Agreed-Upon Procedures (AUP) | Independent Verification & Compliance
Agreed-Upon Procedures (AUP) engagements are designed to address specific business, financial, compliance, or operational matters identified by management, investors, lenders, regulators, or other stakeholders. The scope of work is agreed in advance, and the procedures are performed in accordance with the applicable professional standards.
Businesses commonly require AUP reports for contract compliance, grant verification,, regulatory reporting, expenditure verification, inventory counts, revenue validation, payroll verification, agreed financial information, and other specific transactions where independent factual findings are required.
At Young Global, we perform objective procedures agreed upon with the engaging parties and provide a clear factual report of our findings to support informed business decisions, compliance requirements, and stakeholder confidence.
Common Pitfalls IN AUP
Limited Independent Verification
Businesses may require independent verification of specific financial information without the need for a full statutory audit.
Compliance Verification Requirements
Regulators, lenders, grant providers, or contractual parties often require independent factual findings on agreed matters to confirm compliance.
Verification of Specific Transactions
Management may need independent verification of selected transactions, expenses, revenues, inventory, receivables, or operational processes.
Fraud and Irregularity Concerns
Where unusual transactions or inconsistencies exist, management may require factual verification of selected records and supporting documents.
Contractual and Grant Compliance
Many contracts require verification of costs incurred, project expenditure, or compliance with agreed contractual terms.
Stakeholder Confidence
Investors, banks, shareholders, and business partners often seek independent factual reporting before making financial or commercial decisions.
Time and Cost Constraints
A full audit may not always be necessary where only specific areas require independent examination.
Solutions
Tailored Scope of Work
Every Agreed-Upon Procedures (AUP) engagement is designed around your specific business requirements. We work with management and the intended users to define procedures that address the areas of concern.
Independent Examination
Our team performs objective verification of the agreed financial or operational information, providing stakeholders with reliable factual findings from an independent professional.
Verification of Key Financial Information
We examine selected transactions, account balances, reconciliations, contracts, invoices, payroll records, inventory, bank statements, and other supporting documentation in accordance with the agreed scope.
Compliance Verification
We perform procedures to assess compliance with contractual obligations, grant conditions, regulatory requirements, lender covenants, and internal policies, helping organisations demonstrate compliance where required.
Accurate Factual Reporting
We issue a clear report describing the procedures performed and the factual findings identified. The report provides objective information without expressing an audit opinion or assurance conclusion.
Risk Identification
Our procedures help identify exceptions, inconsistencies, unsupported transactions, control weaknesses, and other matters requiring management's attention before they develop into larger issues.
Reliable Decision Support
Our AUP reports provide management, investors, lenders, regulators, and other stakeholders with dependable factual information to support commercial decisions, regulatory compliance, and business governance.
How we can help you with
At Young Global, we provide independent Agreed-Upon Procedures (AUP) engagements tailored to your specific business, financial, operational, or compliance requirements.
Our team performs procedures agreed upon with management and other specified parties and delivers objective factual findings to support regulatory compliance, lender requirements, due diligence, contractual obligations, grant verification, and management decision-making.
Whether you require verification of specific transactions, inventory counts, revenue, payroll, expenditure, internal controls, or compliance with contractual terms, Young Global delivers practical and reliable AUP engagements in accordance with applicable professional standards.
FAQs to Guide Your Business Decisions
Concise insights on our core services
An Agreed-Upon Procedures (AUP) engagement involves performing specific procedures agreed upon by the engaging parties and reporting factual findings. Unlike an audit, an AUP engagement does not provide an audit opinion or assurance conclusion.
Businesses commonly require an AUP report for contract compliance, grant verification, due diligence, lender requirements, regulatory reporting, expenditure verification, inventory counts, revenue validation, payroll verification, and verification of specific financial information.
No. An AUP engagement does not provide assurance or an audit opinion. It only reports the factual findings resulting from the agreed procedures performed.
Yes. The scope is agreed in advance between the engaging parties and may cover specific transactions, balances, internal controls, compliance matters, operational processes, or other agreed areas.
An AUP report describes the procedures performed, the factual findings arising from those procedures, and any exceptions identified. It does not include conclusions or recommendations unless specifically agreed.
