The Measure Of Success: Why An Audit Is Essential

The main point of an audit is to give a stamp of approval to outsiders, however it also plays an important role in encouraging investment and creating wealth. Read on to find out how an audit could improve your business processes and profitability.

There is a statutory requirement for companies with a turnover of £6.5 million or more to conduct an annual audit, but many smaller companies still choose a voluntary audit because it makes the cost of finance cheaper and serves as a corporate health check. Audits should be integrated into the overall management strategy, used as an objective assessment of the business model and operations as well as a source of credibility and confidence.

For many companies, March represents the end of the financial year so this is a good time to plan for the future and ensure next year’s accounts are even better. If you fall below the threshold, or regard your audit merely as a necessity for legal compliance, consider the added value it could be providing.

The audit process goes much further than most people realise. Due diligence and checking for fraud are essential functions of course, but an audit can also reveal a company’s strengths and weaknesses, such as whether systems and controls are working efficiently.

At CBHC we turn the data gathered during an audit into useful management information to help clients refine their business plan and identify areas for improvement – for many companies the audit is the only time that the organisation is subject to systematic and objective scrutiny. Far from being a threat, a rigorous audit conducted by industry specialists can significantly increase a company’s efficiency and profitability.

Our audit team works within a variety of industries and offer a wide range of services, including:

• Statutory annual audits for medium and large sized organisations

• Specialist audits for public and private clients

• Interim and non-statutory audits to support business planning and forecasting

In addition, our team offers a number of added value services which can inform decision making and facilitate growth, including:

• Control systems reviews to increase efficiency

• FSA regulated businesses and pensions to ensure compliancy

• Risk assurance to protect your assets and underpin confidence

• Corporate governance to cement social responsibility credentials

For more information about the range of audits and added value services we can provide, please contact our Audit Team.

25 February 2010