When your firm seeks initial registration as a dealer (including as an Exempt Market
Dealer), advisor, or investment fund manager, it will be required to provide financial
information to the principal regulator. This includes audited financial statements prepared
in accordance with International Financial Reporting Standards (IFRS) as per National
Instrument 52-107 Acceptable Accounting Principles and Auditing Standards (NI 52-107).
If you don’t have experience with financial statement audits, you may be feeling a bit
overwhelmed. Based on my experience as an auditor and advisor to EMDs, there a several
areas you should consider to make the audit process more efficient, and less painful.
Choosing the Right Advisors for Your Firm
To assist in the financial aspects of the initial registration process and for continuing compliance, you will
need to have the right advisor. Cost is always a factor. However, look for an audit firm that is a good fit and
an advisor with which you can have a long term relationship. When choosing an audit firm, meet with more
than just one. The firm that you decide to use should help your business not only with audit and corporate tax
compliance, but with strategic tax planning and other advisory needs. Start the consultation process in the
early stages of registration. Even better, consult with an accountant at the onset of incorporation to ensure the
desired share capital structure is achieved for proper tax planning.
Getting Ready for Your First
Financial Statement Audit
By Soheil Talebi