“Audit” the word is enough to make people cringe. When it comes to audit the first thing I see that an auditor coming to look through something that I have failed to report on the taxes. It’s dreadful I tell you. But yes, if you, from the beginning have someone to manage your accounts, you can surely ignore the last minute hassle. Besides, auditing will help you to find the loopholes in the accounting system and then you will know whether you continue with the present accountant or not. Let’s have a look at some points that prove audit is of the utmost use;
- As an auditor looks through every detail, identifying the weaknesses in your accounting system that you have carried on for so long will be easier. Moreover, not only does he pinpoints the issues but also suggest a solution.
- Audit enhances the reliability of the figures that are submitted to the prospective purchasers.
- Once the audit is over you can publish the information for the suppliers, tax authorities, customers, and employees. In short, audit adds to the credibility.
- Most importantly, audit assures the shareholders that the figures shown and true to knowledge and fair.
- Auditors, as I mentioned, are good. And the wisest thing about them is that they provide suggestions to your business, like expected financial margins and how they can be obtained. They also advise on how to improve the accounting loopholes.
