KPMG has put together an excellent tip sheet on audit preparation for not-for-profit organizations.
The tips can be found in brief below, but visit the full tip sheet at KPMG’s website to view each “to do” item in detail.
KPMG’s Ten To-Do’s for Audit Committees of Not-for-Profit Organizations
- Stay focused on the audit committee’s top priority: financial reporting and related internal control risk.
- Stay on top of the first year audited financial statements applying the accounting framework.
- Continue to monitor accounting judgments and estimates, and prepare for accounting changes.
- Consider whether the audit committee has the right mix of talent.
- Consider whether the financial statements and disclosures tell the organization’s story.
- Focus risk governance efforts on reviewing reputational risk identification and management efforts.
- Consider updating policies. In almost all processes, IT developments are leading to rapid increases in electronic transactions.
- Understand how technology change and innovation are transforming the business landscape – and impacting the organization.
- Focus on the organization’s plans to grow and innovate.
- Reassess the organization’s vulnerability to business interruption, and its crisis readiness