Many of the grant schemes available to businesses today require an independent accountant’s report to be submitted in support of claims for grant draw down on at least an annual basis.
We have extensive experience in delivering grant audit services, having produced hundreds of independent accountants reports across a range of schemes including:
Innovate UK / Technology Strategy Board
Tees Valley Capital Grant Scheme
Regional Growth Fund
Let’s Grow North East
Department for Education Funding
Employer Ownership Fund
AMSCI
We are also able to provide Post Completion Monitoring Reports which are required from beneficiaries of a number of schemes, both current and historic, when your grant offer reaches the end of the conditions period.
Maximised grant claims. Our comprehensive and robust approach will ensure that your grant claim is maximised to its fullest potential whilst remaining compliant with the terms of your grant offer letter
Saving of time. We can design systems and procedures that will ensure that you capture all of the data relevant to your grant offer in the most efficient manner possible
A compliant report. All of our independent accountant’s reports are signed by one of our team of registered auditors, as required by all of the region’s major grant schemes
Efficient grant payment. Our independent accountant’s reports are recognised for their quality by grant administering bodies
For further details on some of the more common schemes we audit please see the following FAQs, or see our general FAQs on grant audits below:
Many grant funding providers require that an audit is carried out by a Registered Auditor to provide assurance that the relevant terms and conditions of the project are met. Typically, this would involve the preparation of an independent report which certifies that the expenditure incurred under the project meets the conditions attached to the grant award. These reports are usually prepared to a prescribed format which is often outlined in the grant funding agreement and are submitted to the awarding body on completion of the project or at set intervals in the reporting process.
As auditors Clive Owen LLP would undertake detailed testing of a sample of the transactions included within the grant expenditure to check that they meet the definition of eligible expenditure under the funding agreement. This could include verifying invoices and evidence of payment, and checking payroll records, employee timesheets and employment contracts.
Does my grant require an audit?
The grant funding agreement or offer letter will usually specify when and how an audit should be carried out. Sometimes the terms of the agreement will also allow for the audit fees to be included as part of the eligible expenditure under the grant and it is worth reviewing the grant funding agreement and any other issued guidance carefully to maximise your grant claim.
What is the typical timescale for completion of an audit?
For the majority of grant audits, it typically takes up to two weeks to complete and issue the independent accountants report from the date we are initially provided with information of the grant expenditure claim. However, some grant audits may take longer if they are larger and more complex. It is therefore important to consider your requirements for a grant audit and engage an auditor in plenty of time ahead of the deadline for submission of the independent accountants’ report.
How will the grant audit process work?
Although we are based in the Tees Valley, we are equipped to carry out grant audits remotely, so that wherever your business is located we can help you meet your grant reporting needs. We operate a secure end-to-end encrypted document portal, so you can have peace of mind that any information shared as part of the audit process is protected.
The steps below outline how are services will be delivered:
Completion of anti-money laundering and know your client checks.
Issue of engagement letter.
Request for draft claim form and supporting data, including capital expenditure transaction listing and/or headcount reporting data in a spreadsheet format.
Sample selection and information request issued to include purchase invoices, supplier contracts, bank statements, payroll records and contracts of employment.
Evidence received, reviewed and collated and follow-up queries issued.
Queries resolved and independent accountants report drafted.
File reviewed internally.
Any final queries raised and addressed.
Independent accountants report finalised, signed by a registered auditor (partner level) and forwarded for submission to the grant awarding body.
How much are the fees payable for an audit?
The level of the audit fee will depend on the size and complexity of the audit and the volume of transactions which require testing. Some funding providers will specify a threshold for audit testing which requires a minimum amount of coverage to be obtained. This would usually be detailed in the grant funding agreement. Contact us to obtain a quote for your grant audit needs.
What is reported?
On completion of the grant audit an independent accountants report will be produced for submission to the funding provider, which follows the format prescribed in the grant funding agreement. The report will provide an opinion on whether the grant claim being submitted is in accordance with the terms and conditions of the grant funding agreement.
How are errors dealt with?
If, during the course of the audit, any errors are identified in the grant claim, these are raised with you to allow you to correct the error and amend their grant claim. In this scenario the auditor would issue a clean report which stated that the claim has been made in accordance with the grant funding terms and conditions. However, if the errors are not corrected, then they will be highlighted in the conclusion of the report.
Should you have any questions regarding this, then please contact our team who would be happy to help.
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