Currently, many companies in Ukraine not only reports under the national standards, but they also begin implementing IFRS management accounting systems. The IFRS statements are made for a company’s shareholders and for attaining higher business transparency and more confidence among market players such as private and institutional investors, banks and financial institutions.

IFRS statements can usually list much more entries when compared to the Ukrainian National Accounting Standards. Very few companies can properly prepare IFRS statements in Ukraine for a certain lack of experts on IFRS reporting, and this is an additional reason why regular financial audits are necessary.

Our approach to auditing IFRS financial statements complies with International Standards on Auditing (ISA) in terms of quality, procedures, responsibilities, audit planning and cooperation with a client’s managers and shareholders. Our clients are confident in our audit statements, because we conduct an ISA audit of a client company’s accounting software, analyze internal control procedures, collect and analyze audit evidences, document audit findings and make conclusions and take additional steps on preparing financial information and reviews. Our specialists are ACCA certified and experienced in IFRS audits of companies in many industries.

IFRS audit procedure provides for testing audit evidences such as follows:

• - Analyzing accounting principles that a company uses;
• - Validating financial performance that a client’s staff members estimated;
• - Checking how a company’s financial performance indices are shown in IFRS statements;
• - Analyzing how important are the criteria that a company's managers use in their assessments, so that to make sure how accurate the statements are in general.

Analyzing a whole procedure of how international corporate or consolidate statements are prepared and checking its compliance to IFRS are among our major goals, because the procedure itself can often cause methodological mistakes that distort financial performance in balance sheets, income statements and other IFRS reporting forms. The first question we always raise is whether our client keeps records under both IFRS and Ukrainian National Accounting Standards or its IFRS statements are simply compiled from the financial performance indices. The answer is very important for choosing an approach we will apply.

To ensure accuracy of financial statements, we check a company's entire performance, including assets, liabilities, equity, gains and losses over the reporting period. Based on our findings, we prepare IFRS statements such as balance sheets, income statements, cash flow statements and statements of changes in equity, etc.

Every industry uses its own internationally accepted reporting norms. The information in certain statements can be partially or completely overlap, because the shown figures are based on accounting data.

When ensuring accuracy of all balance sheet entries, we analyze how accurately assets (fixed and floating) and liabilities (capital and reserves, long-term and short-term) are displayed in financial documents.

Ensuring accuracy of all income statement entries is one more important step in providing our IFRS audit services. The income statement is actually a main report that shows a company’s financial performance over a specified reporting period. To understand how accurately the financial performance is displayed we use the concept of comprehensive income that displays all gain and loss items, including those related to non-owner transactions.

The cash flow statement details are a basis for understanding how accurately the income statement is created. The cash flow statement has three cash flow sections: operating activities, investing activities and financing activities.

A company’s financial performance cannot be clearly tracked without a statement of changes in equity. When we ensure accuracy of the statement, we consider monetary transactions related to owners or shareholders, such as capital infusions, dividend payments or equity redistribution.

When we provide our IFRS audit services, not only we ensure accuracy of the above statements but also make notes to the statements we verify. Our notes are very important; they help financial managers, prospect investors, bank loan committees or any other financial data users understand the company’s financial situation and make a true decision. Unfortunately, some companies fill in the forms automatically, and their own notes give poor analysis of financial performance, but we really can help. We strive to make sure our clients provide IFRS statements that are clearly understandable to their recipients.

Our auditing process results in an audit conclusion that reviews our client’s statements in accordance with IFRS and shows if there are any inaccuracies in the financial statements. Our conclusion may be positive, conditionally positive or negative depending on the inaccuracies we find. Also, we are always ready to provide a client with our expert advice on IFRS reporting. Our audit services can really help you identify business risks, bottlenecks and problems and take early measures to tackle them.

Our pricing policy for IFRS audit services is based on the following:

• - Industry a company operates in;
• - Corporate ownership structure and legal group structure (major shareholders, equity participation in other companies, both Ukrainian and foreign), affiliates and representative offices, how corporate entities prepare and consolidate their financial reports, etc.
• - Accounting principles, reporting forms, accounting software and ERP systems, accounting department staff members and their cooperation;
• - Users and goals the statements are made for;
• - Equity, property, assets and liabilities, suppliers and buyers, debtors and creditors, gains and losses for a specified period, inventory, number of employees, and other business performance indicators.

In addition to IFRS audit services, we offer a wide range of workshops and trainings on IFRS reporting. We provide our trainings in Ukrainian or Russian as agreed with our clients and always explain in details how to use the English terms. We can hold the trainings at our own facilities or at a client's location, which depends on the number of trainees and on our client’s location or individual needs.

Also, we offer services on developing an individual methodology for transforming and using IFRS statements. This methodological framework provides our client company’s accounting and financial departments with operating rules and instructions.

The Golden Share Center's IT department can develop specific software add-ons for our client companies so that they can generate their IFRS statements automatically.

Using our audit services is the key to ensuring accuracy of your IFRS financial statements!