Engagement
Statutory Financial Statement Audit
An independent audit of annual financial statements for Japanese companies that need assurance for owners, lenders, or group reporting.
Who this is for
Mid-size operating companies, family-owned groups, and Japanese subsidiaries preparing statutory accounts under Japanese GAAP or group reporting packs that must stand up to lender and shareholder scrutiny.
Result you receive
A completed audit file with tested balances, evaluated controls over financial reporting where relevant, and an independent auditor’s report on the financial statements — plus a management letter that ranks findings by severity.
Scope
Included
- Engagement letter defining materiality approach and reporting timeline
- Risk assessment, substantive testing of material balances, and sample-based vouching
- Cut-off and subsequent-events procedures around the reporting date
- Draft findings discussion with finance before the final report
- Signed auditor’s report and management letter
Outside this engagement
- Bookkeeping or year-end closing services
- Tax return preparation or tax controversy representation
- Forensic investigation beyond scope agreed in the engagement letter
- Restatement of prior periods unless separately commissioned
How we work
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1
Scoping and engagement letter
We review your trial balance, chart of accounts, and prior-year adjustments, then confirm materiality bands, timelines, and access to ledgers.
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2
Planning and risk assessment
We identify significant accounts, walk through revenue and purchase cycles, and set sampling plans for inventory, receivables, and payables.
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3
Fieldwork
Our team tests selected balances, inspects supporting invoices and bank confirmations, and documents exceptions in working papers.
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4
Reporting
We clear open items with your finance lead, issue the auditor’s report, and deliver a management letter with practical remediation notes.
Before kickoff, please prepare the trial balance, fixed-asset register, bank reconciliations, inventory count sheets, and a schedule of related-party balances.
Constraints: We cannot begin report issuance until open confirming balances and unresolved cut-off queries are cleared. Peak season (February–May) may extend calendar slots by one to two weeks.
Ready to define the engagement letter?
Share your year-end date and a recent trial balance excerpt so we can estimate fieldwork days and fee.
Request a scoping call