How should a nonprofit prepare for an audit?

Start by scheduling a pre-audit meeting, gathering PBC documents, reconciling accounts, organizing digital folders, and reviewing internal controls and policies. Cook CPA Group provides a 5-step checklist to guide you through the process.

What are PBC documents in a nonprofit audit?

PBC (Prepared by Client) documents are records the auditor will request, including trial balances, bank reconciliations, donor reports, grant agreements, and board minutes. Having these ready speeds up the audit.

How do I organize files for a nonprofit audit?

Use a digital folder system such as /Audit 2025/ with subfolders for Financials, Governance, Grants, and Supporting Docs. Clearly label everything for easy access by the auditor.

Why are internal controls important for nonprofit audits?

Auditors will test your internal controls to ensure proper financial oversight. Having documented and consistently followed procedures helps build trust and avoid audit findings.

Who can help with nonprofit audit preparation?

Cook CPA Group specializes in nonprofit audit readiness, including internal control reviews and year-end financial preparation. Contact us for a consult.

Brian Sotomayor, MAcc, Director of Finance

Strengthening our internal systems so our team can deliver its best work.

Brian brings a calm, steady financial leadership presence to Cook CPA Group. He supports the firm behind the scenes by strengthening our financial systems, reporting, and internal processes — giving our team the clarity and structure needed to serve clients at the highest level.

With experience across many industries and deep systems expertise, Brian helps reinforce the financial backbone of our firm so we can stay focused on what matters most: delivering excellent service and strategic guidance to our clients.

Brian Sotomayor, MAcc, Director of Finance

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