About Our Company
Our dedicated audit team aim to provide quality assurance services to our clients to ensure compliance and reporting requirements are satisfied.
Our client base includes Trusts, Societies, Clubs, Churches, Pre-schools, and charitable Private Training Establishments. We pride ourselves on having a sound understanding of the Ministry of Education, and the Ministry of Health funding and other relevant government agencies requirements. We also we are very familiar with church donations and ministry, along with club accounting.
We are also developing our expertise in conducting audits of family – owned enterprises, foreign controlled entities and proprietary entities.
An audit must be done according to the “International Audit Standards of NZ” issued by the External Reporting Board, (XRB). An audit gains a higher level of assurance that the financial reporting is materially correct.
The XRB has also issued standards for reviews in their ISRE NZ 2400 Review of Historical Financial Statements Performed by an Assurance Practitioner.
What level of assurances on financial statements are we legally required to undertake according to FRA 2015?
In common, a review and an audit must ascertain
1. The financial report has been prepared according to the stated accounting policies.
2. Those charged with governance have undertaken prudent financial management.
3. There is a system of accounting, with appropriate accounting controls.
When deciding between an AUDIT or REVIEW it is important to consider –
1. What does our constitution / deed, or membership require?
2. What do our major funders, government or non-government, require?
3. What is the extent of separation between the governance, and the management, of an organization, that gives minimal or no ability for the majority of the governance members, to have an “internal” audit role, in verifying the financial reporting, they are relying on. The point being that the greater the separation of financial verification, from the governing members, then the greater value in an audit, compared to a review. If most of the governance are involved in the financial transaction authorizing and processing, then a review maybe more relevant.
The option of a cycle of audit one year review the next is a valid consideration, if permitted by the constitution, funders, or the statutes for which the organization must operate under. If your constitution / deed says “audit”, and there are no external requirements for an audit, then legal representation should be obtained on the process required to change the organizations constitution or deed.