What is ARS (Authorized Accounting Firm)?
An ARS (Authorized Accounting Firm) is an accounting firm that has received official authorization from the Norwegian Financial Supervisory Authority to perform accounting services in Norway. The authorization ensures that the company meets strict requirements for competence, quality and ethics, and gives companies the peace of mind that their accounting is handled by qualified professionals.
What does ARS authorization mean?
The ARS authorization is a quality assurance that shows that the accounting firm meets the Financial Supervisory Authority's requirements for professional competence, organization and quality assurance. This gives companies a guarantee that their accounting is carried out in accordance with applicable laws and regulations.
The difference between ARS and regular accounting firms
| Aspect | ARS (Authorized) | Regular accounting firm |
|---|---|---|
| Authorization | Approved by the Norwegian Financial Supervisory Authority | No official approval |
| Competence requirements | Documented professional competence | Varying expertise |
| Quality assurance | Mandatory quality system | Voluntary |
| Supervision | Subject to the supervision of the Norwegian Financial Supervisory Authority | No external control |
| Liability insurance | Mandatory | Voluntary |
| Ethical guidelines | Must follow strict ethical requirements | Varying standards |
Requirements for ARS authorization
To obtain ARS authorization, the accounting firm must meet a number of strict requirements that ensure high quality of services.
Academic requirements
- The CEO must be a certified public accountant or state-authorized auditor.
- A minimum of 50% of employees performing accounting services must be certified public accountants.
- Continuous competence development through mandatory continuing education
- Documented experience in accounting and related areas
Organizational requirements
- Quality assurance system that ensures correct execution of assignments
- Internal control system to prevent errors and deficiencies
- Routines for handling customer funds and sensitive information
- Responsible organization of the business
Financial requirements
- Liability insurance of a minimum of NOK 5 million per claim
- Financial solidity that ensures continuity of service provision
- Separate accounts for client funds
Benefits of choosing an ARS
Choosing a certified public accounting firm provides several tangible benefits for your business.
Quality guarantee
- Professional competence: Guaranteed high professional standards
- Updated knowledge: Continuous update on regulatory changes
- Quality assurance: Systematic control of all deliveries
- Ethical standards: High ethical standards for all employees
Legal security
- Liability insurance: Financial protection in the event of errors
- Supervisory authority: Finanstilsynet conducts inspections
- Access to complaints: Possibility of filing a complaint with the Norwegian Financial Supervisory Authority.
- Statutory confidentiality: Strict protection of sensitive information
Service quality
- Comprehensive advice: Expertise in limited liability companies , VAT and tax law
- Digital solutions: Modern tools and systems
- Proactive counseling: Preventive advice and guidance
- Availability: Dedicated contact persons
ARS's areas of responsibility
A chartered accounting firm has extensive responsibilities to its clients and society.
Professional responsibility
- Correct accounting in accordance with the Accounting Act
- Correct VAT processing and reporting
- Correct payroll processing and unemployment benefits
- Annual financial statement preparation and reporting to public authorities
Advisory responsibility
- Proactive tax optimization advice
- Guidance on establishing a limited liability company
- Support in mergers, demergers and other reorganizations
- Help with financing and share capital
Ethical responsibility
- Independence in advice and service provision
- Confidentiality in handling client information
- Integrity in all business relationships
- Objectivity in professional assessments
How to choose the right ARS
Choosing an accounting firm is an important decision that affects your company's finances and compliance.
Evaluation criteria
| Criterion | What to consider |
|---|---|
| Industry experience | Experience with your type of business |
| Service range | Covers all your needs |
| Technology | Modern digital solutions |
| Communication | Availability and response time |
| Price | Transparent and competitive pricing |
| References | Recommendations from other clients |
Questions to ask
- What experience do you have with my industry?
- How do you handle invoices and payments?
- What digital solutions do you offer?
- How do you ensure quality in deliveries?
- What does their liability insurance include?
- How do you handle changes in regulations?
Red flags to avoid
- Missing ARS authorization
- Unclear pricing agreements
- Poor communication
- Lack of industry experience
- No quality assurance system
- Outdated technological solutions
ARS and digitalization
Modern ARS companies use advanced digital solutions to streamline accounting and provide better service to their clients.
Technological solutions
- Cloud-based accounting systems for real-time reporting
- Automatic document processing with OCR technology
- Integrated solutions with bank and Altinn
- Mobile apps for easy voucher registration
- Dashboards for financial overview
Benefits of digitalization
- Increased efficiency in accounting
- Reduced risk of error through automation
- Better overview of the economy
- Faster reporting to authorities
- Environmentally friendly with less paper usage
Costs of ARS services
The cost of ARS services varies based on the size, complexity, and service needs of the business.
Typical pricing models
| Pricing model | Description | Suitable for |
|---|---|---|
| Fixed monthly price | Predictable cost | Stable businesses |
| Hourly rate | Payment per hour worked | Varying needs |
| Transaction price | Price per voucher/transaction | High transaction volume |
| Packaging solutions | Combined services | Holistic needs |
Factors affecting price
- Company size and turnover
- Number of transactions per month
- Complexity of accounting
- Additional services such as payroll processing and consulting
- Digitalization of processes
- Industry and special requirements
The future of ARS
The ARS industry is in continuous evolution, driven by technological advances and changing customer needs.
Technological trends
- Artificial intelligence for automated categorization
- Machine learning for anomaly detection
- Blockchain for secure documentation
- API integrations with multiple systems
- Predictive analytics for better forecasts
Changing customer expectations
- Real-time reporting and continuous updating
- Proactive advice based on data
- Self-service solutions for simple tasks
- Mobile-optimized solutions
- Sustainable and environmentally friendly processes
Conclusion
An ARS (Authorized Accounting Firm) represents the highest standard within accounting services in Norway. Through strict authorization requirements, the Norwegian Financial Supervisory Authority ensures that these companies deliver high-quality services, with the necessary professional competence and ethical standards.
For companies that want security, quality and professional handling of their accounting , choosing an ARS is an investment in long-term financial health and compliance. The additional cost is often offset by reduced risk, better advice and increased efficiency in accounting.
When choosing an ARS, you should consider the company's industry experience, technological solutions, communication, and pricing model to find the best partner for your business needs.