Engagement Letter For Statutory Audit Template for Hong Kong

1. Letterhead and Date: Audit firm's letterhead and current date

2. Addressee: Addressed to the appropriate representatives of client's management or those charged with governance

3. Opening Paragraph: Introduction confirming the engagement and its purpose

4. Scope of Audit: Clear description of the scope of the statutory audit and the specific financial statements to be audited

5. Objective and Nature of Audit: Explanation of the audit's objective and its inherent limitations

6. Responsibilities of the Auditor: Detailed outline of the auditor's responsibilities under HKSAs

7. Responsibilities of Management: Clear statement of management's responsibilities regarding financial statements and information access

8. Reporting Requirements: Description of expected form and content of auditor's reports

9. Fee Arrangements: Details of fee calculation, billing arrangements and payment terms

10. Timeline: Expected timetable for the audit and reporting deadlines

11. Confirmation and Acceptance: Request for written acknowledgment and agreement to terms

1. Appendix A - Standard Terms of Business: Detailed terms and conditions governing the professional relationship

2. Appendix B - Fee Schedule: Detailed breakdown of fees, hourly rates, and additional charges

3. Appendix C - Required Client Assistance: List of documents, schedules, and support required from the client

4. Appendix D - Timeline and Key Dates: Detailed audit timetable including key milestones and deadlines

5. Appendix E - Team Structure: Key audit team members and their roles

6. Appendix F - Data Protection Requirements: Specific arrangements for handling sensitive data and personal information