As a business owner, you might be aware that it might be a legal requirement for your business to be audited once a year. This means that a company needs to ensure that its accounts and transactions are up to date and that all the information is accurate regarding their operations and their customers. This also holds true for government departments and public entities – they need to be regularly audited. Apart from normal company audits you can also obtain a special purpose audit in some cases.
Different Audit Types
There are different types of audits available and you can discuss this with your auditor when you are ready to be audited. You might need to obtain an internal audit, while other businesses might need to have an external audit completed. It will largely depend on the type of business you have, and not all businesses have to be audited either. Some businesses like close corporations don’t need to be audited every year, although they may request a voluntary audit if they choose to do so.
Choosing a Special Purpose Audit
Sometimes it might be necessary to conduct a special purpose audit. A special purpose audit refers to the auditing of areas such as attorneys accounts and real estate agents’ trust accounts. It might also be needed for Royalties and donor funding. New legislation also requires financial planners to obtain audit reports for certain instances, and auditors such as Colin Smith & Co is experienced in these audits.
Private sector audits should always be performed in terms of the Companies Act of South Africa, while public sector audits should conform to the Public Finance and Management Act and Treasury Regulations. This is to ensure one set of standards for all businesses and to ensure that financial statements are accurate and trustworthy.
Colin Smith & Co specialises in a variety of services including special purpose audits. They offer a variety of valuable auditing services and strive to deliver efficient and cost-effective services that will add value to your business.