Working as a contractor for the federal government can give you access to large, profitable projects. However, a key component of government contracting is ensuring that your business and its processes are Defense Contract Audit Agency (DCAA) compliant. Learn what it means to be DCAA compliant.
Cost Account Standards (CAS) and Federal Acquisition Regulation (FAR)
In simple terms, being DCAA compliant means that your business can comply with a DCAA audit. This audit checks if your business is compliant with government regulations such as Cost Account Standards (CAS) and Federal Acquisition Regulation (FAR). Thus, to be DCAA compliant, your business must be transparent in its financial management. It must clearly state how the contract money is used and the results that emerged.
DCAA-approved accounting software
An important aspect to remember is that the DCAA does not provide certification or accreditation to any accounting systems. While these systems may help your business be compliant with DCAA audits, they are not formally recognized by the DCAA.
Types of DCAA audits
There is no one type of DCAA audit. Instead, they perform a variety of checks including forward pricing, incurred cost, Contract Purchase Systems Review (CPSR) etc.
How to be DCAA compliant
Accounting experts from George Scarborough can help you with audit support and ICE submission support, while ensuring your employees perform their basic bookkeeping tasks efficiently. We also offer you the option to outsource the entire DCAA compliance process to us.
Georgen Scarborough has years of experience working with various government contractors from start-ups to large businesses. We want to help you with your accounting needs and ensure you are not faltering in the DCAA compliance process. Contact us today.