Financial statements are the company document a foreign bank, investor, tender commission and parent company read first: the balance sheet, the income statement, the cash flow statement and the notes together show how stable the business is and whether it can be worked with. Translating these documents requires double precision: the financial terminology must be rendered in the language of the international standards, and every figure, total and footnote must stay identical to the original. Our bureau in Tbilisi translates financial statements with financially specialised translators, returns the tables in the original format and, where needed, notarizes them. Detailed guide: translation of balance sheets, income and cash flow statements in the financial and business translation section: terminology, format, who asks for them and how they are certified.
What financial statements comprise
Under the Law of Georgia on Accounting, Reporting and Auditing, companies prepare their financial statements in accordance with the International Financial Reporting Standards (IFRS) or the IFRS for SMEs and submit them on the reporting portal. The full package usually comprises:
- the statement of financial position (balance sheet)
- the statement of profit or loss and other comprehensive income
- the cash flow statement
- the statement of changes in equity
- the notes on accounting policies and individual items
- the management report for large companies
The notes are often the largest part of the statements, and that is where most of the terminological difficulty lies.
When financial statements need a translation
- A loan or credit line at a foreign bank. The bank's analyst reads the last 2-3 years' statements line by line and compares the translation with the original.
- Investment, mergers and acquisitions. The investor's financial due diligence starts with the statements and the notes.
- International tenders. The tender commission asks for the statements together with the audit report to confirm financial standing.
- Consolidation by the parent company. A foreign group's Georgian subsidiary submits its statements in the group's language, often quarterly.
- Transfer pricing and tax audits. A foreign tax authority asks for the Georgian partner's statements with a translation.
- Business visa and residence. In a director's or investor's application the company's financial position is proven with a certified translation.
What matters when translating financial statements
IFRS terminology, not free translation
The terms of financial statements are already defined in the international standards, and the translation must use exactly these official equivalents: "statement of financial position", "other comprehensive income", "impairment", "deferred tax asset", "operating lease". A bank analyst or auditor who knows the English text of IFRS reads any other wording as a mistake or a different concept. Our financial translators use the official terminology of the standards and keep the glossary for every subsequent set of the company's statements.
Figures, currency and format
In a financial document the translator checks not only the text but the totals of the tables too. The Georgian entry "1 250 500,50" becomes "1,250,500.50" in English and "1.250.500,50" in German, and this change must be applied identically in every cell. Currency codes (GEL, USD, EUR) stay unchanged, negative values are rendered in brackets or with a minus according to the target standard, and tables presented in thousands keep the corresponding note. The dates of the reporting period are converted to the format of the target country.
Table structure and note numbering
The balance sheet and the income statement keep the structure of the original, so that the reader can compare both versions line by line. The numbering of the notes and the references to them in the tables are unchanged. Excel files are returned with the original formulas and sheet structure, PDF documents in the same layout, without retyping.
The audit report and the statements in one package
A foreign bank and a tender commission almost always ask for the financial statements together with the audit report. Translate these two documents within one project: the auditor's opinion refers to specific items and notes of the statements, and these references must match exactly in both translations. One glossary and one editor ensure that "impairment allowance" is rendered with the same term in the balance sheet and in the auditor's report.
Certification and apostille
Financial statements are an internal company document and an apostille is not placed on them directly. Depending on the receiving side there are three options. For a bank, an investor and a parent company a translation certified on the bureau's cover sheet with the translator's signature and seal is usually enough. A tender commission and a consulate often ask for a notarized translation, where the translation is attached to the original signed by the director or to a notarized copy. For official submission abroad a notarized copy is prepared first, the Ministry of Justice places the apostille on it, and only then is the document translated together with the apostille.
Translating foreign statements into Georgian
When taking part in a tender in Georgia, borrowing from a bank or contributing capital to a Georgian subsidiary, a foreign company submits its own statements with a Georgian translation. We translate statements drawn up in English, German, Turkish, Russian and other languages in the terminology of IFRS, US GAAP and national standards, and add an explanatory note on the items that have no direct analogue in Georgian practice.
Turnaround and confidentiality
A small company's statements (10-15 pages) are ready within 2-3 working days; the full package with notes (40-80 pages) takes 5-7 days, and on large projects several translators work in parallel with one glossary and one editor. Financial data contain trade secrets: a confidentiality agreement is in place with every translator, files are stored on a secure server and deleted on your instruction after the project is complete.
Frequently asked questions
Do financial statements need notarization for a bank?
In most cases no. Foreign banks and investors usually accept a translation certified by the bureau. A notarized translation is needed for a tender commission and a consulate, which we confirm in advance.
Are the figures in the tables translated?
The figures stay unchanged, but the decimal separator and the thousands comma follow the standard of the target language. The editor checks the totals separately.
Can an Excel file be translated with the formulas preserved?
Yes. We translate directly in the file; the formulas and the sheet structure stay unchanged.
Is an apostille placed on financial statements?
Not directly. Where needed a notarized copy is prepared, the apostille is placed on it and the document is then translated together with the apostille.
How long does a translation of the statements take?
A small package within 2-3 working days, full statements with notes within 5-7 days. For quarterly statements regular clients have a fixed deadline.