TERMS OF REFERENCE - Audit Service FY’22
December 2022
WHO WE ARE
Girl Effect is an international non-profit organisation that builds media that girls want, trust and need. From chat-bots to chat-shows and TV dramas to tech, our content helps adolescent girls in Africa and Asia make choices and changes in their lives, igniting their confidence to act differently at a time that can define their future. We create safe spaces for girls, sharing facts, and answering questions about health, nutrition, education, relationships and so much more. To arm girls with the skills to negotiate and redefine what they are told is possible “for a girl”. Our reach is 20 million and counting. And we’re using technology to reach girls at scale so every girl can choose to be in control of her body, her health, her learning and her livelihood. Because when a girl unlocks her power to make different choices that change her life, it inspires others to do so too. She starts a ripple effect that impacts her family, her community, her country. That’s the Girl Effect.
WHAT WE ARE LOOKING FOR:
We are currently looking for an Audit firm who will provide an external audit service of our financial documentations for the fiscal year 2022 as we are required to submit the Audit reports to the responsible governmental office i.e Civil Society Organization in fulfilment of the procedure.
CONTEXT OF ASSIGNMENT
The scope of the audit will include all funds relating to Girl Effect activities between the financial year from January 2022 to December 2022 for 12 months. An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or errors. The audit will be carried out in accordance with international standards of civil society auditing and applicable local laws and will include such tests and auditing procedures as the auditor considers necessary under the circumstances. Special attention should be given by the auditor as to whether: a. Girl Effect funds have been used with due attention to efficiency and economy, and only for the purposes for which funding was provided b. An appropriate management structure, internal controls and record keeping systems are maintained and can be relied upon. c. Procurements have been carried out in accordance with the relevant procedures, taking into account value for money. d. All necessary supporting documents, records and accounts have been kept in respect of Girl Effect funds for the funding period. Clear linkages should exist between the books of accounts and relevant supporting documentation. e. The accounting and overall management control system is adequate, and effective to monitor disbursements. f. Issued in soft copy for circulation to Partners and 4 hard copies will be produced and delivered to Girl Effect. Components of the reports are: i. Statement of Financial Position, ii. Statement of Income and Expenditure, iii. Statement of Change in Equity, iv. Statement of cash Flow, v. Notes to the Financial Statements. g. Express an opinion on whether the Girl Effect Financial Statements are a true and fair representation of its activities, assets and liabilities. h. On a sample basis determine whether the Programme is getting value for money on its purchases of goods and services by comparing costs incurred with the prevailing market prices, physical verification of some of the procured goods to ensure that they exist, and authentication of documents used for drawing funds from the Programme; and i. Produce a detailed management letter specifying observations and recommendations based on the audit findings. The audit should include a rigorous examination of the system of internal controls, including organisation structure, authority levels, staff competence, accounting records and supporting documentation, segregation of duties, and monitoring arrangements. Where certain controls are impracticable, appropriate compensating controls should exist. The auditor should plan the audit so that there is a reasonable expectation of detecting material misstatements in the accounts resulting from fraud, error or non-compliance with laws and regulations as may be necessary. If the auditor’s suspicions are aroused, she/he must inquire into all the circumstances until satisfied.
EXPECTED COMMITMENT
The Auditor is expected to perform the Final Audit of the organisation covering months of the year (January 2022 to December 2022) which should commence by the beginning of February 2023. Also, please note that we have 12 numbers of box files for the Audit firm to work on.
TIMEFRAME
February 1st, 2023 - March 1st, 2023
KEY DELIVERABLES
The Audit firm is expected to perform the Final Audit of the organisation covering months of the year (January 2022 to December 2022) which should commence by the first week of February 2023 and should not last more than three weeks with the below mentioned key deliverables.
I. Audit Report Covering January 2022 to December 2022
The opinion expressed in the audit report will address whether: a. The financial statements present a true and fair view of the financial position of Girl Effect. In expressing this opinion, the auditor must case, and whether the financial statements agree with these records. b. Girl Effect funds have been used in accordance with the relevant local and global policies and procedures of civil society. c. The auditor shall make a statement confirming they have complied with these terms of reference in the introduction to the management letter. In particular, they will confirm that they have complied with each of the points raised under scope of work above. Besides a primary opinion on the Financial Statements, the audit report should also include a separate paragraph commenting on the accuracy and propriety of expenditures.
