Prepare for Your Nonprofit Audit Without the Last-Minute Scramble

As an Executive Director, you’ve got a million things on your plate, from overseeing programs to managing staff to keeping donors engaged. When it comes time for your nonprofit audit, the last thing you want is a mad dash to get everything in order. No one enjoys the stress of scrambling to find missing documents, sorting through financial records, or wishing you had started prepping weeks (or months) earlier. But don’t worry—we’ve got your back! Here’s your ultimate guide to preparing for your audit well ahead of time, keeping things smooth and stress-free. 

Step-by-Step Checklist for Nonprofit Audit Preparation 

Step 1: Start Early, Stay Cool 

You’ve heard it before, but we’ll say it again: timing is everything. Giving yourself plenty of time to prepare for your nonprofit audit will make a huge difference. Aim to start your prep a few months before your scheduled audit date. This way, you’ll have time to address any issues that pop up, rather than scrambling at the last minute. And hey, starting early will give you some peace of mind too! 

Step 2: Review Your Financial Records 

Now it’s time to roll up your sleeves and dig into those financial records. Take a close look at your statement of activities, statement of financial position, and cash flow statements. Make sure everything is up-to-date and accurate. Check for any discrepancies and resolve them before your auditors come knocking. If you don’t already have a system in place for tracking finances (QuickBooks, anyone?), now is the time to start. Clean, organized records make life easier for both you and your auditors. 

Step 3: Organize Documentation 

Next up, organize all the documentation your auditors will need. Think about contracts, board meeting minutes, grant agreements, and other important documents. Make sure everything is readily accessible and properly filed. The last thing you want is to spend hours searching for that one elusive contract you swear you filed in the right folder. A little upfront organization now will save you hours later. 

Step 4: Double-Check Your Internal Processes 

You know the saying, “An ounce of prevention is worth a pound of cure”? The same applies here. Before your audit, review your internal processes, especially around financial controls, budgeting, and reporting. Do your policies and procedures align with best practices? Are there any gaps that need addressing? If there’s anything that could raise a red flag, now’s the time to fix it. A smooth audit starts with strong internal processes. 

Step 5: Communicate with Your Team 

Your audit isn’t just your responsibility—it involves the whole team. Make sure everyone understands what they need to do and what information is required. Hold a meeting to go over expectations and timelines so there are no surprises. Keeping everyone on the same page will help avoid confusion and make the audit process go much more smoothly. 

Step 6: Stay Calm and Confident 

It’s natural to feel a little nervous before your audit but remember—you’ve got this. When you prepare well in advance, you’ll walk into your audit feeling confident and in control. And when you do, your auditors will take notice, too. Professionalism and preparedness go a long way! 

Step 7: Stick to Timelines (You’ll Thank Yourself Later) 

This might sound like a no-brainer, but it is worth mentioning timeliness is key to a smooth audit process. Auditors appreciate clients who stay on top of deadlines and deliver all necessary documentation on time. That’s why at BryMar, we emphasize our core value of sticking to timelines. When we collaborate with clients who value timeliness as much as we do, the audit process runs like a well-oiled machine. And that’s a win for everyone! 

👉 Read This Next: Common Questions from Nonprofits and Private Foundations About Financial Statement Audits

Ready to Keep Your Audit Stress-Free? 

At BryMar, we specialize in helping nonprofits like yours breeze through audits with confidence and ease. Our clients know the value of staying on top of their financials and meeting deadlines, and we make sure they’re supported every step of the way. If you’re ready to experience a smooth audit that doesn’t leave you scrambling at the last minute, let’s chat! We’d love to help you stick to those timelines and set your nonprofit up for success. 

Contact us today and let’s get your nonprofit audit-ready!