An audit involves an experienced accountant getting under the skin of a company. Our audit teams, led always by a Principal called a “Senior Statutory Auditor”, delve into all the dirty and clean linen of a company. We will obviously never find everything that is happening, but by the end of the audit, we need to understand your company as well as any outside can.
We will have discussions with you and your staff about your company, its business, its clients, its aspirations and its successes and failures. We will be able to discuss with you all manner of subjects and will be able to apply them to you in the context of your business.
Few advisers, if any, can boast such detailed and in depth understanding of your company as your auditor. With such a wealth of knowledge, your auditor is someone you should turn to for help in almost any context.
As Auditors we are often questioned on the value of an Audit for a small business owner, with the biggest comment being “Surely the money spent on an Audit could be put to better use in developing my business”. While many may believe that an Audit is outdated and a money wasting exercise there are many advantages in conducting an Audit, even for the small business owner!
The following are a number of benefits to conducting an Audit for the small business owner:
In circumstances where a company is being prepared for sale an Audit can help to identify any existing or potential weaknesses in the business and in its accounting systems. By identifying these weaknesses early it gives the owner an opportunity to address and correct them well before a business is placed on the market. An Audit will also enhance the credibility and reliability of the company’s trading performance
and of its net asset position, which will greatly assist with any potential purchasers due diligence work.
While you may not be looking to sell your business, small business owners are always looking to improve efficiencies in the day to day operations of their business. By identifying existing or potential weaknesses through an Audit, it gives the small business owner the opportunity to work on such inefficiencies and improve the overall running of the business. This in turn should reduce costs and increase the profitability of your business. An Audit can also provide the small business owner with details of expected profit margins and how they can be achieved.
While a number of small businesses in Ireland have more than two directors, the day to day running of the business is generally managed by just one of these directors. In this situation, conducting an Audit would provide assurance to the other non active directors that the business is being run well and in an efficient manner, as weaknesses would be address and resolved on an annual basis.
It has been a difficult few years for the small business owner, particularly those who have significant bank borrowings. We understand that banks are now looking for significantly more detail from the small business owner, even for smaller levels of borrowing. By conducting an Audit on your annual Financial Statements it will provide your financial institution a level of assurance regarding the management and operations of the business activities.
When you established your business you implemented controls and procedures on how your business was to be run on a day to day basis. However, these controls should be monitored and improved on a regular basis. As part of their Audit procedures, your Auditor will review and test these controls to ensure they are operating in an efficient manner. If weaknesses are identified by the Auditor they will bring them to your attention and make suggestions how such weaknesses can be overcome. In addition, your Auditor will review your procedures for the prevention and detection of fraud, which is vital to all business as such fraud could have a significant impact on your overall profit.
While an Audit may involve a greater level of work and therefore a slightly higher fee than simply preparing a Company’s Statutory Financial Statements on an Audit Exempt basis, such an increase in fees could ultimately be a relatively small investment when you take into consideration the benefits which can be achieved from an Audit. There is a misconception that your Auditor is there to find errors in your business and point out your mistakes. However, for the small business owner your Auditor is probably you’re most trusted advisor. As Auditors ourselves we feel our greatest success come from helping small businesses to grow, through working closely with the small business owner on identifying area’s where they can improve their business.
Alya Auditors provides all kinds of Auditing including Forensic Auditing & Accounting,Due Diligence Auditing ,Statutory Auditing & Concurrent Auditing. Alya Auditors provide all services for clients in DMCC and all other free zones. Alya also combines the use of advanced software with the guidance of accounting professionals. We provide professional services in the field of Auditing, Accounting, Company Formation & VAT Consultation etc.Our customers benefit from a team of trusted, in-house experts ready to meet your accounting needs.
Our powerful software integrates with a variety of accounting software partners, such as Xero,Tally and Quickbooks, to automate monthly reports and free you to focus on the success and expansion that you strive for with your small business.
When you are ready to hand off the chore of accounting and focus on the business you love, Alya is your financial headquarters. We have powerful software that can save you time and money to get started today.