases expertise.

Our services include the following:

• It’s a comprehensive process that requires meticulous documentation and adherence to specific guidelines set by the Office of Management and Budget (OMB).
• Integrity is therefore reflected in commitments made and time spend to correspond with the commitments.
• Partnering with a qualified Certified Public Accountant (CPA) firm like Brady Ware is an essential strategy for navigating the complex world of nonprofit audits.
• It’s also important to understand that while regular audits are beneficial, they are not a substitute for effective nonprofit budgeting.
• Highlighting a clean audit or explaining the actions you’re taking to address findings can reinforce confidence in your organization’s financial stewardship.

Your audit report will be most helpful to your nonprofit if you select an auditing firm with a strong track record that aligns with your needs and budget. Regardless of your nonprofit’s reporting deadline (or lack thereof), we recommend completing your financial audit before completing your annual tax return so you can include the changes you’ve made as a result of the audit in it. After completing the audit, ensuring timely submission of the IRS Form 990 is crucial.

Auditors must assess how effectively resources are utilized to achieve the organization’s goals, ensuring funds are allocated transparently and in alignment with the mission. This openness not only enhances clarity regarding how donations are utilized but also builds donor trust, which is critical for long-term support and engagement. When stakeholders, including donors and volunteers, perceive a non-profit as transparent and accountable, they are more likely to invest their time and resources. Conversely, a lack of transparency can lead to skepticism and diminished support, jeopardizing the organization’s mission.

It is crucial for maintaining financial transparency and accountability within the organization. Georgia, like Ohio, also has its own unique set of audit requirements for nonprofits. The Georgia Secretary of State’s office, along with the Georgia Attorney General’s office, oversees charitable organizations, ensuring compliance with state laws. Georgia’s regulations might include specific reporting requirements for fundraising activities, board governance, and financial transparency. Similar to Ohio, Georgia establishes its own thresholds for mandatory audits, which may differ from the federal “Single Audit” thresholds. Nonprofits operating in Georgia must be aware of these state-specific rules to avoid non-compliance.

• Bank statements are essential because each and every account must be reconciled in a way for which every penny is accounted.
• We provide solutions specific to the nuances, challenges, and operations of not-for-profit organizations—while customizing plans to meet your unique needs.
• This mostly out of habit and such audits tend to miss important entity level risks.
• In my experience the challenge is that nonprofit management and boards tend to constraint auditors to execute cyclical and compliance based audits of various organization segments/units and organization partners.
• Most of these verifications and corrections are accomplished by telephone or in writing.
• One of the primary criteria is evaluating the auditor’s experience with similar organizations.

Minnesota Nonprofit Accounting experts.

So really, start you cyber security plans with your knowledge of data and data governance — donors, employees, volunteers, clients (beneficiaries), partners, collaborators, vendors. Their team will represent your partnership in all dealings with tax authorities, helping you navigate audits and inquiries with confidence. If your bank, investors or creditors are seeking an audit from your non-profit organization, call us first. If you would like more information about how Fohrman & Fohrman can empower your mission-driven nonprofit to grow and succeed, please complete our email sign-up form. If your auditor requests access to your accounting system, make sure to grant them the correct level of user permissions (often view- or read-only) before the audit.