The first purpose of the statutory audit is to certify the financial statements as required by law. The auditor verifies the correctness and truthfulness of the financial statements according to the Italian Accounting Standards (OIC) and legal norms. Our audit work is carried out in accordance with the International Standards on Auditing (ISA), translated and adapted for Italy pursuant to art. 11 of D.Lgs. 39/2010 (“ISA Italia”).
Banks and stakeholders, as well as the companies themselves, trust the auditor to provide an independent and objective opinion on the audited financial statements. This is based that the auditor is an independent third party and thus free from any connection with the company being audited. In this context, the legislator has created regulations according to which an auditor is excluded from the audit if there are doubts about his independence.
During the audit of your company, opportunities and risks are revealed, monitoring systems are optimised and internal operating processes are improved. To keep disruptions to your company’s workflows to a minimum, we plan the audit in close consultation with all responsible parties.
Not all Italian corporations are necessarily subject to statutory audit. In fact, only the company that meets the following criteria, is subject to statutory audit.
If at least one of the following thresholds is exceeded in two consecutive financial years, your company is obliged to appoint a supervisory body or an auditor.
The shareholders’ meeting appoints an auditor for a period of three financial years and determines his annual fee during the period. After expiry of the mandate, the shareholders has the option to appoint the same auditor for a further three years.
As required by ISA Italia, the audit of the financial statements is performed based on random sampling of the supporting documents and information included in the financial statements. Due to the sample selection in the audit execution, there is an unavoidable risk that possible fraudulent acts, errors, and irregularities remain undetected. Any fraudulent acts, errors and irregularities detected are promptly reported to the management body. The audit also includes evaluating the appropriateness and accuracy of accounting policies used and the reasonableness of accounting estimates made by the Board of Directors, as well as evaluating the overall presentation of the financial statements.
The audit opinion is issued in accordance with the International Standards on Auditing (ISA Italia) on statutory audits upon completion of the audit of the annual accounts. If we deem it necessary, a letter is also issued to the management body (so-called management letter) containing our comments and instructions on the aspects of the internal control system and on the application of the accounting procedures that have been pointed out to us and for which we recommend further improvements and changes.
Voluntary annual audit
Although voluntary audits are not prescribed by law, they can contribute to the continuous success of your company. The information needs of external recipients of annual financial statements have changed significantly during the recent years. The assessment of the accuracy of the accounting by an auditor can be of great value, especially when discussing financing requests with banks.
To meet the requirements for corporate reporting, which have increased in recent years and continue to do so, we offer you the option of a complete audit of the annual financial statements or merely a review of the most important figures in accordance with the specifications of your company management or your group auditor.
We tailor our voluntary audit to your individual needs. In this context, we offer our clients the following services:
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