II. Management Letter
In addition to the audit report, the auditor will prepare a “Management Letter” which will: a. Give comments and observations on the accounting records, systems, and controls that were examined during the audit. b. Identify specific deficiencies or areas of weakness in systems and controls and make recommendations for their improvement. c. Communicate matters that have come to the auditor’s attention that might have a significant impact on the operations of Girl Effect. d. Refer to any other matters that the auditor considers relevant. e. In all cases, a management letter MUST be issued. If no issues have arisen during the audit, the auditors must issue a management letter stating that no issues have arisen. f. Include a high, medium or low prioritisation on all issues arising in the management letters. Ranks should be allocated according to the following criteria: i. “A” - a major weakness or a recurring issue that must be addressed soon ii. “B” - an important matter that will significantly improve the control environment, the accounting system or the operations of the business but is not so serious or prevalent as to be considered a major weakness iii. “C” - a minor (or isolated) weakness that should nevertheless be addressed to improve the control environment, the accounting system or the operations of the business
WHO YOU ARE
Please Include a company profile showing the relevant experience & supporting credentials of the Audit firm along with reference letters provided by different governmental or non-governmental organisations for rendering similar services.
PROPOSAL SUBMISSION
Qualified firms are invited to submit a short proposal that include the following: a. Qualification and experience of the firm/individual b. Approach for undertaking this Assignment underpinned by a demonstration of value for money c. Previous experience in similar assignment (s) in line with the ‘Who You Are’ section above (relevant case studies/creds deck/campaigns) d. A financial budget and work plan. N.B. The technical and financial proposals will need to be submitted as separate documents.
EVALUATION CRITERIA
The criteria against which proposals will be evaluated are listed below:
TECHNICAL EVALUATION
Demonstrate a detailed understanding of the services and the deliverables required. - 15% Provide a list of experienced personnel to perform the required duties - 15 % Demonstrate adequate resources to handle assigned responsibilities and to handle extenuating circumstances that may arise - 15% Demonstrate prior experience in auditing or certification for international charitable institutions / non-governmental organisations along with contact details of references in those organisations should Girl Effect wish to contact them for a reference - 15% Demonstrate relevant geographical experience and knowledge to effectively carry out the assignment. - 10%
FINANCIAL EVALUATION
Value for money/proposed budget breakdown - 30%
REPORTING
The supplier needs to report to GEE’S Finance Manager samrawit.taye@girleffect.org.
HOW TO APPLY
To apply for this opportunity, please submit a proposal by email with the subject line “GEE Audit Service FY '22” to lidia.gebreselasse@girleffect.org by Friday 13th of January 2023 5:00 PM EAT. OR Location: Girl Effect Ethiopia, Bole Rwanda Road, Behind Rwanda Embassy, HGS Building, 1st Floor (Please refer to this link https://goo.gl/maps/Ekvcbq29pwcfgaqo7 for exact location). Prospective respondents who may have questions regarding this RFP may submit their enquiries to the same address provided by Tuesday 10th of January
2023 5:00 PM EAT.
Technical and Financial proposals will need to be submitted as separate documents. Financial bids will not be opened until the technical evaluation and then only for those proposals deemed qualified and responsive. Please note that Girl Effect is not liable for any cost incurred during the award/contract preparation, submission, or negotiation of the award/contract. All submitted documentation and/or materials shall become and remain the property of Girl Effect.
EQUAL OPPORTUNITIES
Girl Effect is committed to equal opportunity regardless of race, colour, ancestry, religion, sex, national origin, sexual orientation, age, marital status, disability, gender, gender identity, or expression. We are proud to be an equal-opportunity workplace. We are committed to building an organisation that is truly representative of the communities that we serve. To this end, due regard will be paid to procuring consultancy services of organisations and individuals with a deep understanding and experience of our programming markets and diverse professional, academic and cultural backgrounds.
SAFEGUARDING
You may be required to undertake safeguarding checks. Shortlisted consultants will be assessed on our organisational values at the interview stage. The successful consultant will be expected to adhere to our safeguarding policy. We encourage you to read and understand our safeguarding policy, the executive summary of which can be found here. We have zero tolerance for all forms of violence against children, beneficiaries and staff.
TAX
Applicants are advised to ensure that they have a clear understanding of their tax position with regard to provisions of their local jurisdiction tax legislation when developing their proposals.
DISCLAIMER
GE reserves the right to determine the structure of the process, the number of short-listed participants, the right to withdraw from the proposal process, the right to change this timetable at any time without notice, and reserves the right to withdraw this tender at any time, without prior notice and without liability to compensate and/or reimburse any party. GE shall inform the ONLY successful applicant(s). The process of negotiation and signing of the contract with the successful applicant(s) will follow.