When Do You Need to Obtain an Audit?

When Do You Need to Obtain an Audit?This week’s article is by Mark S. Becker, Partner, CFO Edge, LLC.

Small and medium-sized businesses frequently don’t have audits of their financial statements done unless potential investors or lenders require them.

But as needs evolve and opportunities arise – as with a lending request or investor pitch – not having audited financials can present significant challenges.

For example, a lender or investor may require that financials comply with generally accepted accounting principles (GAAP).

If a company hasn’t historically used professional accounting resources, extensive and costly revisions may be needed to make financial statements GAAP-compliant.

Discussed in this week’s full PDF…

When Do You Need to Obtain an Audit?

…is how an outsourced CFO services professional – well-versed in lender and investor expectations – helps to bring financials up to GAAP standards and prepare for an audit.

Having audited financials benefits Los Angeles and Southern California business leaders in areas that include a greater inclination for lenders and investors to view financial presentations favorably and limiting of legal exposure based on financial statements being GAAP-compliant.

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