Assurance engagement
Statutory Financial Statement Audit
Independent audit of annual financial statements for companies preparing statutory filings under Japanese company law and applicable accounting standards.
Request an engagement letter
Coral Bay Assurance Bureau’s flagship offer is the statutory financial statement audit for companies that must present independently audited accounts to shareholders, lenders, or regulators in Japan.
This engagement is designed for finance directors, controllers, and owner-managers who need a calm, evidence-based examination of the year’s books — not a generic checklist. We work primarily with trading companies, regional manufacturers, and service groups with offices or plants in Niigata Prefecture, and we travel for inventory counts and site visits when the ledger requires it.
Who it is for
Companies preparing annual financial statements under Japanese GAAP (or other frameworks agreed in the engagement letter) where an independent auditor’s report is required by company law, articles of incorporation, or financing covenants.
What you receive
A planned audit, documented findings discussed with management, and an independent auditor’s report suitable for statutory presentation. Timeline for a typical single-entity engagement runs eight to fourteen weeks from acceptance to report date, depending on the readiness of trial balances and supporting schedules.
Preparation we ask of you
A complete trial balance, fixed-asset register, inventory listings, bank statements, significant contracts, and access to the people who own revenue, purchasing, and payroll. We schedule a planning meeting before year-end so cut-off procedures are clear.
Delivery
Work is led by a partner of Coral Bay Assurance Bureau from our office at 9976 E North Street, 湖日高町, 新潟県, Japan, with fieldwork at your premises as needed. English is our working language for international groups; Japanese-language source documents are reviewed with bilingual staff support.
Scope of work
Included
- Risk assessment and planning for the reporting period under review
- Tests of controls and substantive procedures over material balances
- Attendance at year-end inventory counts when inventories are material
- Evaluation of accounting estimates, related-party disclosures, and subsequent events
- Independent auditor’s report on the statutory financial statements
Outside this engagement
- Bookkeeping, payroll processing, or preparation of the financial statements themselves
- Tax return filing or tax controversy representation
- Management consulting on mergers, fundraising, or market strategy
- Continuous monitoring or outsourced internal audit staffing
How the audit proceeds
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1
Acceptance & planning
We confirm independence, agree the engagement letter, and map significant accounts, processes, and locations across your Niigata operations or wider Japan group.
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2
Fieldwork
Our team examines supporting documents, reconciliations, bank confirmations, and inventory evidence. We raise findings as they arise so management can respond before the report date.
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3
Conclusion & reporting
We review closing entries, obtain written representations, and issue the auditor’s report for presentation to shareholders and statutory filings.
Fees & next step
Engagement fees are quoted after we review prior-year statements, entity size, and locations. Typical statutory audits for mid-size trading and manufacturing companies start from ¥2,800,000.