Audit and Assurance Services in Minneapolis and St. Paul, MN

Benefit from audit and assurance services provided by certified public accountants.

When you need an audit, review, or compilation, give us a call. In addition to providing independent checks of your records, our auditors can help you dig deeper to assess your business and financial situation. Expect our team of certified public accountants (CPAs) to provide constructive solutions for all levels of assurance.

The JAK Audit Process

An audit of your financial statements can provide assurance to creditors, lenders, employees, analysts, prospective shareholders, governments, and even communities that your organization is operating as it should. At JAK, our auditors provide an independent check of your records for accuracy, honesty, and risk. Not only do we evaluate your financial statements for conformity with generally accepted accounting principles (GAAP) but we also assess your financial situation. With this understanding, we can offer recommendations for improving efficiency and profitability.

What is the purpose of an audit?

The purpose of an audit is to provide assurance that your company’s financial statements are in conformity with GAAP. It’s the highest level of assurance service a certified public accountant can provide. To do so, our auditors adhere to professional ethical standards at every step of the audit process. The result: a true and fair view of your financial situation that you can share with end users.

A review of your financial statements is less extensive than an audit and results in a lower level of assurance. In some instances, such as when your business is in its first year of operations and seeking a bank loan, it might be all you need. Compilations are even less involved, but they can be valuable in the right situation. The purpose of a compilation is to help your business organize and standardize its financial statements; it’s primarily for internal use, as it doesn’t provide assurance (i.e., no assurance) to the end user.

What is an internal audit?

An internal audit is an independent evaluation of your company’s internal controls, corporate governance, and/or accounting processes. In doing so, it provides an independent assurance service to your board and other stakeholders on the effectiveness of your organization’s risk management and control processes.

What is the difference between audit and assurance?

The result of an audit is assurance. In other words, think of assurance as the level of confidence the auditor has in an organization’s financial statements being free of material misstatement caused by error or fraud.

What are the different types of assurance?

Sometimes, an organization may need to simply express compliance with regulatory requirements, a contractual agreement, or a certain process. In these instances, “limited” or “reasonable” assurance may be sufficient. A compilation does not include assurance because the auditor is simply presenting client-prepared financial information in an organized, standardized statement form.

Does your business need an audit?

 As we’ve mentioned, having audited financial statements can help to provide a clear picture of your organization’s financial situation—and this can be valuable in many situations. For instance, if you’re planning to sell your company, an audited financial statement could help you justify your asking price to prospective buyers. If your company has many shareholders, audited financial statements could help to reduce the cost of—or even prevent—litigation. And if your business is planning for an initial public offering, you must have three years of audited financial statements before you’re permitted to sell stock options. Banks and other lenders, as well as certain government contracting programs, may require you to provide audited financial statements, too.

Are you facing an audit? Here are some resources to help –

3 Simple Ways to Make Life Easier During Your Next Audit – By Nate Graf, CPA
What To Do If You’re Facing an IRS Audit – By Matt Luckmann, CPA

Let JAK support your business with audit and assurance services.

Call today: 651-641-1099