FINANCIAL REPORTING SERVICES · SSARS / AR-C SECTION 70 · NO ASSURANCE
Financial StatementPreparation & Framework-Aligned Reporting
CPA-led financial statement preparation designed to turn management-provided accounting information into clear, professionally structured financial statements for owners, management, lenders, and other intended users — without providing assurance.
Licensed CPA-Led Preparation
SSARS / AR-C Section 70
U.S. GAAP & Special-Purpose Frameworks
No Assurance
PREPARATION SERVICE ARCHITECTURE
SSARS AR-C 70
CPA Service Spectrum
Nonattest Preparation
Preparation
No Report
Compilation
Report Issued
Review
Limited Assur.
Audit
Reasonable
Preparation Workflow
01
Acceptance & Framework
Scope, intended use, framework & management responsibility
Confirmed
02
Management Information
General ledger, schedules, records & trial balance data
Provided
03
Prepare & Present
Framework-aligned financial statement structuring
Prepared
04
Disclosures & Review
Address presentation, notes & obvious misstatements
Finalized
05
Prepared Statement Package
Delivered with no-assurance legend on each page
Delivered
Management Information · Structured Statements · Professional Presentation · No Assurance
SERVICE BRIEF
Financial Statement Preparation
for Private & Non-Public Companies
At Jay & Co. CPA PLLC, we provide financial statement preparation services for private and non-public companies that need clear, professionally structured financial statements but do not require an audit, review, or compilation report.
When financial statement preparation is the primary objective of the engagement, our preparation engagements are performed under applicable Statements on Standards for Accounting and Review Services (SSARS), including AR-C Section 70. We prepare the financial statements from information provided by management and do not express an opinion, conclusion, or assurance on those statements.
Financial statements may be prepared under U.S. GAAP or an appropriate special-purpose framework, such as cash basis or income tax basis. The format, classification, presentation, and disclosures are tailored to the selected framework and intended use, subject to applicable professional requirements.
THE PREPARATION OBJECTIVE
Prepare management-provided financial information in a clear, professional format under the selected reporting framework — without performing an assurance engagement or expressing an opinion or conclusion.
Preparation Engagement Foundations
Professional nonattest reporting under AICPA Statements on Standards for Accounting and Review Services (SSARS AR-C Section 70).
Management-Provided Data
Statements are prepared directly from accounting ledgers, reconciliations, and schedules provided by management.
Nonattest Service Standard
No assurance report or accountant’s opinion is issued; statements carry a clear no-assurance notice on each page.
Management Responsibility
Management remains fully responsible for the financial statements, selected framework, and underlying accounting records.
Framework-Aligned Presentation
Structured presentation under U.S. GAAP, cash basis, income tax basis, or other special-purpose frameworks.
Applicable Standard:
SSARS / AR-C Section 70
PREPARATION ENGAGEMENT FRAMEWORK
Preparation Engagement Framework
A structured financial reporting process for clear, professionally prepared non-public financial statements under the selected reporting framework.
STAGE 01
Engagement Acceptance & Reporting Framework
Confirm scope, intended use, reporting framework, and management responsibility.
Deliverable
Engagement Agreement & Framework Selection
STAGE 02
Management-Provided Financial Information
Use management-provided records, schedules, and accounting information as the basis for preparation.
Deliverable
Trial Balance Ingestion & Source Data Alignment
STAGE 03
Prepare & Present Financial Statements
Prepare and present financial statements under the selected financial reporting framework.
Deliverable
Formatted Financial Statements & Line Captions
STAGE 04
Presentation, Disclosures & Final Review
Address presentation, disclosures, and information that appears incomplete, incorrect, or misleading.
Deliverable
Quality Form Review & Note Alignment
STAGE 05
Final Prepared Financial Statements
Deliver the final statements carrying the required no-assurance statement on each page, without an accountant’s report.
