Chartered Accountant or Statutory Auditor?

Chartered Accountant or Statutory Auditor?

Let’s raise a doubt: the use of an accountant is not an obligation even if it is often advisable! But then, what do you know about these two professionals who are public accountants or auditors?

What are the differences between an auditor or an auditor?


As you have probably noticed, a Chartered Accountant is usually also registered as an auditor. So you may be wondering what the differences between chartered accountant or auditor?

The Chartered Accountant has a contractual mission.

the mission of a chartered accountant depends on the extent of the needs formulated by his client. He is authorized to organize the accounting of the companies, to carry out the various fiscal and social declarations and to produce in consultation with the manager the annual accounts. Often, he is also a key partner in the growth of companies and will allow the realization of business plans or investment projects.

The appointment of a chartered accountant is not mandatory, a company can do its own accounting in house. On the other hand, if you decide to outsource accounting, only Accountants registered on the roll of the order are authorized. Anyone who is not a chartered accountant can not independently carry out the accounting of other companies. It is strictly forbidden.

The statutory auditor usually exercises a legal mission

The auditor generally has a legal mission. It is often made mandatory because of the legal form or the size of the company, it is called legal audit. It performs control operations on the accounts to ensure that they return a true image. He must also reveal to the public prosecutor the criminal acts he discovered during his mission.

The obligation to appoint an auditor is as follows:

  • For SAS: exceeding two of the following thresholds
    • € 1,000,000 Balance Sheet
    • € 2,000,000 in turnover excluding tax
    • 20 employees

Mandatory also in SAS if your company is controlled or controls another company exclusively (> 40% of the shares) or by joint control (limited number of partners).

  • For LLCs : exceeding two of the following thresholds
    • € 1,500,000 Balance Sheet
    • € 3,100,000 in turnover excluding tax
    • 50 employees

In practice, one performs tasks that will be controlled by the second. In a simple way, a Chartered Accountant intervenes for his client and an auditor to protect the partners of the company, particularly the shareholders. An auditor can not therefore control a company for which he performs a contractual accounting assignment.

capital or current account

In the absence of obligation, why resort to a Chartered Accountant?


In a word: credibility!

Accounting and tax rules are sometimes complex to understand and implement. You are thus assured of being in compliance with the law. This frees you from some of the administrative management concerns and allows you to focus on your core business. For the tax administration, this is “reassuring” and reduces the risk of tax audits.

You will also benefit from a unique and versatile advice that will allow you to optimize your situation in various fields such as taxation , social , legal or heritage .

Finally, vis-à-vis your partners you will have more credibility if your documents such as the business plan are made by an accountant. For example, you will obtain bank financing more easily.

In conclusion, the use of the Chartered Accountant is not mandatory but it is strongly recommended . You can calmly grow your business and focus on your business.