Assurance

Regardless of the size or stage of your organization, a quality financial statement is essential to your prosperity… but it means more than that to us. At ADKF, we strive to become trusted advisors to your team and to instill in them a confidence to consult with us on all pertinent business matters.

Our team has experience with a variety of assurance services for a wide array of industries. Some of our current and past clients include SEC-registered companies, privately owned businesses, and not-for-profit organizations. We have experience auditing clients from industries such as construction, manufacturing, not-for-profit, professional services, oil & gas, retail & wholesale, restaurant groups, and many other industries

Financial Statement Audits, Reviews, & Compilations

A financial statement tells your financial story to banks, investors, absentee owners, and other third parties. We offer a number of options to assist you with the presentation of your financial statement, each of which provides a different level of assurance based on the information provided. Our team will work with you to determine the best option for your needs.

Audits

A financial statement audit is an objective evaluation of your financial statements to ensure that the financial records you keep are a fair and accurate representation of your company's transactions.

A financial statement audit is essential to every organization - large or small - because it helps provide credibility to a set of financial statements and gives shareholders confidence in the information presented. It may be requested by third parties, such as banks, insurance and surety companies, potential investors, and state agencies who are looking for the highest level of assurance that your financial statements reflect a true picture of your company. Additionally, a strong audit may also provide suggestions on how your company can improve its internal controls over financial reporting.

Before completing an audit, we will obtain a deep understanding of the industry in which you operate, and the principles and practices used in that industry. We'll assess the risks your company may have when recording financial transactions and then use all of this information to determine the procedures we will use during our audit. The audit itself involves substantiating information provided by management through inspection of your documents and procedures. Upon completion, we will provide an opinion on whether your financial statements are fairly stated in accordance with generally accepted accounting principles.

Reviews

A review is a service where an accountant obtains limited assurance to determine that there are no material modifications that need to be made to your organization's financial statements. A financial institution or outside investor may request a review of your financial information before working with you. 

At ADKF, we prefer to take a personal approach with all of our clients, so we will only recommend the services that we believe are best suited to your company's needs. In some cases, a review might be a better fit for your organization than a financial audit. This may be because your organization does not require the assurance that an audit provides, but rather the limited assurance that bonding companies or debt covenants require. In addition, we perform reviews in accordance with the Statement on Standards for Accounting and Review Services issued by the AICPA's Accounting and Review Services Committee.

Before beginning, we make it a point to carefully understand your industry and how the economic and political environment affects your revenue stream and other aspects of your organization. In doing this, we are able to design expectations for your company and compare them to your actual results. We use highly analytical procedures and inquiry of higher management until we can confidently state that there are no more material modifications that should be made.

Compilations

In some cases, you may just need some help with organizing your finances so that you can better understand your overall debts and assets. A compilation is used to gather and present financial information in a formal financial statement format.

In order to conduct a compilation, a CPA will thoroughly research the industry you work in and the principles and practices used in that industry. They'll also obtain an understanding of how you typically manage your financial information and read your financial statements to determine if there are any obvious departures for generally accepted accounting principles. It is important to note that because we didn't audit or review the information in question, we cannot provide assurance on these financial statements.

DCAA Audits

There's a reason San Antonio is known as Military City USA: it's because of the consistent military presence here for nearly 300 years. As a San Antonio-based business ourselves, we are proud to be involved with various government contractors to review and strengthen their financial processes. This service is required under most Department of Defense (DOD) contracts, but we take great pride in assisting our local community in any and every way that we can.

A DCAA audit requires a thorough understanding of the internal controls over the financial processes used to track expenses for DOD contracts, as well as the controls over the reimbursement requests or invoices sent to the DOD. In some cases, we would carry out a pre-contract audit, which requires an audit of the accounting system policies and procedures currently in place in order to properly invoice the DOD. A post contract engagement, on the other hand, would include selecting a sample of transactions to ensure proper recording, which would be included in the invoice.

Employee Benefit Plan Audits

As your business grows, you'll have the opportunity to provide highly competitive benefits to your employees. This growth in revenue and staff is a blessing, but it doesn't come without additional responsibilities.

Employee benefits such as your 401(k), 403(b), pension, and health and welfare plans may need to be audited. Thankfully, we can help with that!

