Internal Audit Consultant

CALL FOR EXPRESSION OF INTEREST FOR PROVISION OF INTERNAL AUDIT SERVICES.

TENDER NUMBER LUH/08/05/2024

Background

Light Up Hope Africa (LUH-Africa), headquartered in Kenya, is a global non-profit initiative dedicated to lighting a path out of poverty for the most deserving in our society in Kenya and across Africa. Our Vision is a world free from poverty and human suffering in pursuit of a better future. We achieve this through partnership with our donors along four pillars which include; Education, Health and Nutrition, Community Development and Empowerment and Governance.

Light Up Hope is located along David Osieli Road, off Waiyaki way in Westlands, Nairobi.

To ensure the spread of benefits across the various academic levels, Light Up Hope implements its activities in three programs;

1. School Feeding Program. Through this program, the organization provides food to the primary schools.
2. Students’ Sponsorship Program. The program offers education scholarships to secondary and primary school students through their primary and secondary education.
3. WOVEN program. Through this program, LUH offers university scholarships to the top performers and vulnerable among the High School program beneficiaries.

We invite interested firms and individuals for the expression of interest for provision of monthly internal audit services.

Eligibility Criteria

Eligible firms and individuals should meet the following criteria

1. Compliance with legal requirements of registration where applicable
2. Be registered ICPAK member and in good standing
3. Experience of the firm / individual with audit reporting under IFRS and ISA
4. References for similar work done especially for NGOs and INGOs
5. Provide audit methodology, proposed work plan and curriculum vitae of the auditor.

TERMS OF REFERENCE FOR MONTHLY INTERNAL AUDIT CONSULTANT

Position: Monthly Internal Audit Consultant

Reporting to: Light Up Hope Board through the president.

Overall Responsibility: To execute monthly audit assignments whilst bringing systematic approach to examine and evaluate the adequacy , effectiveness and efficiency of the organization’s risk management processes, internal control systems and recommend corrective actions to improve efficiency and reduce operational costs where possible.

Auditing Standards

The internal audit will be carried out in accordance with International Standards on Auditing (ISA) and includes such tests and auditing procedures as the auditor considers necessary for the assignment.

Responsibility for Preparation of Financial Statements

• The responsibility for the preparation of Financial Statements lies with the Light Up Hope.
• The auditor is responsible for the formulation of an opinion on the Financial Statements based on their audit conducted in accordance with ISA (International Standards on Auditing)

Scope of Work

• Review functions and activities in all departments including but not limited to Administration and Logistics Procurement, Human Resources, Finance and Programs to determine the nature of operations, procedures, and related internal controls to achieve organizational goals and objectives.
• Advise management on an ongoing basis, on accounting, reporting, internal control and compliance issues to prevent errors, fraud, irregularities and non-compliance. This includes assessment of whether there are adequate controls over special or complex transactions.
• Determine the accuracy of accounting reports, financial information and the other disclosures provided, providing independent assurance on risk management process on both design and operations.
• Evaluation of risk management frameworks of the operations of the organization and the monitoring of compliance.
• Support in the development and documentation of the organization’s internal and external audit procedures.
• Review and recommend to the management for approval, the Organization ’s quarterly and annual financial statements.
• Identifying, developing and documenting audit issues and recommendations.
• Maintain Audit Recommendation Implementation Matrix/Tracker
• Development and review of internal audit reports.
• Review external audit reports to ensure that there are no unresolved issues of concern, and make the external Auditor aware of any emerging risks, or governance issues.
• Comment on the status of compliance with the national regulations
• Comment on compliance with the internal policies and conventionally accepted operational procedures.

Audit Duration

This is a monthly audit. The audit work shall be completed by 15th of the preceding month.

Deliverables

• The auditor is expected to present two types of reports: An opinion on Light Up Hope Financial Statements and a Management Letter.
• The Management Letter, shall contain:
• Comments and observations on the accounting records, systems and controls that were examined during the course of the audit;
• Specific deficiencies and areas of weakness or in internal systems and controls and make recommendations for improvement;
• Matters that have come to their attention during the audit which might have a significant impact on the implementation of funding and the organization’s integrity position.
• Report on the implementation status of recommendations pertaining the previous months’ audit reports
• Areas of risk that need to be flagged out to management;
• Any other matters that the auditor considers pertinent to be brought to the attention of the management.

General Information

The auditors shall be given access to all legal documents, correspondence and any other information associated deemed necessary for this process.

Qualification of the Audit Firm/individual

The Individual or firm seeking to apply should be registered with the Institute of Certified Public Accountants Kenya (ICPAK) and in good standing. They must demonstrate a minimum of 5 years experience in the audit and taxation of not-for-profit entities/charitable organizations.

The following should be provided:

• Certificate of incorporation/registration for the Firm
• Practicing Certificate from ICPAK
• Tax Registration Certificate
• Tax compliance certificate
• Certificate of good standing from ICPAK
• A CV containing a list of at least three clients they have offered similar services to.

Audit Fees

The audit fees will be as per the contract and shall remain as so until such a contract will be reviewed.