Finances

Provide a true and fair view

 

Standard 13 | Annual financial statement

The annual financial statement provides a true and fair view of the financial position, results of operations and cash flows.

The organization prepares its annual financial statement in accordance with Swiss GAAP FER accounting standards and applies Swiss GAAP FER 21 – Accounting for charitable non-profit organizations.

Fundraising and general advertising expenses as well as administrative expenses are calculated and reported using the methods published by Zewo.

 

Standard 14 | Audit

The annual financial statement is audited by independent and professionally qualified auditors.

The organization has its annual financial statement audited in accordance with Swiss GAAP FER by independent, professionally qualified auditors:

  • If the organization is legally obliged to perform an audit, it has a limited or ordinary audit carried out on the annual financial statement in accordance with legal requirements.
  • If the organization is not legally obliged to perform an audit, it at least has a review carried out in accordance with Swiss auditing standards by EXPERTSuisse.
  • It appoints a certified auditor or audit expert to perform the audit.
  • Organizations which are not legally obliged to perform an audit and are very small* may also appoint an uncertified auditor, provided said auditor has similar professional qualifications.
  • The auditor must at least meet legal requirements on independence in order to perform a limited audit.

The auditor produces a written report on the results of the audit. Depending on the type of audit, the report contains:

  • the auditor’s opinion on whether the annual financial statement provides a true and fair view of the financial situation, results of operations and cash flows in accordance with Swiss GAAP FER or
  • at the minimum, a statement on whether the auditor has discovered facts indicating that the annual financial statement does not provide a true and fair view of the financial situation, results of operations and cash flows in accordance with Swiss GAAP FER.

*According to Swiss GAAP FER 21, organizations are classified as small if they meet two of the following criteria: balance sheet total < CHF 2 million/turnover < CHF 1 million/FTE <10.

 

 

Standard 15 | Investments

Any investments made by the organizsation are sustainable and in accordance with investment regulations.

If financial investments and the value of any investment property exceed CHF 2 million, the organization puts investment regulations in place.

These regulations consider the risk tolerance and liquidity requirements of the organization, the income objectives of its financial investments and the purpose of the organization. The regulations also address social and ecological factors as well as good governance criteria.

Introduction

The 21 Zewo standards came into effect on 1 January 2016.

Charitable Non-Profit Organization with the Zewo quality seal will be assessed for compliance with the 21 Zewo standards using assessment processes due to launch on 1 January 2017, in accordance with the Zewo quality seal regulations.

Charitable Non-Profit Organization without the Zewo quality seal will be assessed for compliance with the 21 Zewo standards from 1 July 2016 in accordance with the Zewo quality seal regulations.

(see: https://www.zewo.ch/fur-hilfswerke/die-21-zewo-standards)

 

Information