Deliverable
Final Prepared Statement Package
Sequence:
01 Acceptance
02 Management Data
03 Statement Preparation
04 Form & Note Review
05 Prepared Statements
Framework-Aligned Preparation • Professional Presentation • No Assurance
PREPARATION SERVICES
Financial Statement Preparation Services We Provide
Our CPA preparation practice organizes management-provided accounting data into clear, professional financial statements across annual, interim, comparative, and special-purpose frameworks without assurance.
Year-End Reporting
Annual Financial Statement Preparation
01
Year-end financial statements for private and non-public entities needing professional reporting without assurance.
Preparation Scope:Annual financial statement packages organized for internal review, stakeholder updates, and tax planning.
Periodic Governance
Interim Financial Statement Preparation
02
Monthly, quarterly, or other interim financial statements for management, owners, lenders, or other intended users.
Preparation Scope:Regular periodic reporting packages to track business performance and working capital metrics.
Trend Reporting
Comparative Financial Statements
03
Comparative statements covering multiple periods for consistent period-over-period reporting.
Preparation Scope:Side-by-side presentation of multi-year or multi-period financial results with aligned line items.
Multi-Entity Structures
Consolidated or Combined Financial Statements
04
Prepared financial statements for groups with subsidiaries or affiliated entities, where appropriate.
Preparation Scope:Group-level financial statements representing complex parent-subsidiary or brother-sister operating structures.
Accrual Framework
U.S. GAAP Financial Statement Preparation
05
Financial statements prepared and presented in accordance with U.S. GAAP, based on management-provided information.
Preparation Scope:Presentation structured in accordance with GAAP classifications, recognition rules, and note conventions.
Alternative Frameworks
Special-Purpose Framework Financial Statements
06
Cash-basis or income-tax-basis financial statements when appropriate for the intended purpose and users, with the framework described on the face of the statements or in a note.
Preparation Scope:Simplified reporting matched directly to tax accounting or actual cash inflows and outflows.
Individual & Net-Worth
Personal Financial Statement Preparation
07
Prepared personal financial statements for lending, financing, or net-worth reporting needs.
Preparation Scope:Statements of financial condition reflecting estimated current values of personal assets and liabilities.
Footnote Customization
Full or Reduced-Disclosure Statements
08
Statements with full disclosures, or with substantially all disclosures omitted where permitted, appropriate, and not misleading, with the omission disclosed in the financial statements.
Preparation Scope:Custom disclosure presentation tailored to specific owner requirements under SSARS AR-C 70.
PREPARATION METHODOLOGY
A Structured, Framework-Aligned Preparation Approach
A preparation engagement focuses on clear financial statement presentation, management responsibility, the selected reporting framework, and transparent no-assurance communication.
STEP 01
Scoping & Terms
Engagement Terms & Management Responsibility
We confirm the scope, intended use, selected reporting framework, management responsibilities, and the financial statements to be prepared.
SSARS AR-C 70 Standard
STEP 02
Framework Alignment
Applicable Financial Reporting Framework
We identify the framework selected by management — such as U.S. GAAP, cash basis, or income tax basis — and structure the financial statements accordingly.
SSARS AR-C 70 Standard
STEP 03
Information Ingestion
Management-Provided Financial Information
We use the trial balance, general ledger, schedules, reconciliations, and other financial information supplied by management as the basis for preparing the statements.
SSARS AR-C 70 Standard
STEP 04
Statement Structuring
Classification & Financial Statement Presentation
We organize and present assets, liabilities, equity, revenue, expenses, cash flows, and related captions in a clear and professionally structured format appropriate to the selected framework.
SSARS AR-C 70 Standard
STEP 05
Disclosures & Notes
Accounting Policies & Disclosures
Where disclosures are included, we assist management in presenting notes and accounting policies appropriate to the selected reporting framework.
SSARS AR-C 70 Standard
STEP 06
Quality Reading Step
Read the Prepared Financial Statements
As an internal quality step, we read the prepared statements in light of the reporting framework and the significant accounting policies, to confirm they appear appropriate in form and free of obvious issues.
