First-Year Audit Preparation Strategy

First-Year Audit Preparation StrategyFinancial Reporting that is audit-ready. Working with you to clean up historical issues and prepare an audit-ready strategy.

Service Overview

What Makes a First-Year Audit Different Your finance team might not have audit experience. The auditor has limited understanding of your accounting systems and financial reporting. A change in auditor may also mean a change in audit approach. Many companies dive straight into the audit without a strategy, resulting in delayed schedules or worse, disagreements about accounting policy applications.

Why It Matters Now

As most jurisdictions require you to rotate auditors every few years, changing auditors comes as no surprise to your finance team. Therefore, proactively identifying audit risks and efficiently addressing the new auditor’s requirements are key factors in maintaining a clean audit opinion.

Our Principles

Operating Principles

Audit Preparation Operating Principles It is more than just gathering of materials - we review your past audits, analyse the company’s accounting systems and deep dive into its financial reporting framework. Pre-audit, we flag any potential accounting risks and recommend changes and adjustments before audit starts. Upon the new auditor’s appointment, we participate in your kick-off meetings, understand their audit approach and key audit risk areas. During the audit, we help review key documentation for key audit risk areas. And support smooth communication between the company and the auditor.

Key Services

Who This Service Is For

Companies facing a first-year audit due to an auditor change
Companies seeking to build a smooth relationship with the new auditor and conduct the audit efficiently
Companies wishing to review potential risks in the first-year audit in advance
Companies needing advance review of the appropriateness of prior financial statements and accounting treatment

Services Provided

Establishment of an overall strategy for first-year audit preparation
Advance review of the appropriateness of prior financial statements and accounting treatment (Gap Analysis)
Identification of key accounting issues and potential audit risk factors and preparation of responses
Inspection of the internal-control system and improvement recommendations
Anticipating auditor questions and supporting preparation of response materials
Analysis of the audit information request list and guidance on preparing materials
Development and support of a communication strategy with the auditor
Support and review of audit-report footnote preparation

We approach the entire audit cycle from an integrated perspective and work with you to build a financial reporting framework your stakeholders trust.