Legal and contractual audits

Our statutory audit appointments cover a broad range of entities, including industrial groups, technology companies, regulated professions, art-market businesses and family investment holding companies. Their annual revenues vary considerably, ranging from approximately €10 million to €750 million.

They share the same expectations of quality, rigour and efficiency in the audit of their separate or consolidated annual financial statements.

They expect genuine involvement from their statutory auditor in Paris. At Houdart A&C, our partners are their primary points of contact, and our clients value our ability to understand the challenges facing their business beyond a purely accounting perspective.

We regard every statutory audit appointment as a mark of confidence in the quality of our services, requiring an impeccable ethical framework.

Certification of separate and consolidated annual financial statements

As part of the statutory audit, this engagement is intended to express an opinion on the regularity and reliability of the financial information made available to all of the company’s stakeholders.

Our audit approach is based on:

• a risk-based approach focused on the key issues,
• industry expertise,
• an assessment of internal control systems,
• an understanding of financial flows and complex accounting treatments,
• open and effective communication with the company’s key contacts.

Services other than the certification of financial statements

As part of our appointment as statutory auditor in Paris, we may be entrusted with procedures other than the certification of financial statements, with a view to issuing a report that addresses specific needs. The most common services include:

• Audit / Limited review: An opinion on accounting and financial information prepared by you.
• Attestations: A conclusion on the consistency, agreement or compliance of accounting and financial information prepared by you.
• Internal control: Opinions and recommendations on internal control procedures and their implementation.
• Consultations: A technical opinion on an accounting treatment or financial information.

Ad hoc statutory auditor

Outside an existing statutory audit appointment, we may be appointed as statutory auditor to assess the terms on which certain transactions requiring a statutory auditor’s involvement are carried out within an entity that does not otherwise have one.

These one-off assignments mainly concern:

• Capital increases with the disapplication of pre-emptive subscription rights,
• Payment of a capital increase by way of set-off against receivables,
• Interim dividends,
• The issue of debt securities giving access to the share capital.

Contribution auditor

When a company is incorporated or increases its share capital through contributions in kind, the value of those contributions must be assessed by an independent expert in order to preserve equal treatment among shareholders or partners.

As contribution auditor, our principal role is to assess:

• The value of the contributions, ensuring that they are not overstated and are at least equal to the nominal value of the shares or units to be issued,
• Any special benefits that may be provided for in connection with the transaction.

The contribution auditor’s engagement is governed by professional standards defining the procedures to be performed, the form of the report to be issued and the applicable deadlines.

Merger auditor

The merger auditor’s role is to validate the legal information relating to the merger and assess the fairness of the exchange ratio between the companies concerned, so that no shareholder or partner is disadvantaged, particularly where minority interests are concerned. The auditor also ensures that the rights of both existing and future shareholders or partners are respected throughout the transaction.

The merger auditor’s engagement is governed by professional standards defining the procedures to be performed, the form of the report to be issued and the applicable deadlines.

Conversion auditor

When a company of any legal form is converted into a company limited by shares, a conversion auditor must, under their own responsibility, assess the value of the assets comprising the company’s assets and any special benefits. The auditor must ensure that those assets are not overstated.

The conversion auditor must be able to certify that shareholders’ equity is at least equal to the company’s share capital and, where applicable, identify any special benefits granted. The engagement is governed by professional standards defining the procedures to be performed, the form of the report to be issued and the applicable deadlines.

Contractual audit

These contractual diagnostic and assessment engagements may relate to your processes or to financial information prepared by you. Their precise scope and terms are agreed jointly and may include:

• Business valuations in connection with external growth or restructuring transactions,
• Analysis of internal control procedures and their implementation,
• Valuation of assets or liabilities in connection with targeted transactions,
• Assessment of specific risks.

Audit of sustainability reports

The EU Corporate Sustainability Reporting Directive (CSRD) is progressively requiring a growing number of companies to publish a certified sustainability report. Some entities below the applicable thresholds have chosen to publish a sustainability report by reference to the voluntary VSME standard. As statutory auditors, we support your teams in understanding the requirements, structuring their reporting and verifying the compliance of the published information.