What is a virtual CPA?

A virtual CPA provides the same services as a traditional CPA firm — tax preparation, bookkeeping, audits, financial planning — but delivers them remotely using secure cloud technology. You get expert-level service without visiting a physical office.

How much do virtual CPA services cost?

Pricing depends on the complexity of your financial situation and the services you need. We provide transparent fee estimates during your initial consultation. Virtual CPA firms typically have lower overhead than traditional firms, which translates to more competitive rates.

Do I need an audit for my nonprofit?

Many states require nonprofits to have an independent audit once they exceed certain revenue thresholds, often $500,000-$750,000. Grant-making organizations and government agencies frequently require audited financial statements. We can help determine your specific audit requirements.

What is the difference between an S-Corp and an LLC for tax purposes?

An LLC provides liability protection and pass-through taxation by default. An S-Corp election can provide additional tax savings by allowing owners to split income between salary (subject to payroll taxes) and distributions (not subject to payroll taxes). The right choice depends on your income level, business structure, and state tax laws.

What does a virtual CFO do?

A virtual CFO (fractional CFO) provides high-level financial strategy and oversight on a part-time basis — budgeting, forecasting, cash flow management, financial analysis, KPI reporting, and strategic financial planning. You get C-suite financial leadership without the full-time cost.

Can you help if I'm behind on bookkeeping or taxes?

Yes. We offer catch-up bookkeeping services to bring your books current and can help resolve back tax issues including IRS notices, unfiled returns, and payment plans.

What accounting software do you work with?

We work with QuickBooks Online, Xero, FreshBooks, Wave, and other major cloud accounting platforms. We can also help you select and set up the best software for your business.

How do I prepare for tax season?

Organize financial records throughout the year, keep receipts for business expenses, track mileage and home office usage, make quarterly estimated tax payments, and schedule a year-end tax planning session before December 31.

What is DCAA compliant accounting?

DCAA (Defense Contract Audit Agency) compliant accounting is a system that meets federal government requirements for contractors. It includes proper timekeeping, job cost accounting, indirect cost allocation, and specific internal controls required for government contract work.

Do I need a CPA or a bookkeeper?

Bookkeepers handle day-to-day recording of financial transactions. CPAs handle higher-level work — tax planning and preparation, audits, financial analysis, and strategic advice. Many businesses need both. Our firm provides both services so you have one team managing everything.

What's the difference between an audit, review, and compilation?

An audit provides the highest level of assurance through independent verification of financial statements. A review provides limited assurance through analytical procedures and inquiries. A compilation presents financial information in statement format without assurance. The right choice depends on your stakeholders' requirements.

Do you serve businesses outside the DMV area?

Yes. While our primary service area is Washington DC, Maryland, and Virginia, we serve clients nationwide through our 100% virtual model. Our cloud-based systems allow us to work with businesses anywhere in the United States.

How long before our audit should we start preparing?

For organizations with clean, current books: 60–90 days. For organizations with reconciliation backlogs, missing documentation, or no prior audit: 4–6 months. The investment in preparation almost always reduces total audit cost and findings.

What documents do auditors typically request?

Standard audit requests include: 12 months of bank statements with reconciliations, general ledger, chart of accounts, trial balance, board meeting minutes, all grant agreements and modifications, fixed asset schedule, accounts payable aging, payroll registers and W-2s, prior-year audit report, and management's representation letter.

What is a material weakness and how serious is it?

A material weakness is a deficiency (or combination of deficiencies) in internal control such that there is a reasonable possibility that a material misstatement of the financial statements will not be prevented or detected. It is the most serious audit finding — it means your financial statements cannot be relied upon without caveat.

Can you fix prior-year audit findings before our next audit?

Yes — that's exactly what audit readiness services do. We identify each prior-year finding, determine the root cause, implement a corrective control, and document the remediation. When properly remediated, prior findings don't repeat.

Do we need audit readiness services if we've been audited before?

Even experienced organizations benefit from a pre-audit review, especially if: books are behind, you've had prior findings, your finance team turned over, you added new federal programs, or your organization grew significantly. A brief readiness check prevents surprises.

How much does audit readiness cost?

Audit readiness engagements typically range from $2,000 to $8,000 depending on the current state of your books and the scope of remediation needed. This investment consistently reduces the total audit fee and findings — a strong return.

What is a PBC (Prepared by Client) list?

A PBC list is the auditor's list of schedules, documents, and analyses that the client must prepare before and during fieldwork. Being ready with a complete PBC package on day one of fieldwork significantly reduces audit time and cost.

Can you serve as our outsourced CFO to maintain audit readiness year-round?

Yes. Many nonprofits engage us for monthly or quarterly bookkeeping and CFO services that maintain a continuous state of audit readiness — so the annual audit is never a crisis.

How long before our audit should we start preparing?

For organizations with clean, current books: 60–90 days. For organizations with reconciliation backlogs, missing documentation, or no prior audit: 4–6 months. The investment in preparation almost always reduces total audit cost and findings.

What documents do auditors typically request?

Standard audit requests include: 12 months of bank statements with reconciliations, general ledger, chart of accounts, trial balance, board meeting minutes, all grant agreements and modifications, fixed asset schedule, accounts payable aging, payroll registers and W-2s, prior-year audit report, and management's representation letter.

What is a material weakness and how serious is it?

A material weakness is a deficiency (or combination of deficiencies) in internal control such that there is a reasonable possibility that a material misstatement of the financial statements will not be prevented or detected. It is the most serious audit finding — it means your financial statements cannot be relied upon without caveat.

