Terms of Reference (TOR) for the Audit Firm

Job Description

Background of the Organizations and the Project: 

The Catholic Agency for Overseas Development (CAFOD) is the official development and  humanitarian agency of the Bishops’ Conference of England and Wales and a member of the global  Caritas family. CAFOD currently works in partnership with more than 500 national non-governmental  organizations in about 40 countries, from those of all faiths, and none. CAFOD is working in  partnership with Caritas Sierra Leone – Kenema to undertake the Promoting Financial Resilience and  Food Security Project. 

Caritas Sierra Leone – Kenema, is the Development and Humanitarian arm of the Diocese of Kenema.  Caritas Sierra Leone – Kenema supports the evangelization through social economic development  and humanitarian interventions to all. Caritas Sierra Leone – Kenema (CSLK) has been operational in  the Diocese of Kenema over the past 20 years. It has been working mainly in Water and Sanitation,  Agriculture and Livelihoods, food security, justice and peace, relief and emergency response and  recovery programs helping to fight poverty and injustices within Kenema, Kono and Kailahun  Districts. 

The Project Titled “Promoting Financial Resilience and Food Security in Peje Bongre Chiefdom”, in  short, CAFOD Livelihood project, is a two (2) year project which ran from 1st January 2024 to 31st December 2025 in 10 communities in Peje Bongre Chiefdom, Kailahun District on issues of Financial  Resilience and Food Security with CAFOD as serving as the Donor partner and Caritas Kenema as the  Implementing partner. In the project, CAFOD and Caritas Kenema organized and supported  vulnerable young and adult women and men on Village Savings and Loan Associations (VSLA),  Business startup, Agroecology and Animal Husbandry to build and strengthen Financial Resilience  and Food Security. 

The project sought to achieve the following outcomes: 

• Outcome (1): Poor and marginalized women and young adults in Peje Bongre chiefdom are  contributing to increased livelihood security and financial stability in their households. • Outcome 2: Project participants in Peje Bongre Chiefdom, especially women, can access and  adopt agroecological techniques /practices for improved yield.  

CAFOD is seeking the services of an independent external auditor to carry out audits of the project’s  financial statements. The auditor will be appointed to conduct audits for the grant from 1st January  2024 to 31st December 2025 

PREPARATION OF THE PROJECT FINANCIAL STATEMENT: 

The responsibility for the preparation of the Project Financial Statement including adequate  disclosure is that of the Caritas Sierra Leone – Kenema. 

Objective of the Audit: 

1. The objective of the audit of the Project financial statements is to enable the auditors to express  an independent professional opinion on the financial position of the Project as of 31st December,  2025 and to ensure that the funds granted to the Project have been used for their intended  purposes.  
2. The project books of accounts provide the basis for preparation of the PFSs by the Caritas Sierra  Leone – Kenema and are established to reflect the financial transactions in respect of the project. Proper books of accounts as required by law have been maintained by Caritas Sierra Leone – Kenema and maintain adequate internal controls and supporting documentation for the transactions.

Scope of the Audit: 

1. The audit will be carried out in accordance with the International Auditing Standards and will include tests and verification procedures as the auditors deem necessary. 
2. Verify all funds have been used in accordance with the established rules and regulations of  the Project Funding Agreement and only for the purposes for which the funds were  provided. 
3. Goods, works and services financed have been procured in accordance with Caritas Sierra  Leone – Kenema established rules and procedures. 
4. Appropriate supporting documents, records and books of accounts relating to all activities have been kept. Clear linkages should exist between the books of accounts and the financial statements presented to. 
5. The Project Financial Statements have been prepared by Caritas Sierra Leone – Kenema  management in accordance with applicable accounting standards and give a true and fair  view of the financial position of the Promoting Financial Resilience and Food Security project and of its receipts and expenditures for the period ended on that date. 
6. Appropriate and reliable systems for internal controls have been incorporated in the project  and are being observed by Caritas Sierra Leone – Kenema. 
7. Express an opinion as to reasonableness of the financial statements in all material respects. 8. Include in their reports opinion on compliance with procedures designed to provide reasonable assurance of detecting misstatements due to errors or fraud that are material in the Financial Statements. 
8. In addition to the audit report, the auditors will prepare a Management Letter on the  following: 
9. a) Give comments and observations on the accounting records, procedures, systems and  controls that were examined during the audit. 
10. b) Identify specific deficiencies and areas of weakness in systems and controls and make  recommendations for improvement. 
11. c) Communicate matters that have come to their attention during the audit which might have  a significant impact on the sustainability of the organization. 
12. d) Bring to Management’s attention any other matters that the auditors. 

consider pertinent. 

Audit Duration: 

The audit work shall be completed within two weeks from the date of commencement of the audit. Deliverables: 

1. The Auditors on completion of the audit work will submit 2 (Two) original copies of the  Audit Report appended to the Financial Statements along with the reports to the attention  of the Management. 
2. Management letter in accordance with the scope of work described here before. Experience of the Audit Firm: 

The relevant experience your firm has in auditing similar clients and references from existing clients  that we can approach. 

Audit Fees:

The audit fees will be fixed through a competitive bidding process. Interested Auditing Firms should  send their proposal including their methodology to csamura@cafod.org.uk and  caritas.sl.kenema@gmail.com by 5:00pm on 6th February 2026