When you own a small business, financial statement preparation is essential. Properly sourced and organized financial statements (and an accompanying Notice to Reader engagement, when required) provide critical information regarding the health of your business. They are also necessary when it comes to fulfilling regulatory requirements such as official tax returns or finance applications.
PERSONAL EXPERTISE, PERSONAL SERVICE
Jackson CPA’s financial statement preparation service is the best way to minimize your financial risk while maintaining positive relationships with the agencies you rely on for success. You want your business’s financial statements to make you look as good as possible.
Jackson CPA takes the time to understand both you and your business. We study your business model, operating procedures and even your personal financial situation. This allows us to properly reflect all the important areas of your life, and see that they are reflected in your financial statements.
FINANCIAL STATEMENTS… NOT JUST FOR THE CRA
While certain federal and provincial authorities do require proper financial statements, their use does not stop there. Lenders, brokers, management and even shareholders often need to understand the profitability, liquidity, and cash flows of the organization in question. This allows for informed decisions about the operational and financial health of the business. Jackson CPA financial statements fill that need.
UUNDERSTANDING FINANCIAL STATEMENTS
When it comes to profit-oriented enterprises (your average business) their financial statements normally include the following:
- Balance Sheet – a snapshot of financial health that shows the business assets, liabilities and owner’s equity at a given point in time.
- Income Statement – this reports on a business’ income, expenses, and profits over a period of time. This statement helps to spot trends in sales and expenses as well as noting movement in gross margin and net profit margin.
- Statement of Retained Earnings – this document reports on the changes in equity of the company during a stated period.
- Cash Flow Statement – An important report on a company’s cash flow activities, particularly any specific operating, investing and financing activities.
As smaller businesses or other for-profit structures may not require an audit or full review, a compilation remains a cost-effective and efficient alternative to full financial statements. Call Jackson CPA and get the right financial statement to put your business in order.