Can you fix prior-year audit findings before our next audit?

Yes — that's exactly what audit readiness services do. We identify each prior-year finding, determine the root cause, implement a corrective control, and document the remediation. When properly remediated, prior findings don't repeat.

Do we need audit readiness services if we've been audited before?

Even experienced organizations benefit from a pre-audit review, especially if: books are behind, you've had prior findings, your finance team turned over, you added new federal programs, or your organization grew significantly. A brief readiness check prevents surprises.

How much does audit readiness cost?

Audit readiness engagements typically range from $2,000 to $8,000 depending on the current state of your books and the scope of remediation needed. This investment consistently reduces the total audit fee and findings — a strong return.

What is a PBC (Prepared by Client) list?

A PBC list is the auditor's list of schedules, documents, and analyses that the client must prepare before and during fieldwork. Being ready with a complete PBC package on day one of fieldwork significantly reduces audit time and cost.

Can you serve as our outsourced CFO to maintain audit readiness year-round?

Yes. Many nonprofits engage us for monthly or quarterly bookkeeping and CFO services that maintain a continuous state of audit readiness — so the annual audit is never a crisis.

Nonprofit Audit Readiness Services — DC, Maryland & Virginia

How do nonprofits prepare for their first audit?

Nonprofits prepare for a first audit by completing 12 months of reconciled bank statements, organizing grant agreements and board minutes, preparing a trial balance and fixed asset schedule, documenting internal controls, and reconciling restricted net asset balances. Most organizations need 60–120 days of preparation. Unprepared organizations pay 30–50% more and face more audit findings.

Why Organizations Come to Us

Our audit is in 3 months and our books are a mess

Entering an audit without reconciled accounts, organized grant documentation, and documented internal controls almost guarantees a difficult — and expensive — audit.

We got material weakness findings last year and the board is alarmed

Material weaknesses in internal controls are the most serious audit finding. They signal that the organization cannot reliably produce accurate financial statements — a red flag for funders and boards.

Our prior-year auditor left findings we've never resolved

Unresolved prior-year findings become repeat findings in the current year. Repeat findings are flagged by federal agencies and foundations and can jeopardize grant renewals.

We're preparing for our first audit ever and don't know where to start

First-year audits are inherently more expensive (no prior-year comparison) and more likely to surface documentation gaps. Starting preparation 3–6 months early is critical.

Our bank reconciliations are 4 months behind

Late bank reconciliations are the single most common cause of audit delays. Auditors can't test account balances without current reconciliations. Every month of delay adds to audit cost.

Ready to Get Started?

What We Do

Internal Controls Documentation Review

We assess your current controls over cash, payroll, grant expenditures, and financial reporting, identify gaps, and help you document policies and procedures.

Bank Reconciliation Catch-Up

We reconcile outstanding months, identify discrepancies, and get your accounts to a current, clean state before fieldwork begins.

Grant Fund Tracking Setup

We organize your grant register, reconcile restricted vs. unrestricted net assets, and ensure your general ledger tracks funds by grant and program cost center.

Board Minute Compilation

We help you compile a complete set of board minutes for the fiscal year, including authorizations for key transactions and approval of budget and financial reports.

Trial Balance Review

We prepare or review your year-end trial balance, identify unusual balances, accrued liabilities, deferred revenue, and pledges receivable that need proper accounting treatment.

Pre-Audit Walkthrough

We conduct a mock-audit walkthrough of your key processes, identify the questions your auditor will ask, and prepare your team to respond clearly and confidently.

Audit-Ready vs. Unprepared Organizations

Feature	Audit-Ready	Unprepared
First-year audit cost	$8,000–$15,000	$15,000–$25,000 (+30–50%)
Audit timeline	8–10 weeks	14–20 weeks
Audit findings	0–2 comments	2–6 findings (possibly material weakness)
Funder impact	Clean opinion → strong grant position	Findings → funder scrutiny, possible conditions
Board confidence	High — clean report presented to board	Low — board liability exposure
Staff time during audit	2–4 hours/week responding to auditor	8–15 hours/week pulling documents

Our Process

Intake Assessment (Week 1–2)

We conduct a thorough review of your current books, grant documentation, prior-year audit (if any), and internal control environment. We identify the highest-risk gaps and create a prioritized remediation plan.

Remediation (Weeks 3–10)

We work alongside your finance team to reconcile accounts, organize grant files, document internal controls, compile board minutes, and resolve any accounting issues identified.

Pre-Audit Trial Balance Review (Week 10–12)

We review your final trial balance, identify any remaining issues, prepare a list of likely auditor requests (PBC list), and ensure all supporting schedules are ready.

Audit Support (During Fieldwork)

We're available to assist your team during fieldwork, answering auditor questions and providing documentation. Post-audit, we help interpret findings and develop corrective action plans.

DC, Maryland & Virginia Specifics

Washington DC

DC organizations with grants from DHHS, DSLBD, or the Office of Grants Management should ensure their books are audit-ready before grant reporting deadlines.

Maryland

Maryland nonprofits renewing charitable registration that triggers the $300K review or $750K audit threshold often don't realize it until registration time — preparation must start earlier.

Virginia

Virginia nonprofits approaching $750K–$1M in contributions should begin audit readiness 6 months before fiscal year-end to avoid registration complications.

Related Nonprofit Services

Nonprofit Audit Hub →Single Audit →Grant Compliance →Virtual CFO →

Frequently Asked Questions

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Free consultation. No pressure. Licensed CPAs serving DC, Maryland, and Virginia.