Many small businesses do not require audited or reviewed financial statements.  Compiled financial statements are usually sufficient for bank financing and other creditor needs as well as internal use and are much more cost-effective for small businesses.

 

In compiling financial statements for a client, the financial information used is the  "representation of management, or the owner" and the CPA expresses no opinion or assurance on the statements as they are not audited or reviewed.  Compilations don't require inquiries of management or analytical procedures. Instead, they rely on our knowledge of accounting principles and a general understanding of your business.