LICENSED CPA-LED AUDIT · U.S. GAAS · U.S. GAAP
Independent FinancialStatement Auditfor Non-Public U.S. Companies
Independent CPA-led audits designed to strengthen financial credibility, support stakeholder confidence, and provide assurance over financial statements prepared in accordance with U.S. GAAP.
Licensed CPA-Led Audit
U.S. GAAS Compliant
U.S. GAAP Assurance
Independent Assurance
AUDIT ENGAGEMENT FRAMEWORK
Independent Assurance · AICPA / U.S. GAAS
CPA Attest
STAGE 01
· Planned
Acceptance & Planning
Independence, business understanding & audit strategy
U.S. GAAS
STAGE 02
· Evaluated
Risk Assessment
Significant risks & financial reporting processes
U.S. GAAS
STAGE 03
· Substantive
Audit Fieldwork & Testing
Transactions, balances & audit evidence
U.S. GAAS
STAGE 04
· Verified
Financial Statement Evaluation
Presentation, disclosures & U.S. GAAP conformity
U.S. GAAS
STAGE 05
· Delivered
Audit Completion & Reporting
Conclusions & independent auditor’s report
U.S. GAAS
Auditor Deliverable:
Independent Auditor's Report
SERVICE BRIEF
Financial Statement Audit
U.S. GAAP Assurance for Private Companies
At Jay & Co. CPA PLLC, we provide independent financial statement audit services for privately held and non-public companies that require credible financial reporting, disciplined execution, and professional assurance.
Our audits are designed to obtain reasonable assurance about whether the financial statements are free from material misstatement, whether caused by fraud or error, and to support the issuance of an independent auditor’s opinion. Reasonable assurance is a high level of assurance, but it is not absolute assurance. The financial statements are the responsibility of management; our responsibility is to express an opinion on those financial statements based on our audit.
We take a disciplined, risk-based approach to each engagement. This includes understanding the business, assessing financial reporting risks, obtaining an understanding of internal control relevant to the audit in order to design appropriate procedures (but not for the purpose of expressing an opinion on the effectiveness of internal control), testing significant account balances and transactions, examining supporting documentation, evaluating key accounting estimates, and assessing whether the financial statements are presented fairly, in all material respects, in accordance with U.S. GAAP.
THE ASSURANCE OBJECTIVE
To deliver an independent, professionally executed audit that enhances confidence in the reliability and credibility of your financial statements.
Audit Engagement Foundations
Rigorous execution under AICPA Auditing Standards Board (ASB) and U.S. GAAS protocols tailored for privately held businesses.
Independent CPA Attest
Objective evaluation free from bias or operational conflicts.
Reasonable Assurance Standard
High level of assurance over material misstatement risk.
Management vs. Auditor Responsibility
Clear distinction between preparation and independent opinion.
Risk-Responsive Audit Testing
Tailored substantive procedures directed at significant accounts.
U.S. GAAP Presentation Conformity
Comprehensive review of statement classifications and disclosures.
Non-Public Entity Focus
Engineered specifically for non-public entities navigating credit facilities, investor reporting, M&A readiness, and contractual covenants.
AUDIT ENGAGEMENT FRAMEWORK
Structured 5-Stage Audit Engagement Framework
A disciplined, methodical audit process engineered in accordance with U.S. GAAS to deliver thorough examination and rigorous financial assurance.
STAGE 01
Engagement Acceptance & Planning
Independence, business understanding & audit strategy
Establishing engagement parameters, verifying independence, understanding entity operations, and designing an overarching risk-based audit plan.
Deliverable
Audit Strategy & Engagement Plan
STAGE 02
Risk Assessment
Significant risks & financial reporting processes
Identifying areas susceptible to material misstatement, evaluating internal control relevant to the audit, and scoping responsive procedures.
Deliverable
Risk Assessment & Testing Scope
STAGE 03
Audit Fieldwork & Testing
Transactions, balances & audit evidence
Executing substantive audit testing, examining documentation, evaluating confirmations, and testing significant account balances and transactions.
Deliverable
Substantive Audit Workpapers
STAGE 04
Financial Statement Evaluation
Presentation, disclosures & U.S. GAAP conformity
Assessing accounting policies, evaluating key estimates, reviewing supporting disclosures, and verifying financial statement presentation.