Employee benefit plans are required to be audited once you reach 100 eligible employees. This is done in compliance with the Department of Labor (DOL) Regulations. As your personal accountants, we'll work with you to determine that your benefit plan is being operated in compliance with the DOL rules and regulations. Auditing an employee benefit plan involves reviewing each plan to determine compliance and gain an understanding of the internal controls over the plan transactions. We'll build on this by selecting a sample of participants to determine their eligibility for the plan, then recalculate the deferrals, test the loans and distribution requests based on the plan document, and recalculate vesting on distributions.

We are a member of the Employee Benefit Plan Audit Quality Center, so you can sleep soundly knowing our firm conducts the highest quality audits available.

Federal/State Single Audits

In addition to financial statement audits, we also conduct Federal and State Single Audits. Not-for-profit organizations may apply for and receive grants from federal and state agencies, however, these grants come with quite the price tag. At some point, your grant expenditures will reach a certain threshold and will be required to be audited for compliance with the grant agreement. Federal and state single audits may be done during a financial statement audit but will require additional work and reports when completed.

In order to conduct a federal or state single audit, we'll start by using Uniform Guidance (200 CFR) and your grant agreement to determine proper spending of grant money. We'll ask whether you spent money on approved costs and activities, or if you held the federal dollars for a reasonable amount of time before spending. We'll make sure you reported your activities as required and that you worked with companies that were not suspended or debarred from dealing with the federal government. It's important for us to ask all of these questions (and more) to determine if there are any potential risks or errors that could occur. Any direct and material errors in spending are included in our report, and we will work with your organization to correct these findings as soon as possible. We'll also include supplementary information in your report, such as a letter discussing internal control and compliance over the grant, a schedule of expenditures and federal or state awards, and a schedule of findings and questioned costs.

ADKF belongs to the AICPA Governmental Audit Quality Center, so you can be assured that we provide you with an efficient and timely audit and remain up to date with any changes to Uniform Guidance and the Compliance Supplement.

Internal Control Review & Evaluations

One of the most important things an organization can do to keep their financial assets safe is by having well designed internal controls. Our team is available to help you evaluate your internal controls to help reduce the risk of fraudulent activity within your organization.

Through in-depth discussions with your management, we are able to obtain an understanding of internal controls and test a sample of transactions to ensure that the controls are in place and working properly. In addition, our team may also make suggestions to help strengthen controls based on the number of employees available. This process will help distribute responsibilities throughout your organization so that there are effective checks and balances within your business.

Not-For-Profit Audits

Our not-for-profit clients are important to us because of the services they provide and the positive impact they have on our community. As a not-for-profit organization, you provide additional benefits and care to the community you live and work in, and the operations of your organization cannot be maintained without donations and grants. Unfortunately, these donations and grants don't come without a financial statement audit.

A not-for-profit audit is conducted similarly to a financial statement audit. We start your financial statement audit by obtaining an understanding of the controls relevant to your financial reporting. We'll assess risk and from the risk assessed, we'll develop procedures. Developing procedures includes testing a sample of transactions and analyzing the relationships between the financial statement numbers and any events that occurred during the year, as well as inquiries of management.

We make it a point to work one-on-one with our not-for-profit clients to understand their organization from top to bottom and guide them through the financial statement process. Additionally, we stay up to date on changes to the financial statement standards and are members of the AICPA Not-For-Profit Section. We encourage our clients to use us as a resource for all of their financial, tax, and governance needs to help them maintain transparency and accuracy within the community.

We help companies and individuals build strong financial foundations capable of withstanding whatever life brings their way.

Growth comes from a deep understanding of your financial standing. We can assist you with that!

Industries We Serve

Because of our highly personalized approach, we've come to learn a lot about our clients industries. This extensive and ever-growing knowledge allows us to provide a strong and stable foundation for our clients and move forward with confidence knowing that we're helping them make the most ideal decisions based on their industry. Below are just some of the industries we've served. Please don't hesitate to contact us if you would like to know more about the industries we've worked with.

Manufacturing
Construction & Real Estate
Restaurant & Entertainment
Retail & Wholesale
Non-Profit
Auto Dealership
Farm & Ranch
Oil & Gas
Health Care
210-829-1300