Requirement Details of Each Category for a Firm
Based on the firm details and the type of organization. Below are the detailed requirements and factors for each category:
Category I (Highest Tier)
Eligibility Criteria:
- Number of Exclusive CAs: At least 5 exclusive Chartered Accountants (CAs).
- Number of Exclusive Partners: Minimum of 3 exclusive partners.
- Professional Staff: At least 8 staff members.
- Bank Audit Experience (Firm or Partner): Minimum 8 years of experience in branch audits of Nationalized or Private Sector Banks, OR at least 1 partner with 8+ years of experience in the same.
- Firm Standing: At least 8 years since the establishment of the firm.
Summary: Category I firms represent highly experienced organizations with a large team of exclusive professionals and demonstrated bank audit experience over the years.
Category II
Eligibility Criteria:
- Number of Exclusive CAs: At least 3 exclusive Chartered Accountants (CAs).
- Number of Exclusive Partners: Minimum of 2 exclusive partners.
- Professional Staff: At least 6 staff members.
- Bank Audit Experience (Firm or Partner): Minimum 5 years of experience in bank branch audits, OR combined partner experience of:
- Firm Standing or Partner COP (Certificate of Practice) Standing:
- Firm standing of 6 years, OR
- Partner COP difference of 6 years, OR
- Longest partner's COP standing of 6 years.
Summary: Category II firms are mid-level firms with a lesser but still significant track record of auditing and professionally staffed teams.
Category III
Eligibility Criteria:
- Number of Exclusive CAs: At least 2 exclusive Chartered Accountants (CAs).
- Number of Exclusive Partners: Minimum of 2 exclusive partners.
- Professional Staff: At least 4 staff members.
- Bank Audit Experience (Firm or Partner): Minimum 3 years of experience in bank branch audits, OR combined partner experience of:
- 8-9 years, OR
- 5-7 years, OR
- 3-4 years.
- Firm Standing or Partner COP Standing:
- Firm standing of 5 years, OR
- Partner COP difference of 5 years, OR
- Longest partner's COP standing of 5 years.
Summary: Category III firms are moderately staffed and experienced, suitable for smaller-scale audits or operational setups but with demonstrated competence.
Category IV (Proprietorship/Partnership Firms)
For Proprietorship Firms:
- Number of Exclusive CAs: Minimum of 1 exclusive Chartered Accountant (CA).
- Number of Exclusive Partners: Minimum of 1 exclusive proprietor (partner).
- Professional Staff: At least 2 staff members.
- Bank Audit Experience (Firm or Partner):
- Minimum 3 years of branch audit experience, OR
- Combined partner experience of:
- 8-9 years, OR
- 5-7 years, OR
- 3-4 years.
- Firm Standing or Partner COP Standing:
- Firm standing of 6 years, OR
- Partner COP standing of 6 years.
Alternative Proprietorship Option:
- Number of Exclusive CAs: Minimum of 2 exclusive Chartered Accountant (CA).
- Number of Exclusive Partners: Minimum of 1 exclusive proprietor (partner).
- Professional Staff: At least 2 staff members.
- Bank Audit Experience (Firm or Partner): Nil
- Firm Standing or Partner COP Standing:
- Firm standing of 6 years, OR
- Partner COP standing of 6 years.
For Partnership/LLP Firms:
- Number of Exclusive CAs: Minimum of 2 exclusive Chartered Accountants (CAs).
- Number of Exclusive Partners: Minimum of 2 exclusive partners.
- Professional Staff: At least 2 staff members.
- Firm Standing or Partner COP Standing:
- Firm standing of 3+ years, OR
- Partner COP difference of 6 years, OR
- Longest partner's COP standing of 6 years.
Summary: Category IV serves as the entry-level classification focusing on smaller proprietorship/partnership setups with lower staffing and experience thresholds.
Factors Considered for Category Calculation
- Exclusive CAs: Total exclusive personnel (Paid employee CAs, Partners CAs).
- Professional Staff: Articled Assistants, Audit Assistants, Other Professional Staff.
- Bank Audit Experience: The firm's or partner's years of audit experience.
- Firm Standing: Calculated from the firm establishment date or the earliest partner's Certificate of Practice (COP) years.
- Eastern State Experience: Additional standing years if operating in eastern states (if applicable).
- Partner Contribution: Individual partner experience thresholds are vital, especially in smaller tiers like IV and OA.
- User Type:
- Proprietorship
- Partnership/LLP
Summary Table
| Category |
Exclusive CAs |
Exclusive Partners |
Staff |
Bank Audit Exp. |
Firm/Partner Standing |
| I | 5 | 3 | 8 | 8 years | 8 years |
| II | 3 | 2 | 6 | 5 years or partner combined | 6 years (firm/partner COP diff) |
| III | 2 | 2 | 4 | 3 years or partner combined | 5 years (firm/partner COP diff) |
| IV Partnership | 2 | 2 | 2 | N/A | 3 years (or COP diff ≥ 6) |
| IV Proprietor | 1 | 1 | 2 | 3 years or partner combined | 6 years |
| IV Proprietor (Alt) | 2 | 1 | 2 | N/A | 6 years |
| OA | N/A | 1 | N/A | N/A | N/A |
The service dynamically computes a firm's eligibility for these categories based on real-time data.
Source: meficai.org
