Terms of service

1. The contract

1.1. The executor will perform an audit of the reports provided for in the "Subject of the Contract" section of the special conditions of the contract. The purpose of the audit is to express an opinion:

• whether the Customer's financial statements truly and correctly reflect the Customer's financial condition, performance and cash flows in all significant respects,
• whether the Customer's financial statements have been prepared in accordance with the legal acts of the Republic of Lithuania regulating accounting and the preparation of financial statements, as well as other legal acts and
• whether the data presented in the Customer's annual report correspond to the data of the financial statements (if such a report is prepared).

1.2. The purpose of the audit performed by the executor is to reasonably ascertain whether the financial statements are free of material misstatements. The executor undertakes to plan the audit in such a way that it has sufficient opportunities to notice significant distortions of financial statements and accounting records (including any significant distortions of information resulting from fraud, errors or violations of laws and other regulatory acts).

1.3. The audit will be conducted in accordance with the International Auditing Standards approved by the International Federation of Accountants. These standards require the auditor to plan and perform the audit to determine whether the financial statements are free from material misstatement. During the audit, tests are carried out that verify the amounts specified in the financial statements and other information disclosed in the financial statements. During the audit, the accounting principles used, significant accounting estimates of the company's managers, and the general presentation of financial statements are also assessed.

1.4. Due to the nature of the audit procedures and other limitations of the audit and due to the limitations of the accounting and internal control system, the Executive does not guarantee that all material errors and/or significant distortions of information, if any, will be detected.

1.5. The executor, taking into account the requirements of the International Auditing Standards, the legal acts of the Republic of Lithuania and this contract, will independently choose the procedures necessary to perform the audit in accordance with the International Auditing Standards.

2. Audit scope and audit performance

2.1. For the purposes of the audit, the Contractor will assess the Customer's accounting and internal control systems to the extent that it can decide whether it constitutes a sufficient basis for preparing financial statements and determining whether the Customer is properly keeping records.

2.2. The nature and scope of the audit procedures will depend on the Contractor's assessment of the Customer's accounting and internal control systems.

2.3. The executor plans the audit work in advance by preparing the audit plan. However, taking into account specific circumstances, the Executive may change the audit scope and areas of emphasis.

2.4. The audit procedures will be carried out in the period from the signing of this contract to the date of submission of the auditor's report.

2.5. The audit defined by this contract will be considered completed when all the results of the audit work specified in this contract are submitted to the Customer, which will be considered the transfer of services - acceptance, confirming that the obligations were fulfilled properly and on time, unless the Parties have signed a separate deed of transfer - acceptance.

3. Obligations of the executor

3.1. When performing an audit, the Executor undertakes to use all necessary skills, to be careful and diligent, and to fulfill its obligations in accordance with applicable professional standards. In accordance with audit standards, the Executive may hire experts, other auditors and other third parties for proper audit performance.

3.2. Submit the reports provided for in the special part of the contract.

3.3. The auditor's conclusion is submitted signed with a secure electronic signature to a person authorized by the Customer by e-mail. The auditor's report will not be submitted in paper form.

3.4. The interim audit report and the letter to managers are submitted in electronic form (e-mail).

3.4.1. The audit is not intended to identify all significant deficiencies in the Customer's internal control system, therefore, the Letter to the management will indicate only those deficiencies in the Customer's accounting and internal control systems and other business aspects that the Contractor noticed during the audit and which, in the Contractor's opinion, it is necessary to draw the Customer's attention to. The Executor conducts a review of the internal control system only to such an extent as to be able to present the results of the audit work, therefore the Executor's comments on this system will not necessarily cover all possible improvements that may have been suggested by a more in-depth special purpose review.

3.4.2. The interim audit report and the letter to the managers may not be provided if the Executive has no significant observations.

3.5. Ensure the confidentiality and protection of documents and information submitted for audit, except for the cases provided by the legal acts of the Republic of Lithuania. All working documents are the property of the Executor. The information that the Executive has conducted an audit at the Customer is not considered confidential.

