The investment project audit used by our experts focuses on the root causes of crises in companies and projects. These, in addition to a lack of financial resources, include factors such as unfavorable market prospects, poor organization and management, conflicts in decision-making, and others.

We offer long-term financing for large projects, develop individual financial models and provide other services to large businesses, ensuring investment safety and sustainable growth of companies.

Viola Funding Limited brings together finance and legal professionals who have worked for more than 20 years for the benefit of corporate clients in Spain and around the world.

Who are the beneficiaries of our investment project audit services:

• Managers of companies participating in projects who need an independent assessment of the project in order to minimize the risks of their investment decisions.

• Investors who wish to gain access to professionally processed information about the company that is not available to other market participants.

Investment project audit from VFL remains a verifying data and forecasts provided by your potential partners.

Types, approaches and stages of investment audit

The assessment of an investment project should include a number of quantitative and qualitative aspects, including economic indicators.

One of the tasks of an investment audit is an objective assessment of the economic efficiency of investment projects, based on a comparison of costs with project revenues or other potential non-economic benefits (for example, reputation effect).

The transition to the next stage should be preceded by a positive assessment of the investment project at an earlier stage. Correctly organized and carried out audit significantly increases the chances of achieving the planned indicators and the success of the business as a whole.

A negative result at any stage makes further costly and time-consuming studies meaningless.

For a potential investor, the reason for the failure does not really matter, whether it is a lack of funding or low profitability.

At any stage, the expert team auditing a large project must comply with the following obvious rules.

On the one hand, it is critically important to evaluate facts and figures in such a way as to avoid overestimating future cash flows and business opportunities. On the other hand, future costs, investment risks should not be underestimated.

What is an audit of investment projects: definition

In the past, most companies did not take scientifically sound actions to assess whether a particular investment project would be viable or whether there was more profitable alternative way for it. This led to an irrational allocation of financial resources, a loss of profits and unreasonably high risks for the future of companies and entire industries.

Many entrepreneurs and managers intuitively feel the need to invest, but they cannot professionally define what a project should look like.

What are the best sources of funding to choose?

Finally, how much profit will the project bring?

An investment audit takes into account numerous risks that were not even included in the financial statements (for example, the qualifications of the personnel of the contractor companies).

The ancient Sumerians kept a daily record of their economic activities. As a result of the audit, there was a need for control and regulation. For example, the pharaohs of Ancient Egypt received harvest reports for calculating taxes.

Investment project audit could be identify a systematic collection and personal verification of investment documentation in order to determine the effectiveness of part the project or the organization (company) that manages it.

However, experts should take into account the positions of all parties involved in the investment process, including investors and financial institutions that receive an application for loan financing.

Before starting an investment project, two conditions must be met:

1. The investment has been studied and found to be safe and reliable in the long term.
2. The project provides a satisfactory return on investment for all participants.