Grant Audits

A grant audit is an independent review of an organisation’s financial records and processes related to a specific grant. The audit ensures that the funds have been used in line with the grant’s terms and conditions, and that all necessary documentation is in place.

The first place to look is terms and conditions of your grant agreement or contract, as these will confirm whether an audit is required and outline the specific process to follow. In most cases, funders will allow audit costs to be included in the project budget. To avoid missing out, make sure you carefully review all documentation relating to the funding call and factor in any audit-related expenses at the application stage.

Many funders require that project audits are carried out by a Registered Auditor, qualified to complete audits under the relevant national legislation. The specific requirements will be detailed in your grant agreement or contract, so it’s important to review these carefully to ensure your auditor meets the necessary criteria.

A Registered Auditor can be easily found through the Register of Statutory Auditors. However, to ensure a smooth and efficient process, it’s advisable to work with a firm that has extensive experience and expertise in grant audits. At Henderson Loggie, we have unparalleled experience in this field, conducting over 180 grant audit engagements annually.

Grant audits are crucial for ensuring transparency and accountability. They confirm that funds have been spent appropriately, and that the organisation is complying with the grant’s requirements. Additionally, they help to maintain confidence with funding bodies regarding the accuracy and integrity of financial reporting.

While a financial audit assesses an organisation’s overall financial health and reporting accuracy, a grant audit focuses specifically on how grant funds have been managed, ensuring compliance with the terms outlined in the grant agreement.