SearchAccountancy Support for Regulated Organisations
Solicitors Regulation Authority Accountant’s Reporting
Rules and regulations are all part of the deal when it comes to leading a successful legal firm. The Solicitors Regulation Authority (“SRA”) requires all firms that hold or receive client money to obtain an annual accountant's report from an accountant who is a member of one of the chartered accountancy bodies and who is, or works for, a registered auditor.
HURST, as a firm of registered auditors working with numerous solicitors, is well-placed to deliver your accountant’s report. We are familiar with the Solicitors Accounts Rules (“SAR”) and have completed many reports on behalf of clients. Our specialist team takes a robust but pragmatic approach to the review whilst also providing guidance and support throughout the process.
We bring a wealth of experience working with all manner of regulated organisations, and can provide an expert perspective to guide you through the ever-changing legislations.
Financial Conduct Authority Regulated Firms
Keeping on top of the strict regulations enforced by the Financial Conduct Authority (FCA) can be a real headache. Getting it wrong can put your whole business in jeopardy. Firms regulated by the FCA are required to appoint an auditor and have an external audit unless they qualify for an exemption by virtue of size or type of activity they undertake.
Additionally, many FCA-regulated firms are required to obtain an Assurance Report from their auditor, addressed to the FCA, to confirm the firm’s compliance with the client money rules. The type of Assurance Report required depends on whether the firm holds client money or not.
Where an FCA regulated firm hold client money, a ‘reasonable assurance’ review is undertaken which considers whether the firm has maintained adequate systems to enable it to comply with the applicable rules.
Where the firm does not hold client money, then a ‘limited assurance’ review is undertaken to identify whether anything has come to our attention that causes us to believe that the firm held client money or custody assets during the period.
The FCA rules are detailed and complex and any breach can have significant implications. At HURST we have a team of specialists with a deep understanding of the rules. We are well-placed to be able to deliver a high-quality service to FCA regulated clients.
Charities
We love working with charities. It’s the combination of an inspirational cause and passionate committed people that gets us hooked.
Charities are unique organisations in many ways and require an understanding of their challenges as well as their legislative and legal requirements. This is because charities are established for the benefit of the public. Whilst they enjoy certain benefits, such as tax exemptions, they are accountable to the public and are regulated by the government via the Charity Commission.
Charity law sets out the reporting, filing and external scrutiny obligations which charity trustees are required to follow. All charitable incorporated organisations (irrespective of income) and registered charities with a gross income exceeding £25,000 must file their accounts and an annual report with the Charity Commission. Charities with a gross income of more than £25,000 are required to have their accounts independently examined or audited.
The type of scrutiny required depends on the income and assets of the charity. Broadly speaking, an independent examination is needed if gross income is between £25,000 and £1 million, and an audit is needed where the gross income exceeds £1 million. An audit will also be needed if total assets (before liabilities) exceed £3.26 million, and the charity’s gross income is more than £250,000.
Sometimes, a Charity’s governing document or Trust Deed may require the charity to have an external audit, regardless of size.
We have extensive experience in advising charities. We understand the challenges and opportunities they face and provide proactive support to help manage the challenges and make the most of the opportunities.