SSARS AR-C 70 Standard
STEP 07
Clarification & Safeguard
Corrections & Management Follow-Up
If information appears incomplete or incorrect, we request clarification or corrected information before finalizing the statements. If the statements would be misleading and management will not revise them, we withdraw from the engagement.
SSARS AR-C 70 Standard
STEP 08
Package Delivery
Final Financial Statement Package
We deliver the prepared financial statements carrying the required no-assurance statement on each page. No accountant’s report is issued for a preparation engagement.
SSARS AR-C 70 Standard
FINANCIAL REPORTING FOCUS
Financial Statements & Reporting Areas We Can Prepare
Preparation services are based on information supplied by management and the selected reporting framework. We can prepare a complete set of financial statements or other appropriate statements, with disclosures when applicable.
REPORTING DOMAIN 01
Core Financial Statements
Primary statement components prepared and formatted in accordance with the selected reporting framework.
Balance Sheet / Statement of Financial Position
Income Statement / Statement of Operations
Statement of Cash Flows
Statement of Stockholders’ or Members’ Equity
Comparative and multi-period financial statement presentation
CPA Preparation
No Assurance
REPORTING DOMAIN 02
Working Capital & Asset Captions
Clean classification and structured presentation of operational assets and short-term accounts.
Cash and bank account presentation
Accounts receivable and allowance presentation
Inventory and cost of goods sold classifications
Property, equipment, and accumulated depreciation
Revenue and expense classifications
CPA Preparation
No Assurance
REPORTING DOMAIN 03
Obligations, Equity & Disclosures
Clear presentation of liabilities, debt structures, capital transactions, and note disclosures.
Accounts payable and accrued liabilities
Debt and financing arrangements
Equity, capital contributions, and distributions
Related-party balances and transactions
Notes to the financial statements, when included
CPA Preparation
No Assurance
BUSINESS VALUE
When Prepared Financial Statements Are Especially Useful
Financial statement preparation is an accessible, cost-effective service for private companies that need structured, framework-aligned statements without the procedural scope and cost of an assurance engagement.
USE CASE 01
Management & Owner Reporting
Professional periodic financial statements for internal analysis, planning, and decision-making.
Use Context
Executive decision-making, internal reviews & strategic planning
USE CASE 02
Bank & Lender Requests
Prepared financial statements for financing discussions when the lender accepts preparation-level statements.
Use Context
Initial loan conversations, small business credit & lender discussions
USE CASE 03
Board & Governance Reporting
Clear financial statement packages for boards and governance when assurance is not required.
Use Context
Board of directors, advisory committees & ownership meetings
USE CASE 04
Smaller Private Companies
Professional financial reporting for entities that need structured statements but do not require an accountant’s assurance report.
Use Context
Emerging businesses, family enterprises & non-attest private entities
USE CASE 05
Periodic & Year-End Reporting
Consistent monthly, quarterly, or annual financial statements built from management-provided accounting records.
Use Context
Monthly closes, quarterly trend reviews & year-end closing packages
USE CASE 06
Tax & Special-Purpose Reporting
Financial statements on a cash, income tax, or other appropriate framework when suitable for the intended purpose.
Use Context
Tax return support, cash-basis management & special-purpose filings
PROFESSIONAL STANDARDS
Professional Financial Statement Preparation
Built on SSARS Requirements
When AR-C Section 70 applies, our preparation engagements for non-public entities are performed under Statements on Standards for Accounting and Review Services (SSARS), issued by the Accounting and Review Services Committee of the AICPA. Financial statement preparation is a nonattest, nonassurance service designed to present management-provided financial information under the selected reporting framework without an accountant’s assurance report.
STANDARD 01
SSARS / AR-C Section 70
When financial statement preparation is the primary objective of the engagement, AR-C Section 70, Preparation of Financial Statements, governs the accountant’s responsibilities. AR-C Section 70 does not apply where financial statements are prepared incidental to another service, such as a tax engagement.
SSARS Provision
AICPA SSARS Standard
STANDARD 02
Applicable Financial Reporting Framework
Financial statements may be prepared under U.S. GAAP or an appropriate special-purpose framework, such as cash basis or income tax basis, depending on management’s needs and the intended users.
