Financial audit in 2026: from mandatory check to tool

A Practical Guide for Owners, Directors, and Finance Teams of Companies in the Republic of Moldova

Today, financial auditing lies at the intersection of three objectives: compliance with legislation, enhancing confidence in financial statements, and improving internal processes. The Ministry of Finance of the Republic of Moldova explicitly defines an audit as an independent examination of annual financial statements to express a professional opinion on their preparation in all material respects.

The dual purpose of an audit is also officially emphasized: internal—for management—and external—for shareholders, investors, government agencies, customers, suppliers, and creditors.

In this article

1. Regulatory Framework: What Actually Applies in Moldova
2. What an Audit Offers a Manager Beyond the Report
3. Map of Key Risk Areas
4. Internal Control: Four Questions to Ask
5. Preparing for an Audit: A Schedule Instead of Last-Minute Rush
6. The Reality of AUDIT-EXACT’s Professional Stance
7. What an audit does not promise
8. A manager’s pre-audit checklist
9. Conclusion

1. Regulatory Framework: What Is Actually in Effect in Moldova

The key piece of legislation is Law No. 271 of December 15, 2017, on the Audit of Financial Statements.

The Ministry of Finance also publishes the International Standards on Auditing and the International Code of Ethics for Professional Accountants, which have been adopted for use in the Republic of Moldova.

The Ministry of Finance’s official website states that audit firms conduct audits in accordance with ISAs issued by the IAASB and adopted in the country in accordance with established procedures.

For businesses, this means that a high-quality audit is not based on an arbitrary list of documents, but on a risk-based approach: understanding the business, assessing the risks of material misstatement, obtaining sufficient audit evidence, and documenting professional conclusions.

2. What does an audit provide a manager, aside from the audit report?

The financial statements are the final product, but their management value becomes apparent earlier. During the preparation process, the company is required to reconcile accounts, confirm balances, explain significant fluctuations, review estimates, and verify whether approved procedures are working.

For example, if accounts receivable are growing faster than revenue, management must determine whether this is due to increased sales, deteriorating payment discipline, or a revenue recognition issue. If inventory is increasing while turnover remains stable, it is necessary to assess slow-moving items and the risk of impairment. An audit provides a structured framework for addressing such issues.

3. Map of Major Risk Areas

In practice, the following areas require particular attention: revenue and the timing of its recognition; accounts receivable and the assessment of their collectibility; inventory and its actual availability; fixed assets and signs of impairment; transactions with related parties; loans and compliance with contract terms; provisions and contingent liabilities; events after the reporting date; and going concern.

The materiality of each area depends on the specific company. For a retail chain, inventory and cash transactions may be critical; for a construction company, contracts and revenue recognition; and for a service business, accounts receivable and accounts payable.

4. Internal Control: Four Questions to Ask

First: Are the initiation, approval, payment, and recording of transactions separated?

Second: Is it possible to determine who changed the transaction details or the accounting entry?

Third: Are bank accounts, accounts receivable, and accounts payable reconciled regularly?

Fourth: Are access rights reviewed after an employee changes positions or is terminated?

If the answer to any of these questions is “no,” it does not automatically indicate a significant problem, but it does highlight an area where the risk of error or fraud is higher.

5. Preparing for an Audit: A Schedule Instead of a Rush

A few months before the reporting date, it’s helpful to agree on a list of key areas and the people responsible for them. Before the end of the period, review contracts, the inventory, and any unusual transactions. After closing, complete bank reconciliations, prepare account breakdowns, analyze accounts receivable, and calculate key performance indicators.

This timeline reduces the number of follow-up requests and helps the finance team stay on top of the process. The main criterion for readiness is that every material figure in the financial statements must have a clear source, calculation, and verification.

6. A Fact About AUDIT-EXACT’s Professional Stance

In the list of auditors authorized to perform expenditure audits for projects, published by the Ministry of Finance, OOO “AUDIT-EXACT,” with auditor organization number 2008110, is listed multiple times as of March 10, 2026. This is a specific public fact that confirms the company’s presence in the professional auditing field of the Republic of Moldova.

For corporate communications, it is appropriate to distinguish such a confirmed fact from marketing claims: professionalism is best demonstrated through regulatory compliance, methodological transparency, and the quality of recommendations.

7. What an audit does not promise

An audit provides reasonable, not absolute, assurance. It does not guarantee the detection of every error or instance of fraud, nor does it shift responsibility for financial reporting from management to the auditor. Management remains responsible for the financial statements, the internal control system, and the disclosure of complete information.

That is precisely why a strong company does not view an audit as a substitute for its own controls.

8. Pre-Audit Checklist for Managers

Check whether bank reconciliations have been completed; whether the analytical ledgers have been reconciled with the general ledger; whether an inventory count has been conducted; whether past-due accounts receivable have been analyzed; whether material liabilities have been confirmed; whether valuations and provisions have been documented; whether key contracts have been collected; whether events after the reporting date have been reviewed; whether the list of related parties has been updated; and whether the reasons for material deviations from the previous year are clear.

9. Conclusion

In 2026, a high-quality audit is not just a matter of compliance. It is an opportunity to verify the reliability of a company’s financial architecture: its data, processes, controls, and management explanations. The better this architecture is, the easier it is for a company to navigate financing, due diligence, investment negotiations, and periods of rapid growth.

A practical principle from AUDIT-EXACT: don’t prepare “documents for the auditor” separately from the business. Structure the process so that management data, accounting records, and supporting documents form a single, verifiable system.

Sources and Regulatory Framework

Ministry of Finance of the Republic of Moldova: “Audit of Financial Statements”; Law No. 271/2017; “Accounting and Auditing” section of the legislation; list of auditors authorized to audit project expenditures, March 10, 2026.

Editor’s Note: This material is provided for general informational purposes only. Specific obligations and accounting conclusions must be determined based on the current version of the law and the actual circumstances of the specific organization.