Overcoming Audit Challenges: How One Nonprofit Caught Up on Three Years of Financials and Came Out Stronger
If you’re a nonprofit struggling to keep up with audits, you’re not alone. Many organizations, especially those serving our most vulnerable communities, face the same challenges. COVID-19 changed the game, impacting staffing, increasing workloads, and making it harder than ever to keep up with financial reporting and compliance. But here’s the good news: With the right support, you can overcome these obstacles and come out stronger on the other side.
The Struggles Behind the Mission
We recently worked with a nonprofit dedicated to serving elderly individuals facing financial challenges—a mission close to our hearts. They provide essential care services, helping seniors live with dignity and security. But behind their inspiring work was a financial challenge that kept them up at night: they were three years behind on their audits.
How did they get there? The pandemic took a toll on their finance department, leading to staff shortages and process disruptions. At the same time, they were knee-deep in a large construction project to expand their services. It felt like they were constantly playing catch-up, and compliance deadlines were looming.
To make matters even more complex, they needed a single audit to comply with federal funding requirements, and their nonprofit status was under review by the Attorney General. With tight deadlines and sensitive health related data in the mix, they needed help—fast.
They’re Not Alone—And Neither Are You
This story is more common than you might think. Nonprofits across the country are facing similar challenges, juggling mission-driven work with complex financial requirements. It’s easy to feel overwhelmed when you’re trying to balance it all, but you don’t have to do it alone.
At BryMar, we’ve seen firsthand how these challenges can pile up. But we’ve also seen the incredible transformation that can happen when nonprofits get the support they need. That’s why we’re here—to help you catch up, comply, and move forward with confidence.
Our Approach: More Than Just Numbers
When this nonprofit came to us, we knew we had to do more than just crunch numbers. We needed to understand their mission, their challenges, and their vision for the future. That’s why we started by listening. We sat down with their team, learned about their unique programs, and mapped out a plan to get them back on track.
Here’s how we did it:
Comprehensive Audit Services: We conducted three consecutive annual audits in a 12-month period, bringing them up to date and ensuring compliance with government regulations.
Single Audit Expertise: We navigated the complexities of their federal funding requirements, protecting their nonprofit status.
990 Preparation and Amendments: We handled all tax filings, including amending past filings, to maintain their compliance.
Detailed Process Improvements: Along the way, we provided actionable recommendations to improve their financial processes, helping them become more audit-ready for the future.
How We Made It Work: Communication, Milestones, and Adaptability
Our success wasn’t just about the numbers; it was about how we worked together. Here’s how we did it:
Maintain Open and Honest Communication From day one, we established transparent communication channels, ensuring all stakeholders remained informed and aligned throughout the engagement. We maintained frequent check-ins, provided regular updates, and were always available to answer questions. This approach-built trust and kept the project on track, even when challenges arose.
Set Milestones and Timeline Management Tackling three years of audits could have been overwhelming, but we broke down the complex tasks into smaller, manageable milestones. By setting clear timeline milestones and celebrating each achievement along the way, we maintained momentum and ensured timely completion. This strategic approach kept everyone motivated and focused on the end goal.
Adapt to Client Dynamics We knew that flexibility and adaptability were crucial. Due to high staff turnover on the client’s side, there were frequent changes in key personnel, making it difficult to track down individuals who could answer questions about past financial transactions and processes. Our team stayed agile, tailoring our approach to meet the client’s unique needs and ensuring accuracy every step of the way.
Turning Challenges into Opportunities
This wasn’t just about getting the numbers right—it was about helping them grow stronger. We faced challenges along the way, including frequent client staff turnover, complex financial structures, and tight external deadlines. But we didn’t back down. We rolled up our sleeves, maintained open and honest communication, and worked side by side with their team.
We were inspired by their commitment. The CEO led the charge, ensuring accountability and motivating the entire team to stay focused and engaged. From leadership to front-line staff, everyone was all hands on deck. Their CFO played a pivotal role in organizing tasks and coordinating efforts, creating a seamless workflow that kept the project moving forward.
The Outcome: Stronger, More Resilient, and Ready for the Future
By the end of the engagement, this nonprofit was back on track—compliant, caught up on three years of financials, and ready for the future. But the impact went beyond numbers and deadlines:
Regained Compliance and Confidence: They met all regulatory requirements and maintained their nonprofit status with the Attorney General.
Improved Financial Processes: Our recommendations led to more efficient financial reporting and a stronger foundation for future audits.
Renewed Focus on Their Mission: With their financials in order, they could return their focus to what mattered most—serving their community.
Stronger Procedures for Managing the Construction Project: We helped the client develop clear procedures for tracking construction costs, ensuring compliance with funding requirements, and improving budget oversight for both current and future projects.
You’re Not in This Alone—We’re Here to Help
If you’re feeling overwhelmed by financial reporting or struggling to keep up with audits, we want you to know: You’re not alone. Just like this nonprofit, you can get back on track, no matter how far behind you feel. At BryMar, we’re not just auditors—we’re partners who care about your mission and want to see you succeed.
We understand the challenges you’re facing because we’ve helped others overcome them. Whether you need back-to-back audits, help with compliance, or guidance on improving your financial processes, we have the expertise to get you through.
Don’t let financial challenges hold you back from making an impact. Let’s face them together—and come out stronger on the other side.
Contact us today and let’s start the conversation.
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