4. Obligations of the customer

4.1. The customer undertakes to submit to the Executive the draft financial statements 4 weeks before the date of submission of the auditor's report, as well as other information required for the audit according to the list of information provided by the Executive.

4.2. The customer undertakes to submit to the Executor a set of financial statements signed by the company's manager and an annual report 2 working days before the date of the auditor's report, as well as a statement letter.

4.3. The customer undertakes to notify the Executor of the place and time of the annual inventory of stocks and fixed assets one week before the start of the planned inventory.

4.4. To grant the Executor unlimited access to the Customer's documents and other information, which, in the opinion of the Executor, are necessary for him to be able to present the results of the audit work.

4.5. The customer undertakes to provide the Executor with an unlimited opportunity to communicate with managers and all other necessary employees who would provide appropriate explanations during the audit. The Customer agrees and undertakes to protect the Executor, its employees and/or representatives from any liability that may arise from inappropriate and incorrect information provided by the Customer's employees.

5. Liability of the executor

5.1. The Contractor's liability is limited to liability for direct damage (losses, omissions, etc.) that the Customer would suffer as a result of the intent or gross negligence of the Contractor, his employees and/or representatives or third parties in the performance of the services provided for in this contract.

5.2. The Executor's former, future or current employee and/or representative will not be individually liable to the Customer for any obligations and responsibilities of the Executor under this contract.

5.3. The executor undertakes not to transfer and/or transfer to a third party any rights, obligations and/or claims and demands arising from this contract against the Customer without prior written consent.

5.4. Due to the nature of the audit procedures and other limitations of the audit and due to the limitations of the accounting and internal control system, the Executive does not guarantee that all material errors and/or significant distortions of information, if any, will be detected.

5.5. Neither the Executor's nor the Customer's former, current or future employee or representative will be individually liable to the other Party for any obligations and liabilities of the first Party under this Agreement.

6. Customer's responsibility

6.1. The customer is responsible for the preparation of financial statements, including keeping proper accounting records, ensuring internal control, selecting accounting principles and for preserving the company's assets.

6.2. The customer and his management are responsible for the correct and complete submission of information and data necessary for the audit to the Executive in writing and orally, including, but not limited to, information reflected or not reflected in the financial statements.

6.3. In the event that the Customer does not comply with the provisions of this contract regarding the provision of information, i.e. i.e. does not provide documentation prepared in accordance with acceptable standards in a pre-arranged schedule, or the Customer's employees do not cooperate with the Executor, or the Customer does not provide all other necessary documents, data and (or) information that is valid and meets the requirements of this contract and is necessary to perform an audit under this contract, or The customer does not submit a complete list of information, draft financial statements, annual report prepared by the Customer's board (manager) on time and in the prescribed form, the deadline for the submission of reports by the Executor is extended for the period until the specified necessary documents, data and/or information are submitted.

7. Provision of information

7.1. During the audit, the working documents prepared by the Executor and (or) the information prepared by the Customer and provided to the Executor for the purposes of the audit, which the Executor received during the audit, are considered working documents and are the property of the Executor. Working documents are confidential, they are protected by the Executive in accordance with the requirements of the laws of the Republic of Lithuania and the policies and procedures established by the Executive, but they may be disclosed in cases provided by the applicable laws.

7.2. The parties authorize each other to send and receive data and information that is a necessary part of the work performed (including, but not limited to, drafts of audit work results) by electronic mail (Internet). The Parties understand and acknowledge that the use of e-mail is risky in that neither Party can guarantee the confidentiality of information and data sent by e-mail and protect it from access by unauthorized third parties. At the same time, the Parties acknowledge that they are not responsible to each other, if third parties use the information and data sent or received by e-mail against one of the Parties, or if such actions of third parties cause damage (losses, etc.) to the Party.