Sora Ledger Counsel
Signed financial documents and pen on a wooden desk

Engagement

Statutory Financial Statement Audit

Independent examination of annual financial statements for companies preparing reports under Japanese company law and lender covenants.

Request an Estimate See the audit process

For many Japanese companies, the annual statutory audit is the moment when ledgers, board minutes, and bank confirmations must tell one coherent story. Sora Ledger Counsel conducts independent financial statement audits that focus on whether the numbers presented to shareholders and lenders are fairly stated.

Our flagship engagement is designed for finance teams that already close the books but need an outside auditor who understands local filing calendars, Japanese commercial practice, and the practical friction of inventory counts across warehouses in Ibaraki and neighboring prefectures. We work in English for international subsidiaries while remaining fluent in the documentation habits of domestic groups.

Who it is for

Mid-size companies, subsidiaries, and owner-managed groups that need an independent auditor’s opinion

Duration

Typically 6–12 weeks from planning to opinion, timed to your fiscal year-end

How we deliver

On-site fieldwork in Ibaraki and Kantō, with remote document review between visits

Fee basis

Fixed engagement fee quoted after a scoping call and document inventory

What is included

  • Risk assessment and materiality setting for the engagement year
  • Tests of account balances, cut-off, and disclosure completeness
  • Management letter on control observations
  • Auditor’s report suitable for shareholders, banks, and regulators

What is not included

  • Bookkeeping or preparation of the statements themselves
  • Tax return filing or transfer pricing studies
  • Continuous internal audit staffing

How the engagement runs

  1. Scoping conversation

    We map entity structure, prior-year adjustments, and reporting deadlines before issuing an engagement letter.

  2. Planning & risk focus

    Material accounts, related-party balances, and inventory locations receive early attention so fieldwork stays efficient.

  3. Fieldwork

    Our team reviews ledgers, samples transactions, and walks through inventory or cash procedures with your staff.

  4. Reporting

    Draft findings are discussed with management; the signed opinion follows once adjustments and disclosures are settled.

Preparation

Provide trial balance, fixed-asset register, bank confirmations list, and prior-year packs at least two weeks before fieldwork.

Constraints

We cannot accept engagements where independence is impaired by bookkeeping work or significant unpaid prior fees.

Next step

Request an estimate with your fiscal year-end and entity count.

Contact the practice