Engagement

Statutory financial statement audit

An independent examination of your annual financial statements, culminating in a signed audit opinion tailored to Japanese company reporting and group pack needs.

Request an engagement letter

Who this is for

Mid-sized Japanese companies, foreign-owned subsidiaries, and regional groups that need an independent audit opinion for statutory filings, bank covenants, or parent-company consolidation.

What is included

Planning meeting covering year-end close calendar, significant estimates, and related parties
Risk assessment and sampling of revenue, inventory, payables, and cash
Physical inventory observation at agreed sites in Japan
External confirmations for banks and selected receivables
Management letter on control observations found during fieldwork
Draft and final audit opinion with bilingual executive summary when requested

What is outside scope

Bookkeeping or preparation of the financial statements themselves
Tax return preparation or tax controversy representation
Continuous monitoring of accounting systems between audits
Legal opinions on contracts or regulatory licences

How the work proceeds

1

Accept and plan

We assess independence, agree the reporting framework, and issue the engagement letter. Planning includes a walkthrough of your close process and selection of sites for inventory observation.
2

Interim and year-end fieldwork

Teams test transactions, attend stock counts, and clear open queries with your controllers. Significant judgements are discussed with management before drafts circulate.
3

Conclude and report

We review subsequent events, obtain written representations, and issue the opinion. A closing meeting walks directors through findings without jargon.

Duration

Typically eight to fourteen weeks from planning kick-off to signed opinion, depending on entity size and number of locations.

Delivery

On-site fieldwork in Tokushima Prefecture and travel across Japan as needed; remote document review between visits.

Preparation

Trial balance ready for the planning date, draft statements before final fieldwork, warehouse access for counts, and a single point of contact in finance.

Pricing basis

Fixed fee quoted after scoping — based on revenue complexity, location count, and prior-year audit file quality. Starting fees appear on our Fees page.

Discuss your audit year-end See fee guidance

Partners personally review the opinion wording before it leaves the practice. If a group auditor requires component reporting, we align testing scopes early so your consolidation timetable does not slip while waiting for our pack.