Request for Expression of Interest for Annual Audit for FY 2081-82

Social Development Forum Nepalgunj Banke (SDF)

सामाजिक विकास मञ्च, बाँके

Nepalgunj Banke

Request for Expression of Interest for Annual Audit for FY 2081-82

1. Introduction

Social Development Forum (SDF) is a non-profitable organization established in 1997, determined to reduce discrimination in the terms of caste, ethnicity, gender, age and religion. SDF is registered in District Administration Office, Banke, Social Welfare Council and NGO Federation. The organization has also worked in Dailekh, Kalikot of Karnali Province and now it is working in Banke district of Lumbini Province. The focus of SDF is to empower individuals and communities to enable them to sustainably respond to their own needs.

Currently, SDF is implementing the POWER4AY project for youth empowerment within Nepalgunj Sub-Metropolitan City, focusing on WASH, sexual and reproductive health, education, and livelihood, again in partnership with Save the Children. Additionally, in collaboration with World Vision International, SDF is executing the P&CESP project in Narainapur and Janaki Rural Municipalities, covering sponsorship, health, education, and child protection. Across all its interventions, SDF integrates key cross-cutting themes such as gender equality and social inclusion (GESI), environmental sustainability, conflict sensitivity, and transparency and accountability, ensuring that its programs are inclusive, equitable, and responsive to the needs of marginalized populations. Looking ahead, SDF aspires to expand its geographical coverage across Lumbini Province, aiming to replicate its successful models and deepen its impact in underserved communities throughout the region.

SDF invites Expression of Interest from suitably qualified Audit Firms to perform Annual Statutory Audit of SDF's books of accounts for the fiscal year 2081-82.

2. Scope of Work/Assignment

To audit financial undertakings/statements of SDF is line with Nepal Auditing Standards and GAAP for the fiscal year 2081-82.

SDF has been implementing about five projects with funding support from four major funding partners. The total transaction of SDF for FY 2081-82 is expected to be about thirty million Nepalese rupees.

The audit will be carried out at SDF's office located in Nepalgunj Sub-Metropolitan City, Ward No. 18 Karkando, Banke. The auditor/s from the Audit firm will need to travel to SDF's office to conduct the audit and field visits may be carried out in the working areas if relevant and needed.

2.1 Financial Statements to be prepared

The auditor/s will prepare and submit an Independent Auditor's Report along with Management Report to SDF after the completion of the assigned work. The financial statements should be prepared and reported in accordance with Nepal Accounting Standards for NPOs. The reports will include:

• Consolidated Balance Sheet
• Consolidated Income statement and Income statements of each project implemented by SDF
• Funds Flow Statement
• Fund Accountability Statement 
• Cash Flow Statement (where applicable)
• Fixed Asset and Depreciation Statement
• Management Report/Reference with Recommendations
• A complete set of Audit report/Fund Accountability statement of: (1) Projects implemented in partnership with: (1) World Vision International Nepal (2) Save The Children International.
• Other reports as relevant and requested by SDF

2.2 FEES/EXPENSES for the Assignment

SDF will provide audit fees as agreed with the audit firm. The selection of the audit firm will be based on the audit and associated costs, experience of the audit firm, and service delivery.

The audit fees (and associated costs) are not expected to exceed NPR 100,000 (one hundred thousand Nepalese rupees) including all travel, lodging & meal cost.

Audit and associated costs will be paid after receiving the final audit report from the audit firm, including the Management Report. The full amount will be paid through an account payee cheque after deducting applicable taxes.

2.3 Deliverables and Timeline

A letter of granting of audit work will be issued by August 10, 2025 and agreement of the audit assignment will be completed by August 25 2025.

The Audit firm shall initiate the audit work by the 10th  of August 2025 at the latest and complete the audit within three weeks, after the start of the assignment.

3. Qualification of the Auditing Firm

• The firm should be registered with The Institute of Chartered Accountants of Nepal and renewed, if applicable.
• Should have at least one Chartered Accountant in the Audit firm
• Have prior experience of auditing  Non-governmental organizations (NGOs) in Nepal.

4. Selection Criteria

The audit firm will be selected on the basis of cost (90% weightage, not exceeding audit fees of NPR 100,000 which is the maximum limit) and experience (10%).

To submit the EOI, the interested Audit Firm/Auditor should submit following documents:

1. Scanned copy of the EOI letter, typed in organization's letterhead with official seal and signature.
2. Scanned copy of the Attachment A - Audit Expenses Details typed in the prescribed format provided by SDF which is attached below.
3. Scanned copy of renewed Registration, PAN and VAT certificates
4. Scanned copy of Profile of the Firm/Auditor
5. Signed & stamp suppliers’ registration form
6. Signed & stamp code of conduct

Click on the link below for Annexes:

1. Annex 1 Financial Proposal
2. Annex 2 Supplier Registration
3. Annex 3 Code of Conduct

All interested Audit firms/Auditors should submit scanned copy of their Expression of Interest letter and all required documents through Email to hr@sdfbanke.org.np or a hard copy by August 05, 2025. 5:00 PM

Social Development Forum Nepalgunj Banke (SDF)

Nepalgunj 18, Kardkando Banke