The auditor’s role is to assess annual reports of the company and make sure they are correct and reliable. The auditor’s role is not to manage the accounts.
The limited company must appoint an authorised auditor (auktoriserad revisor) or an approved auditor (godkänd revisor). The shareholders elect an auditor at the annual general meeting or at a general meeting.
An auditor is normally appointed for one year at a time. If the auditor is assigned longer than one year it must be stated in the articles of association. The auditor can only be assigned for a maximum of four years.
Exemption for small companies
Small limited companies are exempted from the requirement of appointing an auditor. If a company has exceeded at least two of the following criteria the last two financial years it must appoint an auditor. The company must have exceeded the same two criteria both financial years.
- more than 3 employees (as an average)
- a balance sheet total of more than SEK 1,5 million
- a net turnover of more than SEK 3 million .
If a parent company does not meet two of these criteria but the group does, the parent company must have an auditor.
Requirements on the auditor
An auditor must be over 18 years of age. He or she must not be declared bankrupt, be prohibited to carry on business or have a guardian.