Your board makes decisions
on data
that hasn't been
independently verified.

Agreed Upon Procedures (AUP) give lenders, investors, and boards targeted, independent verification of specific financial data — without the cost or scope of a full audit. Management reporting gives leadership the decision intelligence they need, in the format they can actually use.

FR — 05 /Agreed Upon Procedures & Management Reporting

Your lender wants specific verification.
Your full audit doesn't cover what they need.

AUP engagements fill the gap between a full statutory audit and no independent verification at all. They are precise, targeted, and legally defensible — exactly what lenders and investors demand when they need assurance on a specific financial claim.

Where AUP and management reporting failures create real problems

Banks & Lenders

Loan covenant compliance certificates submitted without independent verification — discovered during lender audit, triggering an Event of Default that wouldn't have existed.

PE-Backed Companies

Monthly MIS reports to investors built on unreconciled data — management P&L diverges from books by ₹3–8 Cr per quarter, investor confidence destroyed.

Grant Disbursing Bodies

Utilisation certificates submitted for government or CSR grants without an independent AUP — projects rejected from future funding rounds due to compliance failure.

Joint Ventures & Partnerships

Revenue sharing disputes because neither party has an agreed independent verification mechanism — litigation that costs more than the disputed amount.

Pre-Acquisition Sellers

Earn-out calculations disputed post-close because the agreed calculation methodology was never independently verified during the deal — years of legal wrangling.

What Northrop delivers

Agreed Upon Procedures Engagement

Independent factual findings on specific financial data points — receivables, revenue, covenant metrics — scoped precisely to what the requesting party needs verified.

Management Information System (MIS) Design

Building or restructuring management reporting frameworks — P&L by business unit, working capital dashboards, and variance analysis that actually explains performance.

Board & Investor Reporting Packs

Monthly or quarterly board packs — structured, consistent, and presenting the right KPIs alongside the financial statements leadership needs to govern effectively.

Covenant Compliance Certificates

Independent preparation and verification of lender covenant compliance certificates — DSCR, NWC ratios, leverage covenants — submitted on schedule, every period.

Lender-Verified Covenant Compliance
Board Reporting Confidence
Investor MIS Integrity
Grant Utilisation Certified
Earn-Out Dispute Prevention
JV Revenue Verification
Who this is for

Companies with Loan Covenants

Businesses required to submit periodic covenant compliance certificates — needing independent preparation to protect against Event of Default risk.

PE-Backed & Investor-Funded Companies

Businesses with regular investor reporting obligations who need MIS that reconciles with books and withstands investor scrutiny each quarter.

NGOs & Grant Recipients

Organisations submitting utilisation certificates for government grants, CSR funds, or international aid — requiring independent AUP certification.

JV & Earn-Out Structures

Parties to joint ventures or M&A earn-out arrangements who need agreed independent verification of calculation mechanics to prevent disputes.

Northrop conducts AUP engagements for lenders, PE funds, government grant bodies, and JV partners — from single-metric verification to comprehensive reporting framework design.

Begin the Conversation

Independent verification is not a cost. It is protection against a much larger one.

Tell us what data point needs verification, or what management reporting problem needs solving — we'll design the right engagement around it.