A non-statutory audit (also known as a voluntary audit) refers to the financial statement audit to find out whether they give a true and fair view of the financial position of the company, which is not a requirement of the laws.

Some entities are exempt from the requirement of laws, yet they still choose to engage an audit firm to have a financial statement audit. Section 711 (1) of the Companies Act 2015 of Kenya on the condition of exemption from audit small companies states that small companies are exempt from statutory audit.

However due to the demand from the board of directors, shareholders, management, or sometimes the parent company in some cases they may direct that an independent auditor to review and express their opinion on the financial statement of a company.

When we conduct such an audit and review, we do not have to submit the reports to the authorities or the government bodies. Instead, we send the report to the shareholders or the board of directors.