Fund utilization audit in the CSR department or Foundations refer to the confirmation that utilization of funds contributed to a project is as per the agreed commitments. These financial audits are focused on ensuring that the csr funds have been utilized to cater to the agreed number of beneficiaries in a transparent and legal manner.
Fund utilization audit approach begins by understanding the project performance indicators, budget submitted at the beginning of the project and budget utilization documents shared with the CSR department or Foundation. We review the co-funding commitments in the existing projects which is then followed by the checklist based review and discussion with stakeholders on the financial management system for the project. We share our findings with the implementing partner of the project for initial feedback and discuss the same with the CSR department or Foundation along with the recommendations.