Financial and technical audits and monitoring

The need for a financial and technical audit can arise in the following cases:

• When there is a need to monitor the use of borrowed funds for capital work;
• When the budget for construction work is exceeded and the final cost of construction is not known;
• If there was a significant shift in the timing of the completion of construction, lack of control, and missed deadlines;
• When there is an uncontrollable increase in additional work; and
• When there is suspicion of employee fraud.

In order to avoid such issues, an independent expert should be involved in monitoring the progress of construction work and budget expenditures from the very start of a project.

Also, performing financial and technical audits and supervising a project's implementation process is standard practice in raising debt financing from investment funds and banks. In addition to preparing reports to meet a lender’s formal requirements, our team can provide early identification of potential risks in the implementation of a project and develop an appropriate response plan.

Standard procedures within the framework of financial and technical audits and monitoring of progress in project implementation include: 

• Verifying the completeness and quality of initial planning and building permits;
• Reviewing the availability and completeness of as-built documentation;
• Assessing the reliability of the process of determining estimated construction costs;
• Reviewing the schedule for overruns and delays and developing measures to eliminate them;
• Assessing the quality, scope, and cost of work submitted for payment;
• Comparing market and the contractor’s prices for work and materials;
• Analyzing the causes of any changes in the cost and schedule of construction projects;
• Determining work and materials not specified by design and budget estimates but recorded in production logs;
• Checking that supplied materials correspond with the requirements and real needs of the project; and
• Evaluating the feasibility and cost of additional work.

As a result, our clients enjoy objective information about the progress of their projects, which in turn allows us to develop a number of measures for minimizing the risks associated with the timing and cost of a given project.

The consultant generates regular reports on the work performed and the findings. Such reports can be generated on a monthly or quarterly basis.

Within the framework of financial and technical monitoring, our team does not replace the technical customer's function, but performs the auxiliary function of the supervisory authority with a set of required services at the discretion of the client.