Statutory audit (private companies)
Audit of private companies with paid-up capital under Rs 3 million by cost and management accountants, as section 247 allows.
Overview
Statutory audit of private companies. As cost and management accountants, we can audit private companies with paid-up capital below Rs 3 million that aren't subsidiaries of public companies (section 247(1)(b)). Larger and public companies need a chartered accountant auditor; for them we provide audit preparation.
Why it matters
Many private companies must have their accounts audited every year. A well-prepared audit gives banks, investors and SECP confidence in your figures and supports your tax return.
Who needs this
- Private companies with paid-up capital under Rs 3 million
- SMCs
- Companies needing audited accounts for banks or tenders
How it works
Who does each step, and how long it usually takes once documents are complete.
- 1EngagementTAXWORK
Independence check, engagement letter and consent; the company intimates SECP within 14 days.
2–3 days - 2PlanningTAXWORK
Risk assessment and audit plan.
1 week - 3FieldworkTAXWORK
Testing of balances, transactions and controls.
1–3 weeks - 4FindingsTAXWORK
Adjustments and management letter discussed.
1 week - 5Audit reportTAXWORK
Signed auditor's report on the financial statements.
On completion - 6FilingTAXWORK
Audited accounts filed where required.
Within 15 days of the AGM
Documents we need
Tick what you already have, then send the list to us.
What you receive
- Auditor's report
- Audited financial statements
- Management letter
Deadlines, risks and penalties
- Without a valid audit, the company can't complete its annual SECP and tax filings properly
- The first auditor must be appointed within 90 days of incorporation
Mistakes we fix, and what our fee covers
Common mistakes we fix
- Records not ready when the auditor or FBR asks for them
- Weak controls over cash, stock and approvals
- Audit adjustments not agreed before the report is signed
- Tax audit replies given without reconciliations
Included in our fee
- Audit plan and document list prepared in advance
- Reconciliations and schedules for the auditor or FBR
- Coordination with the audit firm or tax officer
- Written findings and an action list
Law and references
The sections and rules this service is based on.
- Companies Act 2017, s.246 – appointment and removal
- s.247 – qualification (cost and management accountants for qualifying private companies)
- s.249 – auditor's report
- International Standards on Auditing
Questions
How long does it take?
About 4–8 weeks. Step by step: Engagement (2–3 days), Planning (1 week), Fieldwork (1–3 weeks), Findings (1 week), Audit report (On completion), Filing (Within 15 days of the AGM).
What does it cost?
We give a fixed quote after reviewing your case. Government fees are extra where they apply.
What happens if I miss a deadline?
Without a valid audit, the company can't complete its annual SECP and tax filings properly. The first auditor must be appointed within 90 days of incorporation.
Does every company need an audit?
No. Single member and private companies with paid-up capital up to Rs 1 million are exempt from appointing an auditor and from audit (SECP post-incorporation booklet, October 2025). Above that, the first auditor must be appointed within 90 days of incorporation.
Can you audit our company?
Yes if it's a private company with paid-up capital under Rs 3 million and not a subsidiary of a public company. Otherwise, a chartered accountant firm must sign the audit.
Which companies need an audit?
It depends on the company type and size thresholds in the Companies Act. We check whether yours qualifies for any exemption.
How long does an audit take?
With records ready, a small company audit usually takes a few weeks.
Why clients choose TAXWORK
Individuals, businesses and companies across Pakistan and overseas.
Rawalpindi/Islamabad, Sialkot and Karachi (with Raza Siddiqui & Co., Chartered Accountants).
You get the scope and a fixed fee in writing before any work starts.
Progress updates, and a copy of everything we file or submit for you.
Keep reading
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View service →Ready to get statutory audit (private companies) done?
Send your documents on WhatsApp or book a meeting. A consultant confirms the scope and a fixed fee before any work starts.