Financial Statement Preparation

    Financial Statement Preparation Services

    Lenders, investors, boards, and regulatory agencies require accurate, professionally prepared financial statements. We prepare GAAP-compliant income statements, balance sheets, cash flow statements, and accompanying notes for businesses of all sizes. Whether you need compiled, reviewed, or audited financials, our CPA team delivers statements that meet the standards your stakeholders expect and that you can rely on for decision-making.

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    Free initial consultation · No obligation

    • Best for organizations that need statements for a lender, board or agency
    • Licensed CPA firm
    • Fees quoted upfront, in writing

    Who prepares financial statements for lenders and boards?

    Your Virtual CPA is a licensed CPA firm that prepares GAAP financial statements for businesses and nonprofits, and performs compilations, reviews and audits when a lender, board or agency requires them. We help you choose the level of report your reader actually needs. Request a free consultation to start.

    What's Included

    Income statement (profit and loss) preparation
    Balance sheet preparation with supporting schedules
    Statement of cash flows (direct or indirect method)
    Statement of changes in equity
    Notes to financial statements
    Management discussion and analysis (MD&A) drafting
    GAAP compliance review and adjustments
    Compilation engagement reports
    Review engagement reports with limited assurance
    Consolidation of multi-entity financial statements
    Interim and annual financial statement packages

    Who This Is For

    Businesses Seeking Bank Financing

    Your bank or SBA lender requires annual or quarterly financial statements as part of your loan application or ongoing covenant compliance. We prepare statements that meet lender expectations and include the schedules and notes they commonly request.

    Companies with Investor Reporting Requirements

    Your investors, whether venture capital, private equity, or individual, expect professional financial statements on a defined schedule. We produce GAAP-compliant packages with variance analysis and management commentary.

    Nonprofits and Grant Recipients

    Your grants or regulatory requirements mandate audited or reviewed financial statements. We prepare statements that comply with GAAP and the specific format requirements of your funding sources.

    Businesses Needing Internal Financial Clarity

    You want to understand your true financial position but your internal records produce unreliable numbers. We convert your bookkeeping data into accurate, complete financial statements you can actually use for decision-making.

    Our Process

    1

    Engagement Planning

    We determine the level of service you need: compilation, review, or audit. We discuss your reporting deadlines, stakeholder requirements, and any specific disclosures or schedules needed. You receive a clear scope of work and timeline.

    2

    Data Gathering & Trial Balance Review

    We obtain your general ledger trial balance, supporting schedules, and source documents. Our team reviews the trial balance for completeness, reconciles key accounts, and identifies any adjusting entries needed to bring balances in line with GAAP.

    3

    Statement Preparation & Adjustments

    We prepare the full set of financial statements including all required notes and disclosures. Adjusting entries for depreciation, amortization, accruals, inventory, and revenue recognition are posted and documented. For reviews and audits, we perform the required analytical and substantive procedures.

    4

    Delivery & Stakeholder Support

    We deliver the final financial statement package in the format your stakeholders require, walk you through the key numbers and ratios, and provide copies directly to lenders or investors if authorized. We are available to answer follow-up questions from your bank, board, or auditors.

    Why Choose Your Virtual CPA

    CPAs experienced in compilation, review, and audit engagements under SSARS and SAS standards
    Financial statements accepted by banks, SBA lenders, investors, and regulatory agencies
    Full GAAP compliance including proper revenue recognition, lease accounting, and disclosure requirements
    Clear, readable statements with meaningful notes that actually explain your financial position
    A schedule agreed upfront and planned around your lender and investor deadlines
    Single-entity and consolidated multi-entity financial statements for complex business structures

    Frequently Asked Questions

    The core set includes an income statement, balance sheet, and statement of cash flows. Most external stakeholders such as banks and investors require all three, plus notes to the financial statements. Some lenders also request a statement of changes in equity. If you are a nonprofit, you will need a statement of activities and statement of functional expenses instead of a traditional income statement. We determine the exact package you need based on who will be using the statements and for what purpose.

    A compilation means the CPA assists in presenting financial information in statement form but does not provide any assurance on accuracy. A review provides limited assurance through analytical procedures and inquiries, meaning the CPA is not aware of any material modifications needed. An audit provides the highest level of assurance through detailed testing of transactions and balances. Banks typically require at least a review for loan amounts above $250,000 to $500,000, and an audit for larger facilities. The level you need depends on your stakeholder requirements and we help you determine the most appropriate and cost-effective option.

    At minimum, you should have annual financial statements prepared after your fiscal year end. Many businesses benefit from quarterly or monthly statements, especially if you have bank covenants that require periodic reporting, investors expecting regular updates, or management decisions that depend on current financial data. We offer both annual statement preparation as a standalone engagement and monthly or quarterly packages that integrate with our bookkeeping services.

    Generally Accepted Accounting Principles require specific methods for recognizing revenue (ASC 606), accounting for leases (ASC 842), valuing inventory, depreciating assets, and dozens of other areas. GAAP also requires specific disclosures in the notes about your accounting policies, significant estimates, related party transactions, and subsequent events. The most common issues we find in non-GAAP books are cash-basis revenue recognition, unrecorded liabilities, missing depreciation, and incomplete lease accounting. We identify and correct all of these during the statement preparation process.

    Related Services

    Bookkeeping & Accounting

    Accurate financial statements start with accurate books. Our bookkeeping service ensures your underlying data is reconciled and complete.

    Audit & Assurance

    Need audited financial statements? Our audit team provides the highest level of assurance your stakeholders may require.

    Virtual CFO Services

    Go beyond the numbers with strategic interpretation, KPI dashboards, and financial guidance that drives better decisions.

    Serving clients nationwide

    Virtual CPA services for clients anywhere in the U.S. Local tax guides:

    Washington DCMarylandVirginia

    Ready to talk it through?

    Schedule a short call to discuss your financial statement preparation needs.

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