Today many businesses fail in managing the finance properly. So, one of the crucial aspects to be followed by any business unit is the auditing concept.
Auditing means maintaining an effective system of the company’s internal controls. Hence, it is a core business requirement that involves the assessment of evidence and documentation about a company’s economic and transactional activities. Audit firms in Dubai provide an independent, open-minded assessment of the financial statements, which increases profitability and reliability, thus decreasing the risk of fraud, and misappropriation of assets, and minimizing costs.
For an investor, it’s vital to know the core reasons for implementing an audit for its business but before that, you must clear your confusion regarding auditing: Are there different types of Audits? How can it be beneficial to appoint one of them? How does the business eventually grow by auditing a company?
Top main types of Audits:
- Internal Audit:
The role of Internal audit refers to a department located within a business that monitors the effectiveness of its processes and controls. His function is necessary in larger organizations with high levels of process complexity, where process failures and control breaches are more likely to occur.
- External Audit:
The role of External Audit is as an independent accountant who reviews the financial statement of the business and provide certification. This certification is required by some investors and lenders and for all publicly owned businesses.
- Revenue Audit:
The role of Revenue Audit is to compare tax returns with company’s tax records. This position is supposed to be necessary in industries to adhere to compliance regulations.
Auditing firms in UAE follow several other types of audits:
Types of Audits may vary in businesses, but their main aim is to ensure that the business is operating smoothly. Some of them are:
- Compliance Audit
- Construction Audit
- Financial Audit
- Information Systems Audit
- Investigative & Forensic Audit
- Operational Audit
- Cost Audit
Advantages of having Registered Auditors in UAE:
- Plays a safeguard against fraud.
- Improving operational productivity.
- Ensuring integrity and financial reliability.
- Ensuring compliance with statutory regulations and laws.
- Establish procedures for monitoring.
Importance of Auditing
Let’s move toward the five reasons that show the Importance of Auditing:
- Establish Accountability:
The importance of establishing accountability is mainly the role of Auditors in UAE. It can be structured according to shareholders and top management. Financial managers ensure compliance with the policies and deliver accurate financial reports.
2. Assign Complete Report:
Audit firms in Dubai usually provide full details of their findings to set up small or large businesses. For making any changes in the future, the same will need to be updated for a complete understanding of the financial information.
3. Encourage Value and Credit Rating:
Keep your financial statements consistent and up to date! It is a rewarding part for investors, lenders, and creditors. The audit stabilizes and improves the company’s credit rating.
4. Provide Efficient Reliability:
Audited financial statements ensure high reliability for tax authorities, financial institutions, and company management. Tax officials depend on an independent financial audit for the accuracy provided to calculate the tax.
5. Genuine Accuracy and Assurance to Business:
Leading Auditors in UAE offer 100% real and accurate financial stability of your business. Through the audit, ensure a well-executed audit process and avoid miscalculations of financial statements.
Which Company has the Best Auditors in Dubai?
With professional services and relevant industry experience, Real Time Auditors and Consultants serves as one of the leading audit companies in the UAE. Their auditors work with industry standards and provide informative results. You can have great support regarding any business need.
They are known for keeping up with the dynamic and ever-changing business environment, thus adapting to the changes and making sure your financial data is in the right hands! Get high-quality audit services from the best audit firms in UAE and achieve more success in your business!
