Audits of private equity-managed companies

Audit teams are confronted with special demands when auditing financial statements for private equity-managed companies or financial investors.

For example, answers must be found to special and complex questions, such as portraying financial and performance measurements or commercial aspects in financial statements (including covenant definition and determination). In addition, the audit team must be able to deal with the different expectations and needs of the portfolio company's shareholders and management. This creates a need for a greater level of action by the auditor, in addition to the necessary sector expertise.

In order to act rapidly and react to market requirements, we have developed a private equity audit approach. Along with the integration of transaction specialists into the audit team, all audits of the financial statements of a financial investor's portfolio companies are headed by a central contact person experienced in private equity transactions.