Engagement

Statutory financial statement audit

An independent audit of your annual financial statements, culminating in an auditor’s report for shareholders, banks, and regulators.

From ¥2,800,000 starting fee · Typically 3–6 weeks of fieldwork

Request a fee estimate
Auditor reviewing printed financial statements and workpapers

Tideway’s flagship service is the statutory financial statement audit. Partners and staff examine whether the statements present fairly, in all material respects, and document the evidence that supports that conclusion. Workpapers stay with the firm; the opinion and management letter go to those charged with governance.

Who this engagement serves

Mid-market Japanese companies and Japan subsidiaries of overseas groups that need a statutory or group-reporting auditor’s opinion on annual financial statements prepared under J-GAAP, IFRS, or a parent-company framework.

Scope and deliverables

  • Engagement letter, independence confirmation, and planning meeting with management
  • Risk assessment, materiality setting, and testing of significant accounts and disclosures
  • Inventory observation where stock is material to the financial statements
  • Communication of deficiencies to those charged with governance
  • Independent auditor’s report and a management letter with observations

Outside this engagement

  • Bookkeeping, preparation of the financial statements, or acting as management
  • Tax return filing or transfer pricing documentation
  • Continuous monitoring of daily transactions after the reporting date

How the work proceeds

  1. Scoping and acceptance

    We review your prior-year auditor’s report, group chart, and year-end calendar, then confirm independence and issue an engagement letter.

  2. Planning and interim work

    We walk through key processes, set materiality, and perform interim substantive testing where balances allow.

  3. Year-end fieldwork

    Our team attends inventory counts, tests cut-off, confirmations, and subsequent events, then clears review notes with the engagement partner.

  4. Reporting

    Draft findings go to management and the audit committee before we issue the auditor’s report and management letter.

Preparation and constraints

Provide draft trial balances, fixed-asset registers, inventory listings, related-party schedules, and access to contracts for significant revenue and borrowing arrangements at least two weeks before fieldwork.

We cannot accept engagements where independence is impaired, where management refuses access to books, or where the reporting timetable leaves insufficient time for inventory observation and subsequent-event review.

Fees and next step

Fees start at ¥2,800,000 for a single mid-market entity with one primary location. Multi-location inventory, complex revenue arrangements, and first-year audits increase the fee. We quote a fixed engagement fee after scoping — never a contingency on the opinion.

Schedule a scoping call