Deliverable
GAAP Disclosure & Statement Review
STAGE 05
Audit Completion & Reporting
Conclusions & independent auditor’s report
Synthesizing audit evidence, completing final reviews, evaluating subsequent events, and issuing the formal independent auditor’s report.
Deliverable
Independent Auditor’s Report
Audit Flow Sequence:
01 Planning
02 Risk Assessment
03 Fieldwork
04 Evaluation
05 Independent Auditor's Report
OUR METHODOLOGY
A Strong, Risk-Based Audit Approach
Every audit engagement is built around a structured methodology designed to focus audit effort on the areas that matter most.
Pillar 01
Operational Context
01
Business Understanding
We develop an understanding of operations, ownership, industry, revenue model, financing arrangements, and key financial reporting risks.
Pillar 02
Risk Identification
02
Risk Assessment
We identify areas susceptible to material misstatement and design procedures responsive to the assessed risks.
Pillar 03
Procedure Scoping
03
Internal Control Understanding
We obtain an understanding of internal control relevant to the audit to determine the nature, timing, and extent of procedures — not to express an opinion on the effectiveness of internal control.
Pillar 04
Field Testing
04
Substantive Audit Procedures
We test significant transactions, account balances, and disclosures using appropriate audit procedures and supporting evidence.
Pillar 05
Evidential Support
05
Audit Evidence
We evaluate records, reconciliations, schedules, confirmations, and other evidence necessary to support audit conclusions.
Pillar 06
Valuation & Estimates
06
Accounting Estimates & Judgments
We assess significant assumptions and estimates, including accruals, impairment, valuation, useful lives, and contingencies.
Pillar 07
GAAP Conformity
07
U.S. GAAP Financial Statements
We evaluate whether the financial statements and related disclosures are presented fairly in accordance with U.S. GAAP.
Pillar 08
Independent Opinion
08
Audit Reporting
Upon completion, we issue an independent auditor’s report containing our opinion, which may be unmodified or modified depending on the results of the engagement.
AUDIT SCOPE
What the Audit May Cover
Our audit procedures evaluate key financial statement line items, transactions, estimates, and disclosures to assess fair presentation under U.S. GAAP.
18 Key Examination Domains
Assets & Operating Cycles
Cash and bank accounts
Bank reconciliations, confirmations, and liquidity verification
Accounts receivable
Aging verification, allowance for doubtful accounts, and sample confirmations
Revenue and revenue recognition
Contract analysis, performance obligations, and cut-off testing under ASC 606
Inventory
Physical observation procedures, valuation testing, and obsolescence reserves
Prepaid expenses and other current assets
Amortization schedules and supporting document verification
Property and equipment
Additions, disposals, depreciation methodologies, and asset capitalization policies
Liabilities & Financing
Accounts payable
Vendor confirmations, search for unrecorded liabilities, and cut-off testing
Accrued liabilities
Operating accruals, expense recognition timing, and supporting workpapers
Payroll and employee-related liabilities
Compensation reconciliations, benefit accruals, and tax liabilities
Debt and financing arrangements
Loan agreements, debt covenants, interest accruals, and maturity schedules
Equity and capital transactions
Stock issuances, member distributions, cap table reconciliations, and equity structure
Related-party transactions
Identification, disclosure verification, and terms evaluation
Estimates, Disclosures & GAAP Presentation
Significant accounting estimates
Management assumptions, valuation models, and reserve methodologies
Commitments and contingencies
Legal inquiries, lease obligations, warranties, and pending exposures
Going concern considerations
Management’s evaluation of operational continuity and cash runway
Subsequent events
Post-balance-sheet review for material adjustments or disclosure requirements
Financial statement disclosures
Comprehensive footnote disclosures in accordance with U.S. GAAP standards
Overall U.S. GAAP presentation
Statement structure, classification integrity, and balance consistency
WHO WE SERVE
Built for Businesses That Need Credible Financial Reporting
This service is designed for non-public companies that need a higher level of assurance for financing, investment, governance, transaction, or contractual purposes.
USE CASE 01
Lenders & Financing
Support borrowing and lending relationships with independently audited financial statements.
Assurance Value
Debt Covenants & Facility Underwriting
USE CASE 02
Investors & Capital Raising
Strengthen financial credibility during fundraising, investor discussions, or diligence.
Assurance Value
Equity Diligence & Valuation Clarity
USE CASE 03
Acquisition or Sale Readiness
Provide reliable financial information for mergers, acquisitions, due diligence, or business sale discussions.
