External Auditor
Mersa Media Institute
Terms of Reference (TOR) for the External Auditors
- Background:
Mersa Media Institute is Civil Society Organization established in 2019 and registered under the new CSO legislation (1113/2019) with registration number 4167.MMI is established with a mission to help create vibrant, responsible and independent media, professional unions and education centers in sub-Saharan Africa, with particular emphasis on Ethiopia through research, capacity building and institutional supports.
As part of the requirement, Mersa Media Institute intends to hire an audit firm to have its financial records for the year ended December 31, 2023 examined. The organization has developed this TOR to facilitate identification of an audit firm qualified to carry out the examination of the financial records.
- Objective of the Audit:
2.1. The objective of the audit for Mersa Media Institute’s financial statements is to enable the auditors to express an independent professional opinion on the financial position of the organization and to ensure that the funds utilized to Mersa Media Institute’s activities have been used for their intended purposes.
2.2. The books of accounts of Mersa Media Institute provide the basis for preparation of the organization’s Financial Statements. Proper books of accounts as required by law have been maintained by Mersa Media Institute and also maintain adequate internal controls and supporting documentation for the transactions.
- Scope of the Audit:
3.1. The financial statements have been prepared by Mersa Media Institute management are in accordance with the applicable Generally accepted accounting principles (GAAP) and give a true and fair view of the financial position of Mersa Media Institute and of its Grant income and expenditures for the period ended on December 31/2023.
3.2. The audit will be carried out in accordance with the International Auditing Standards and will include tests and verification procedures as the auditors deem necessary.
3.4. Verify all funds have been used in accordance with the established rules and regulations of Mersa Media Institute and only for the purposes for which the funds were provided.
3.5. Goods, works and services financed have been procured in accordance with the organization’s established rules and procedures.
3.6. Appropriate supporting documents, records and books of accounts relating to all activities have been kept. Clear linkages should exist between the books of accounts and the financial statements presented.
3.7. Comprehensive assessment of the adequacy and effectiveness of the accounting and overall internal control system to monitor expenditures and other financial transactions.
3.8. Express an opinion as to reasonableness of the financial statements in all material respects.
3.9. Include in their reports opinion on compliance with procedures designed to provide reasonable assurance of detecting misstatements due to errors or fraud that are material in the financial statements.
3.10. Conduct entry and exit meeting with the Executive Director of Mersa Media Institute.
3.1.. In addition to the audit report, the auditors will prepare a Management Letter on the following:
- Give comments and observations on the accounting records, procedures, systems and controls that were examined during the course of the audit.
- Identify specific deficiencies and areas of weakness in systems and controls and make recommendations for improvement.
- Report on the implementation status of recommendations pertaining to previous period audit reports.
- Communicate matters that have come to their attention during the audit which might have a significant impact on the sustainability of the organization.
Audit Duration:
The audit work shall be completed within two weeks from the date of commencement of the audit.
- Deliverables:
5.1. The Auditors on completion of the audit work will submit 4 (four) original copies of the Audit Report appended to the Financial Statements along with the reports to the attention of the Executive Director.
5.2. Management letter in accordance with the scope of work described here before.
- Requirement:
Eligible audit firms are invited to participate by submitting the following:
- The firms profile
- Certificate of competence from Accounting and Auditing Board of Ethiopia /AABE/.
- Renewed Business License.
- Professional License
- Copies of Tax Identification & Value added tax certificates.
- Evidence for Current Tax Payment.
- Copy of tax clearance certificate.
Evidence of Years of Experience, recommendations (if any).
Curriculum vitae of the proposed professional(s) with supporting document.
- Audit Fees:
The audit fees will be fixed through a competitive bidding process.
To Apply: mersamultimedia@gmail.com
