Free Financial Reporting Agreement Template
Financial Reporting Agreement
This Financial Reporting Agreement (the "Agreement") is executed and becomes effective on this [Date] day of [Month], [Year] (the "Effective Date")
Parties
This Agreement is made by and between:
[Your Company Name], a company duly organized and existing under the laws of [State] (hereinafter referred to as the "Company"),
AND
[Your Partner Company Name], a company duly organized and existing under the laws of [State] (hereinafter referred to as the "Partner"),
I. Financial Reporting Scope
A. Monthly Financial Reports:
The Company shall provide detailed financial reports on a monthly basis, including income statements reflecting revenue, expenses, and net profit; balance sheets outlining assets, liabilities, and equity; and cash flow statements depicting the movement of cash within the reporting period.
B. Quarterly Performance Reports:
In addition to monthly reports, the Company will furnish detailed quarterly performance reports. These reports will delve into key financial metrics such as gross margin, operating income, and other relevant performance indicators tailored to the nature of the business relationship.
C. Annual Audited Reports:
The Company commits to conducting an annual audit of its financial records. The audited financial statements, prepared by [Your Company Name], will be shared with the Partner, providing a comprehensive overview of the financial health and compliance of the Company.
II. Reporting Format
A. Electronic Format:
All reports will be provided in a secure electronic format through the Company designated client portal or via email to the Partner, ensuring timely and confidential access to financial information.
B. Timeline:
Monthly reports will be delivered within [5] days after the end of each month, allowing the Partner to promptly assess and react to the financial performance. Quarterly and annual reports will follow a similar timeline, providing consistent and reliable reporting.
III. Data Accuracy and Reliability
A. Responsibility:
The Company Name acknowledges its responsibility to maintain the accuracy and reliability of the financial information provided. Rigorous internal controls and adherence to accounting standards will be employed to uphold the integrity of the reported data.
B. Notification of Discrepancies:
In the event of any discrepancies or errors identified in the reports, the Company commits to promptly notify the Partner. Furthermore, the Company will take immediate corrective actions to rectify any inaccuracies.
IV. Confidentiality
A. Non-Disclosure:
Both parties agree to treat all financial information exchanged under this Agreement as strictly confidential. This includes not disclosing financial reports or related details to third parties without the express written consent of the other party.
V. Termination
A. Termination Clause:
Either party may terminate this agreement with written notice if the other party breaches any material provision of this Agreement. The termination will be effective after [00] days from the receipt of the written notice, providing a reasonable period for resolution.
VI. Governing Law
A. Jurisdiction:
This Agreement shall be governed by and construed in accordance with the laws of [State]. Any disputes arising out of or in connection with this Agreement shall be resolved through arbitration in the Arbitration Court of [State], ensuring a fair and impartial resolution process.
Signatures:
Executed by the duly authorized representatives of the Parties as of the Effective Date.
[Your Name]
[Your Title]
[Your Company Name]
[Second Party Representative]
[Second Party Title]
[Your Partner Company Name]
[Date]
