When is an audit necessary?
Why you need an Audit
Proven information about past
Company owners, shareholders, top managers, business colleagues, potential investors, government agencies, public communities and other interested parties need clear and fully proven information about the company's past activities and current financial position in order to assess its tax and legal risks.
3-rd party review
Audit can provide this type of information through an independent third-party review based on international and local accounting, auditing, and legal standards.
Period and Scope
An audit covers a specific period, has a specific scope, and is carried out through a series of operations by our experienced team.
What standards are used?
According to
International and Local
Our company performs financial audits based on international and local standards.
International Standards on Auditing (ISA)
International Standards on Auditing (ISAs) are professional standards for conducting financial audits of financial information. These standards are issued by the International Federation of Accountants (IFAC) through the International Auditing and Assurance Standards Board (IAASB).
Chamber of Auditors
The application of local standards based on international standards (ISA) is carried out by the Chamber of Auditors of the Republic of Azerbaijan.
Stages of a Financial Audit
How we conduct an audit
01
Audit scope
The scope of the audit includes aspects such as legal requirements, business characteristics, data reliability, proper communication, evaluation, testing, comparison, and decision-making.
02
Planning and Risk Assessment
Audit risks and their environment, including the legal environment, are an important part of the audit planning phase.
03
Customer understanding
Understanding the sector, the organization's structure and processes will help to properly prepare the audit.
04
Audit evidence
During the audit execution phase, evidence and facts will be collected to form the audit opinion.
05
Opinions and Reports
The final stage of the audit would clearly reflect the client's financial situation.
Is financial audit mandatory in Azerbaijan?
Yes, according to Article 91.4 of the Law of the Republic of Azerbaijan on the Audit Service, “A limited liability company must annually engage an independent auditor to verify the accuracy of its annual financial report (external audit). An audit of the company's annual financial report may also be conducted at the request of any participant. In this case, the audit is conducted at the expense of the participant who requested the audit. The procedure for conducting audit audits of the company's activities is determined by legislation and the company's charter. 91.5. Except for cases provided for by legislation, the company is not required to publish information (public reporting) on the results of the company's activities.”
- Based on Article 464 of the Law of the Republic of Azerbaijan on the Audit Service, “Eviction from mandatory audit For evasion from mandatory audit to be carried out in cases stipulated by the Law of the Republic of Azerbaijan “On the Audit Service”, officials shall be fined in the amount of three hundred to six hundred manats, and legal entities in the amount of one thousand five hundred to two thousand five hundred manats.”
Frequently asked questions
Here are some common questions about Audit services
In accordance with International Standard on Auditing (ISA)
In accordance with the relevant decision of the Council of the Chamber of Auditors of the Republic of Azerbaijan, based on the contract agreed with the client.
Yes, we provide
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