Call for Proposals: External Auditors

MSF-SA is soliciting proposals from firms to audit MSF-SA's financial statements for the year ending December 2017 and for the four subsequent fiscal years.

Scope of services required

The objective of the audit is for the auditors to conduct audit reviews as follows:
-The auditors shall express an independent professional opinion as to whether the financial statements present fairly, in all material respects, the financial position of MSF-SA in accordance with the International Financial Reporting Standards for Not for Profit organisations and the requirements of Companies Act of South Africa
-The audit shall be carried out in accordance with the International Standards on Auditing (ISAs) as issued by the International Federation of Accountants (IFAC). The auditors in their duties shall comply with the duties imposed upon them by the Audits Professions Act and the Companies Act of South Africa

Management letter:

The auditors should submit a management letter after the completion of the audit in which auditors will:
- Identify specific deficiencies or areas of weakness in systems and controls, and make recommendations for their improvement;
- Examine on test basis that appropriateness of supporting documents, records and books of accounts relating to all project activities;
- Include management responses to audit findings and recommendations;
- Any matters that come to the auditor's attention during the audit that might have a significant impact to the implementation of the work of MSF-SA.
- Any matters that come to the auditor's attention during the audit that might have a significant impact to the implementation of MSF-SA's work.

The audit reports shall:

- Contain details of the method and scope of audit and assurance that the audit was performed in accordance with International Standards of Auditing and by a qualified auditor
- Signed by the auditor responsible stating the title
- Issued in soft copy for circulation and 5 hard copies will be produced and delivered to MSF-SA

Timelines:

-MSF Southern Africa's finance report forms part of the International combination accounting period for the international movement, which occurs annually starting the last week of March and finalised in the 2nd week of April
-MSF-SA's finance reports by law need to be approved and voted for by the members of the Association at the Annual General Assembly, held annually in the 2nd week of May
Draft Audited Financial Statements for approval by the Audit Committee and Board need to be available in the first week of April.

Your proposal should contain the following considerations:

- Eligibility - registration with Independent Regulatory Board for Auditors (IRBA)
- Your staff stability history at Senior management level; i.e. stating what assurance you can provide MSF-SA in the assignment of your permanent personnel to the engagement
- Experience of your firm in relation to the scope of audits for non-profit organisations and any experience in Auditing International non-profit organisations will be an advantage
- Detailed audit methodology including your approach to risk and fraud detection and Audit quality control
- Format of draft annual financial statements required for Audit
- Structure of the Management letter
- Your fee proposal to conduct the basic audit function. The proposal should also state that any increase in the audit fee will be immediately disclosed
- This disclosure should include an estimation of the increased fees and the reason for the increase
- The estimated number of hours to complete the audit by classification of your employees, i.e. partners, seniors, juniors, etc.
- Details of expected expenses to be incurred, i.e. mileage, per Diem, telephone, etc.
- The final decision regarding the audit firm selection will be made by the Board of Directors. The final agreement will take the form of a written contract.

Confidentiality

By accepting this invitation to take part in the bid process, you agree to keep in confidence all information provided to you, whether written or oral, in relation to the bid process and/or in relation to the organisation's business generally which is not already in the public domain, to use it only for the purposes of this bid and for no other reason and not to disclose any of the said information to any third party.

You will bear any costs and expenses incurred by you in relation to this bid, including meetings and induction costs and the said information shall be kept confidential unless it lawfully becomes public knowledge.

Bid process

Each firm will be required to submit a written proposal as per the requirements stated above.

After the proposals have been received and management meetings have taken place, a shortlist of firms will be identified. An information session will be held for the shortlisted firms to give further opportunity to understand and gather appropriate information.

The shortlisted firms will be asked to make a presentation to members of the Audit and Finance Committee including a question and answer session.

Please forward your proposals by email to gro.fsm.gruboj@tnatsissA-ecnaniF by the 31 July 2017.