Service Insights - Updated
ADGM Audit at a Glance
An ADGM Registered Auditor is a firm registered under ADGM’s auditor framework. Additional permissions apply to certain engagements, including financial institutions. Your company’s audit needs depend on its circumstances, not simply its licence location or turnover.
Start by checking the entity, reporting period and intended use of the accounts. Then agree the audit scope, records required and timetable.
Five Questions to Resolve Before Your Audit
- What financial period do the accounts cover?
- Is your company part of a wider group?
- Are you seeking Qualifying Free Zone Person treatment?
- Are the accounting records and supporting schedules ready?
- Who will approve the accounts and coordinate the filing?
ADGM Audit Requirements: What Applies to Your Company?
ADGM companies generally require an audit unless a valid exemption applies. Small-company, qualifying-subsidiary and dormancy exemptions are conditional. Group relationships, regulated activities and member requests can affect the assessment.
For the small-company route, the size tests include turnover of no more than USD 13.5 million and no more than 35 employees. Meeting these figures alone does not establish eligibility.
KGRN starts with your legal structure, business activities and financial period to help clarify the appropriate engagement.
What Your ADGM Audit Can Cover
Annual financial statements
Independent examination of the financial statements, including material balances, transactions, estimates and disclosures within the agreed scope.
Holding companies and SPVs
Audit work addressing investments, financing arrangements, related-party balances and other matters relevant to the entity.
Group reporting
Planning for consolidation, component information and reporting dependencies where the engagement involves a group.
First-year audits and auditor changes
Early attention to opening balances, prior-period information and transition requirements.
Financial institution enquiries
Discuss your regulated activities and reporting obligations with us. Acceptance depends on the required firm and principal permissions, competence and independence.
Clear reporting of findings
Discussion of significant matters identified during the audit and the information needed to resolve outstanding queries.
The engagement letter defines the scope and deliverables. Bookkeeping, tax advisory, ESG advisory and filing assistance are separate services where agreed and permitted by independence requirements.
Plan Your ADGM Annual Accounts Filing Early
For subsequent annual accounts, private companies and LLPs generally have nine months from their Accounting Reference Date to file. Public companies generally have six months. First accounts can follow different timing, particularly when the initial financial year exceeds 12 months. Confirm the deadline for your entity before setting the audit timetable.
The filing package may include audited accounts, the auditor’s report, directors’ report and board approval. Some entities have different filing requirements or exemptions.
ADGM’s 2026 checklist highlights three checks: the correct company and accounts, the appropriate auditor or exemption, and valid signatures and approval dates. Check these before submission.
QFZP Audited Financial Statements: A Separate Requirement
Qualifying Free Zone Persons must maintain audited financial statements regardless of revenue. An ADGM audit exemption does not remove this tax requirement. Audited statements alone do not establish entitlement to 0% Corporate Tax on Qualifying Income; the other QFZP conditions must also be met.
KGRN can discuss your audit requirements alongside a separately scoped Corporate Tax review, subject to independence requirements.
Discuss My Audit and Tax Requirements
ADGM ESG Reporting: Know Whether You Are in Scope
Financial statements may not be your only annual reporting responsibility. ADGM’s ESG disclosures framework applies on a “comply or explain” basis to in-scope companies meeting either threshold:
- Turnover above USD 68 million in a financial year; or
- For relevant FSRA-licensed fund and asset management companies, assets under management above USD 6 billion at any point during that year.
Exclusions and exemptions apply, including for foundations, LLPs, partnerships, Restricted Scope Companies, investment companies, foreign-company branches and certain listed entities with equivalent disclosures. Timing also depends on the company’s incorporation or continuance date.
Turn ESG Requirements into a Practical Reporting Plan
KGRN can help assess applicability, identify reporting gaps, organise data responsibilities and develop a disclosure plan using an appropriate recognised framework.
Agree the advisory scope separately from the financial statement audit. If you need independent assurance over ESG information, discuss that as a distinct engagement.
Discuss My ESG Reporting Requirements
How Your ADGM Audit Moves Forward
1. Understand the engagement
Discuss your entity, financial period, activities, reporting needs and deadlines.
2. Agree scope and responsibilities
Complete acceptance and independence checks, then confirm the engagement terms, fees and planned milestones.
3. Organise the records
Share a document request list and identify missing schedules or information early.
4. Perform audit procedures
Examine the relevant evidence and raise queries with your finance team.
5. Resolve outstanding matters
Discuss findings, accounting adjustments and disclosures requiring management attention.
6. Complete the report
Finalise the audit after the necessary evidence, reviews and approvals are complete. Coordinate the handover of the agreed deliverables.
Start My Audit Planning
What Should You Prepare for an ADGM Audit?
Your request list will depend on the engagement. Useful starting documents usually include:
- Company registration documents and ownership structure
- Trial balance, general ledger and draft financial statements
- Bank statements and reconciliations
- Receivables, payables and supporting transaction schedules
- Investment, financing and related-party records
- Fixed asset, payroll and expense schedules
- Relevant contracts, minutes and tax records
- Prior-year financial statements and audit reports, where available
First audit? Tell us which records are available so we can discuss the next steps.
Changing auditors?
Share your year-end and previous reporting position so the transition can be planned early.
Working to an approaching deadline?
Share the exact date and current readiness. We will assess a realistic timetable before accepting the engagement.
Frequently Asked Questions About ADGM Audits
What is the difference between ADGM approved auditors and Registered Auditors?
“ADGM approved auditors” is a commonly used search term. ADGM’s formal framework uses “Registered Auditor”. Check the official register for the firm’s current status and any additional permissions relevant to your engagement.
Does every ADGM company need an audit?
Not necessarily. Conditional exemptions exist. Review your company’s circumstances and any separate tax requirements before relying on an exemption.
Does an ADGM SPV automatically qualify for an audit exemption?
No. SPV status alone does not establish exemption. The applicable conditions and the company’s tax position must be assessed.
What is the ADGM annual accounts filing deadline?
The ordinary subsequent-account deadline is nine months for private companies and LLPs, and six months for public companies. First accounts require a separate timing check.
How much does an ADGM audit cost?
Fees depend on the company’s activities, transaction volume, structure, accounting complexity, record quality and reporting scope. Share your financial period and draft accounts or trial balance so KGRN can assess the work and provide a proposal.
Is ESG reporting mandatory for every ADGM company?
No. Scope, thresholds and exemptions determine whether the framework applies. In-scope disclosures use a recognised standard and are submitted with annual accounts, subject to the applicable requirements.
Share your company details and financial year-end. Let’s establish the scope, records needed and a realistic timetable for your audit.
