What a Review is
A Review involves putting your bookkeeping information into financial statements in the appropriate format for nonprofit organizations; then using experience, judgment and analytical review to determine whether those financial statements appear substantially correct or not.
We don't express positive assurance in the Review opinion, we express "limited assurance". Basically, the Review opinion says we looked at the financial statements and didn't see anything that looked wrong.
How a Review is different from an Audit
An Audit involves a significant amount of verification of descriptions, amounts, and disclosures. At the conclusion of an Audit we express "positive assurance", that in our opinion your financial statements are "fairly presented". As described above, a Review involves putting your bookkeeping information into financial statement in the appropriate format for nonprofit organizations; then using experience, judgment and analytical review to determine whether those financial statements appear substantially correct or not. At the conclusion of a Review, we express "limited assurance", that we looked at the financial statements and didn't see anything that looked wrong.
In general terms, a Review is less work for you, less work for us, expresses "limited assurance" instead of "positive assurance" and costs less than an Audit.
How a Digital Review is different from an on-site Review
An on-site Review involves someone from our Denver office coming to your location and doing the fieldwork in your office. That means if you are not in the Denver area, there will be travel time and expense involved, increasing the cost to you. A Digital Review increases our reach. We can work with any nonprofit organization anywhere without incurring (and charging for ) travel time and expenses.
The process
A digital Review typically takes two or three days of fieldwork. The exit conference is generally scheduled the same week as the fieldwork. At the exit conference, by conference call, we review the draft report and the graphs with you. The job then goes through a completion and quality control process at the Denver office. If there are no significant delays getting the information we need, we will mail the final report to you within four weeks of the beginning of fieldwork.
How to determine if you should have a Review or an Audit
It depends on why you're having an audit. Generally, you're having an audit because the Board of Directors requires it, or a funder requires it. Oftentimes the term "Audit" is used generically; it is meant to refer to an examination by a Certified Public Accountant (CPA), without being specific about the different levels of service available from a CPA. To find out if you can do a Review instead of an Audit, go to the source. Ask the Board of Directors. Ask the funder that is requiring an Audit if a Review will do instead. If the funder is not clear on the difference between an Audit or Review you can refer them to the State Society of Certified Public Accountants, or this website, or give them our telephone number if you like. We'd be glad to talk to them.
Expenses
There are no "out of pocket" expenses. We bill a fixed fee for the engagement. There will be no additional charges.
Extra stuff
Anytime you want to talk, call our office. You will not be billed. If you find you need more report copies, we will prepare them and send them to you at no additional charge. Even if you do not engage us for professional services, we encourage you to call with any questions. You will not be charged. We want to be your nonprofit accounting resource.
