4.10.2022 | Tax

Are you audit ready?

Beaton Group’s Nick Marshall shares top tips on taking out the hassle factor of impending financial audits.

For those companies whose financial accounts are subject to audit, there are ways a company can prepare and help the audit process run smoothly. These include working closely with the auditors at the planning stage and ensuring all processes and records are up to date.

Have an early audit meeting

It’s a good idea to hold a meeting with your auditor ahead of the event, and this is part of our process here at BG Audit.

This will give you the chance to ask any questions and allow you and your auditor to discuss anything that could require extra research by the auditor, therefore avoiding time added during the audit. It will also allow you to go away and formulate a plan of action with your team, delegating roles and ensuring all actions are completed smoothly before the audit begins.

 Reconcile regularly

Ensure the key balance sheet control accounts are reconciled before the audit commences. This will prevent delays in the audit process. It will also ensure that the financial statements subject to audit do not change several times during the audit.

Look back at prior audits

If your business has been previously audited, make sure to check back over any issues that were raised. There might be something that took extra time or an area you were given advice on that you need to make sure doesn’t cause issues this time around. Or it may be that there’s extra preparation you can do to avoid the same hold-ups or further research by the auditor.

Consider the audit pack closely

At BG Audit, we send all clients an audit pack ahead of the fieldwork. It’s important to ensure that all relevant staff members receive this and can complete the pre-audit tasks requested to ensure that the fieldwork goes smoothly.

Designate one staff member to be the auditor’s point of contact

Having one person in charge of communicating with the auditor is a good way to keep things moving efficiently. It’s likely that the auditor will have questions, and information will be exchanged regularly, so a single point of contact where possible is often a sound approach.

For more information, please contact BG Audit at info@beatons.co.uk or call 01473 659777.