Audit Baku, Azerbaijan

When you need financial audit?

• Owner, shareholders, Top Managers, business partners, potential investors, state authorities, public communities and other stakeholders needs clear and proven information about the past activities and current financial situation of any company in respect of evaluation tax and legal risks in time.

• Audit can provide such information with 3-rd party independent view based on international and local accounting, audit and legal standards and requirements.

• Audit cover certain period, has dedicated scope and maintained by cycle of consistent actions, performed by our experienced staff

  • According the law of the  Azerbaijan Republic on the “Audit services” “Audit service shall be responsible for carrying out on a contractual basis, verifications, expert appraisals, the analysis of the financial and economic operations of business entities, submitting its conclusions in writing, ensuring the sound organization of bookkeeping operations, confirming accuracy of data presented in returns and performing other services connected with financial and economic activities implicit in the professional functions of the auditor (statutory functions of audit organization).”

• Our company perform financial audit according international and local standards.

• International Standards on Auditing (ISA) are professional standards for the performance of financial audit of financial information. These standards are issued by International Federation of Accountants (IFAC) through the International Auditing and Assurance Standards Board (IAASB).

• Application of local standards based on International Standards on Auditing (ISA) provided by  Chamber of Auditors of Azerbaijan Republic.

Is Financial Audit mandatory in Azerbaijan?

• Yes, According the law of the  Azerbaijan Republic on the “Audit services” and article 91.4 of Civil Code of Azerbaijan Republic Limited Liability Company each year must invite independent auditor (3-rd party audit) to check correctness of the annual financial statements. Annual audit of financial statements also could be carry out by demand of any shareholder of company. In this case audit should be covered by that requested shareholder. The regulation of company activities’ audit is determined by legislation and company’s charter. According article 91.5 of the Civil Code of Azerbaijan Republic Companies, with the exception of some cases, companies do not required to publish (open report) information about results of the work done.

  • According article 464 of the of the Civil Code of Azerbaijan Republic for avoidance from mandatory audit cases required to bring to life by the law of the  Azerbaijan Republic on the “Audit services” there are fines are provided to officials from three hundred to six hundred manat and to legal entities from one thousand fifty manat to two thousand five hundred manat.

Financial Audit stages - How we provide the Audit:

• Scope of Audit

  • Scope of an audit has some aspects such as Legal Requirements, Entity features, Reliable Information, Proper Communication, Evaluation, Test, Comparison and Judgments.

• Planning and Risk assessment

  • Accessing audit risks and its environment including legal environment is important part of audit planning stage.

• Understanding of the Client

  • Understanding of sector, Organizational structure and process will help prepare audit properly

• Audit Evidence

  • Execution phase of audit will collect evidence and facts to establish audit opinion

• Review and Reporting

  • Final stage of audit will bring clear picture of financial situation of client