The Life of a Client from Birth
to Death
Presented by:
Bill Parrish
(oneplusone)3
Those Pesky Disclaimers
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This Information is copyright protected by (oneplusone)3 and
may not be reproduced or otherwise distributed without the
written consent of (oneplusone)3
This presentation is for informational purposes only and should
only be implemented by a practitioner after appropriate due
diligence has been performed
Not all of the concepts and strategies proposed in this
presentation may be appropriate for all practices. Careful study
must be undertaken by anyone considering the implementation
of these concepts and special attention should be given to
individual state laws governing the practice of professionals.
PURPOSE
Whatever type of engagement you
have, from the preparation of a tax
return to the preparation of financial
statements, can be enhanced through
proper planning, administration and
control.
REQUIREMENTS TO ACCEPT A
NEW CLIENT
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ADEQUATE KNOWLEDGE OF THE
CLIENT
ADEQUATE KNOWLEDGE OF THE
CLIENT’S INDUSTRY
ADEQAUTE KNOWLEDGE OF THE
ACCOUNTING PRINCIPLES FOR THE
INDUSTRY
KNOWLEDGE OF CLIENT
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ORGANIZATION
BUSINESS OPERATIONS
NATURE OF ASSETS, LIAB. AND EQUITY
NATURE OF REVENUE AND EXPENSE
REPUTATION OF CLIENT
READ PREVIOUS FINANCIAL STATEMENTS
EXAMINE COMPLIANCE
KNOWLEDGE OF INDUSTRY
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UNIQUE ACCOUNTING PRINCIPLES
UNIQUE TAX PRINCIPLES
UNIQUE FORM AND CONTENT OF
FINANCIAL STATEMENTS FOR THE
INDUSTRY
POTENTIAL LEGAL
LIABILITIES
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USE AN ENGAGEMENT LETTER
USE APPROPRIATE TRANSMITTAL LETTER
OBTAIN A REPRESENTATION LETTER
MAINTAIN INTERNAL QUALITY CONTROL
DOCUMENT COMPLIANCE TO STANDARD
AVOID VERBAL REPRESENTATIONS
EFFECTS OF INDEPENDENCE
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RESEARCH YOUR INDEPENDENCE
DOCUMENT YOUR RESEARCH
DISCLOSE ANY LACK OF
INDEPENDENCE
THE ENGAGEMENT LETTER
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BILATERAL CONTRACT
DATED
IDENTIFY EACH PARTY (MAY BE MORE THAN
2)
IDENTIFY SERVICES TO BE RENDERED
IDENTIFY SERVICES NOT TO BE RENDERED
ANTICIPATED TRANSMITTAL LETTER
FEES
TRANSMITTAL LETTER
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DATED
IDENTIFY CLIENT
IDENTIFY STATEMENTS
IDENTIFY PERIOD
IDENTIFY STANDARD
IDENTIFY LEVEL OF SERVICE
IDENTIFY PREPARER
IDENTIFY LEVEL OF DISCLOSURE
DISCLOSE ANY LACK OF INDEPENDENCE
GOING CONCERN
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WHEN SHOULD THE ACCOUNTANT
HAVE CONCERNS ABOUT THE ABILITY
OF THE CLIENT TO CONTINUE IN
OPERATION?
WHEN IS THE ACCOUNTANT REQUIRED
TO STATE THEIR CONCERNS AND
HOW?
REISSUANCE OF REPORTS
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WHEN IS THE ACCOUNTANT REQUIRED
TO REISSUE REPORTS?
WHO SHOULD RECEIVE THE
CORRECTED REPORTS?
WHAT SHOULD BE DONE WITH THE
INCORRECT REPORTS?
WHEN DO WE FIRE A
CLIENT?
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CONTINUOUS ERRORS IN SOURCE
DOCUMENTS
CONTINUED LATENESS IN PROVIDING
CURRENT DATA
LACK OF COMMITMENT TO ACCURACY
REQUESTS TO MISLEAD USERS
ATTEMPTS TO MISLEAD OTHERS
DEMONSTRATES INTENT TO CONCEAL
FACTS
FRAUD
OUR REPUTATION
CAN ONLY BE AS
GOOD AS THE
REPUTATION OF
OUR CLIENTS
For Information
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About ConnectEd:
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Jodi Goldberg, Director of Member Services
National Society of Accountants
800-966-6679 Ext 1304
jgoldberg@nsacct.org
About the Presentation
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Bill Parrish, Founder & CEO
(oneplusone)3
800-867-0065 Ext 1013
billparrish@oneplusone3.com
www.oneplusone3.com
Evaluation & CPE
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An email is being sent to you with the
link for the evaluation survey to qualify
for CPE