You’ve probably heard about audits for small businesses but you are not quite sure whether it will benefit yours. Audits have many benefits and they are not only reserved for larger corporations; smaller businesses can also ask for an audit as it can help to boost their profits and ensure that the business itself is functioning properly. Getting help from a team of auditors will be a great benefit as auditing services are aimed at helping your business succeed. There are however different audits available too.
Internal auditing services are independent activities that are designed to improve a company’s operations and this can add much value to the whole structure of the organization. This is done by an independent professional called an internal auditor and is employed by a government agency. By using an independent person, the proses prove to more objective.
An internal auditor has to deal with issues that directly or indirectly reflects on the business’ finances. If these issues are overlooked, it might lead to other damager or even cause a business to close down. Things like treatment of employees, the organizations reputation and the impact the organization has on the immediate environment are factors that is taken in to consideration.
External auditing services review your company’s financial statements, done by someone who is not directly affiliated or involved in your business. These audits has a very important role, in that they are performed by an outside, independent auditor, who can verify a company’s financials and statements.
External auditing services can be done for your business once a year, or as regularly as you or your shareholders require. In most cases they are required by law, at least once a year for most entities. For governments, an external audit will include a review of the budget, the allocation of funds and the actual expenses to ensure the budgeted revenues and expenses were correctly compiled and used.
CA Management Consulting provides auditing services to customers in South Africa. We also specialise in company registrations, records, duty compliance, and business advice, and work with companies of all sizes across various industries