Assurance Value
M&A Validation & Transaction Confidence
USE CASE 04
Board & Governance Needs
Support owners, boards, and governance stakeholders with stronger financial reporting assurance.
Assurance Value
Fiduciary Oversight & Accountability
USE CASE 05
Contractual Requirements
Meet audit requirements imposed by lenders, investors, agreements, or other third parties.
Assurance Value
Regulatory & Contractual Compliance
USE CASE 06
Growing Companies
Build stronger financial reporting discipline as the organization scales and stakeholder expectations increase.
Assurance Value
Scaling Systems & Institutional Maturity
WHY IT MATTERS
Independent Assurance That Strengthens Confidence
An independent financial statement audit does more than fulfill a compliance mandate; it reinforces financial credibility and enhances operational rigor.
Pillar 01
Credibility
Audited financial statements can enhance confidence among lenders, investors, owners, boards, and other users.
Stakeholder Trust
Pillar 02
Financial Discipline
The audit process often prompts management to strengthen reconciliations, documentation, supporting schedules, and closing practices.
Internal Reporting Quality
Pillar 03
Risk Awareness
Audit procedures may identify financial reporting risks, documentation weaknesses, or control deficiencies, which we communicate to management. An audit is not designed to identify all such matters.
Management Communication
Pillar 04
Professional Assurance
An independent CPA audit provides a formal level of assurance supported by professional standards and audit evidence.
Standardized Attest
MORE THAN AN AUDIT REPORT
A well-executed audit supports stronger financial reporting discipline, clearer documentation, and greater stakeholder confidence while preserving the auditor’s independence.
AICPA ASB · U.S. GAAS
PROFESSIONAL STANDARDS
Professional Standards You Can Rely On
Our financial statement audits for non-public companies are performed in accordance with auditing standards generally accepted in the United States of America (U.S. GAAS), as established by the Auditing Standards Board of the AICPA. Where U.S. GAAP is the applicable financial reporting framework, we evaluate whether the financial statements are presented fairly, in all material respects, in accordance with accounting principles generally accepted in the United States of America.
STANDARD 01
Independence
Engagements are accepted only after appropriate independence and conflict-of-interest considerations are addressed.
Focus Dimension
Ethical Integrity
STANDARD 02
Professional Skepticism
Audit evidence is evaluated objectively, with appropriate professional judgment and skepticism.
Focus Dimension
Critical Objective Inquiry
STANDARD 03
Risk-Based Planning
Audit procedures are tailored to the company, its environment, and the risks of material misstatement.
Focus Dimension
Tailored Engagement Design
STANDARD 04
Sufficient Appropriate Evidence
Audit conclusions are supported by evidence obtained through procedures designed for the engagement.
Focus Dimension
Evidential Foundation
STANDARD 05
Documentation & Supervision
Audit work is documented and supervised in accordance with applicable professional requirements.
Focus Dimension
Rigorous Oversight
STANDARD 06
Quality-Focused Execution
Engagements are performed within the firm’s system of quality management, designed and maintained in accordance with applicable AICPA quality management standards.
Focus Dimension
System of Quality Control
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INDEPENDENT FINANCIAL STATEMENT AUDIT
Your Financial Statements Tell the Story.Independent Assurance Adds Credibility.
Whether your company is preparing for financing, investor discussions, growth, a transaction, or an external reporting requirement, Jay & Co. CPA PLLC provides independent audit services designed to deliver clarity, credibility, and confidence in your financial statements.
U.S. GAAS Audit Standards
U.S. GAAP Compliance
Independent CPA Attest
Schedule your confidential consultation via Calendly with our CPA engagement team.
RECOMMENDED WEBSITE DISCLOSURE · ATTEST SERVICES
Attest services are provided only where Jay & Co. CPA PLLC and its engagement partner hold the individual licenses, firm permits, and registrations required under applicable state laws, and only where applicable professional standards and independence requirements are met. All audit engagements are subject to client acceptance procedures, independence and conflict-of-interest checks, availability of sufficient appropriate audit evidence, and execution of a signed engagement letter. An audit provides reasonable, not absolute, assurance and is not designed to detect all instances of fraud or error, or to identify all deficiencies in internal control. Jay & Co. CPA PLLC does not perform audits of issuers under PCAOB standards. Nothing on this page is an offer to perform services in a jurisdiction in which the firm is not authorized to practice.