SSARS Provision
Framework Options
STANDARD 03
No Assurance & No Accountant’s Report
No opinion, conclusion, or assurance is expressed. AR-C Section 70 requires a statement on each page indicating no assurance is provided. Where unable to include that statement, a disclaimer is issued or a compilation performed. An accountant’s report is not otherwise issued.
SSARS Provision
No Report / Nonattest
STANDARD 04
Independence Considerations
Independence is not required to perform a financial statement preparation engagement under AR-C Section 70. Preparation is a nonattest service, so where we also perform a review or audit, safeguards required by the AICPA Code of Professional Conduct are evaluated and documented.
SSARS Provision
Nonattest Rules
STANDARD 05
Management Responsibility
Management remains responsible for the financial statements, the selected reporting framework, relevant internal control, and the accuracy and completeness of the records and information provided.
SSARS Provision
Management Ownership
NONATTEST SERVICE CLARITY
WHAT NO ASSURANCE MEANS
In a preparation engagement, the accountant prepares financial statements from information provided by management but does not perform audit, review, or compilation procedures to obtain assurance. No opinion, conclusion, or assurance is expressed.
The financial statements ordinarily include a clear no-assurance legend on each page, and management remains responsible for the financial statements and underlying information.
CPA Engagement Spectrum: Preparation vs. Compilation vs. Review vs. Audit
Clear distinction of engagement scope, report deliverables, and assurance levels under AICPA professional standards.
| Engagement Factor | Preparation (AR-C 70) | Compilation (AR-C 80) | Review (AR-C 90) | Audit (U.S. GAAS) |
|---|---|---|---|---|
| Primary Objective | Preparation Prepare structured financial statements from management data | Compilation Assist management in presenting statements & issue a compilation report | Review Obtain limited assurance that no material modifications are needed | Audit Obtain reasonable assurance that statements are free from material misstatement |
| Accountant’s Report | Preparation No accountant's report issued (legend on each page) | Compilation Accountant’s Compilation Report issued | Review Independent Accountant’s Review Report issued | Audit Independent Auditor’s Report issued (Audit Opinion) |
| Assurance Level | Preparation No Assurance | Compilation No Assurance | Review Limited (Negative) Assurance | Audit Reasonable (Positive) Assurance |
| Procedures Performed | Preparation Formatting & presentation; no analytical testing or inquiries | Compilation Read statements for form & obvious misstatements | Review Management inquiry & substantive analytical procedures | Audit Substantive testing, confirmations, observation & controls testing |
| Independence Required | Preparation Not required (nonattest service) | Compilation Not required (lack of independence disclosed in report) | Review Strict CPA independence required | Audit Strict CPA independence required |
COMPLEMENTARY CPA SERVICES
Explore Related Reporting & Assurance
FRAMEWORK-ALIGNED FINANCIAL REPORTING
Clear Financial Statements.
Professional Presentation.
Whether financial statements are needed for management, owners, financing discussions, periodic reporting, or another accepted purpose, Jay & Co. CPA PLLC delivers a disciplined preparation process designed to present financial information clearly, consistently, and in accordance with the selected reporting framework — without implying assurance.
CPA-Led Preparation
•
Non-Public Companies
•
SSARS / AR-C Section 70
•
U.S. GAAP & Special-Purpose Frameworks
•
No Assurance
Direct Phone
Inquiries
Office
Kalispell, Montana • Remote U.S.
RECOMMENDED WEBSITE DISCLOSURE
Financial statement preparation 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 any applicable peer review requirements are met. Engagements are subject to client acceptance procedures, conflict-of-interest considerations, an appropriate financial reporting framework, availability of sufficient financial information, and execution of a signed engagement letter. Management remains responsible for the financial statements and for the information provided. A preparation engagement is not an audit, a review, or a compilation, provides no assurance, and does not include an accountant’s report. Nothing on this page is an offer to perform services in a jurisdiction in which the firm is not authorized to practice.