Audit And Assurance Services In Sharjah, UAE
Audit is no longer just a number game; it goes beyond reports and approvals that give a company a complete picture. Audit and assurance services are one of the core services you can’t avoid being a business owner or an entrepreneur to track your business. Every business is one of a kind, but they all share similar audit and assurance requirements. In Sharjah, every business requires an experienced auditor, not just someone who checks boxes and files checklists. When dealing with banks, investors, or partners, having a thorough, impartial, and independent audit can be advantageous for your business.
We run a thorough in-depth audit to help you to meet statutory requirements and regulations, for internal controls and business improvements, the credibility of your organization, and better financial decision-making.
We offer a range of auditing services, which includes-
- Statutory Audit
- External Audit & Internal Audit
- Financial Audit
- Tax Audit
- Compliance Audit
- Review Financial Statements and Operational audit
- Information Technology Audit
What are Audit and Assurance Services?
An audit can be defined as the interpretation and examination of business numbers. The company’s audit can be carried out by either employee of the company or by a third party. This decision has to be taken by the management as to how it wants to conduct the audit. Both options provide a different benefit to the business and the method depends on the business activity being performed and the requirement of the business.
An audit is one of the most basic services that need to be performed by a business. This function not only makes sure that the business is on the right track but also will ensure that all the necessary business compliance requirements are fulfilled. Making sure of this will help in increasing the profitability of the business.
It is recommended that all the business should prepare an Audit Report which will help the management to understand better the business activities and the standing of the business in the market. The preparation of an Audit report is the final step in the audit process and this comprises of all the various findings of the auditor during the audit process.
Assurance service is the process of analyzing. It is used in the assessment of accounting entries and financial records. Assurance services can be compliance-based or regulatory. Assurance service ensures whether a company follows guidelines, rules, and policy, and provides internal and external confidence for financial statements.
Different Types of Audit in an organization
Finace Consultancy comprises a team of experts and professionals who will understand your business’s requirements and accordingly provide the necessary audit services. Here are some of the different types of Audit:
1. Internal Audit
Internal Audit is an activity that can be performed either by outside people or by an individual who is an employee of the company. This activity comprises an independent and objective examination of all the financial data of the business. The proper assessment will assist the management in understanding the company’s present situation and how it will fare in the future.
This is a very important function to be conducted in a business because it acts as a tool to keep the company on the proper growth and development path. An internal audit will also add value to the business by uncovering any fraudulent activity taking place in the business. The internal Audit is conducted by people who are working on behalf of the company management.
2. External Audit
An external audit is the Audit of the company, which a third party is conducting. This third party is not associated with the company in any way. This will ensure that the auditor prepares the audit report without any bias or any pressure. The External Audit makes sure that all the client’s data provides a clear picture of the business’s current situation. An external audit is usually conducted once a year so that the company can get the correct and accurate records of the company.
3. Statutory Audit
Often, there are situations in which the government/authorities require an audit of the company to ensure that the business records are accurate. This is known as the Statutory Audit. In this kind of Audit, all the records, including the bookkeeping record, the bank balance, and all the business’s financial transactions, are taken into consideration. The Company/auditor has to submit the audit report to government/concerned authorities and helps the government/authority understand that the business has no fraudulent activity and to ascertain the correct profit and calculate taxes due to the government.
4. VAT Audit
This Audit is more concerned with the VAT services rather than with the examination of the records of the business. A VAT audit is an examination of all the ledgers and trial balance of the company by Approved Tax Agents. These are mostly performed to check if the company has calculated and accurately provided the VAT and to ensure that the business is complying to all the changes which have been made.
5. Financial Audit
Financial Audit is a scrutiny of the even-handedness of the information contained within the financial statements of a business entity. It implies an examination of the books of accounts and other relevant records. This will provide the auditor necessary information to give his opinion whether the accounts are properly maintained and complied with necessary statutory accounting or financial reporting and auditing standards. The basic objective of a financial statement audit is to provide an independent or third-party assurance that the management has, in its financial statements, presented a “true and fair” view of a company’s financial performance.
6. Compliance Audit
This type of audit is an examination of the policies and procedures of an entity or department to make sure if it is in compliance with the internal or regulatory standards. This audit is most commonly used in regulated industries or educational institutions.
Why is audit Important for Your Business - Audit Firms in Sharjah
Auditing in UAE has become mandatory in both the free zones and in the mainland. The authorities insist on filing audit reports as a compulsory requirement for renewing the license of the company in the Free-zones. An annual audit is required to be done in the mainland as per UAE commercial company law. The banks insist on filing an audit report for continuing the finance facilities wherever they have financed materially. Occasionally, suppliers or customers or other stakeholders ask for financial audit report. After the execution of the UAE VAT, the management of a company will have an additional responsibility to corroborate the revenue through the audit report.
Getting expert audit services in Sharjah helps in measuring the financial stability of your company in the UAE. It helps a business owner to form an opinion about the current processes of a business and also helps in making decisions about the future of the business. The audit report provided by audit firms outlines a precise and complete picture of the financial health of a company.
Audit and Assurance Services with Finace Consultancy in Sharjah, UAE
With the help of professional auditors, Finace Consultancy Audit Process will help you to understand the business loopholes and take corrective measures on time, which would ultimately affect your business in a positive way. Our audit experts will help you to understand the working of the business, and plan the relative actions accordingly. They hold industry experience and can cater to your needs accordingly. To have a word, do contact us-we’d be glad to assist.
Frequently Asked Questions on Auditing in Sharjah
There are many different benefits of conducting an Audit for a company. These are:
- Helps Maintain Compliance for the company and helps in understanding the business.
- Provides assistance in deciding the future path for the business.
- Helps in filing taxes and assists during company liquidation.
- Helps detect if any fraud is being conducted or any wastage of resources occurs.
- Helps increase the goodwill of the company.
The team or individual who conducts the Audit of a business is known as An Auditor. In a company incorporated in the Mainland, the management can choose any auditor as they please, but in the free zones, only an approved auditor can conduct an audit.
Small scale businesses often think they do not require a financial audit as an audit is an overhead cost burden with an added time and money investment. This is a vast misconception across businesses and the management should take care that periodic financial audits of a company are being conducted at regular intervals. Since its benefits outweigh the doubts. Audits should be periodically conducted via registered or approved auditors.
There are subtle differences between Internal Audit and External Audit in UAE. The differences mostly are with respect to what companies can conduct which kind of Audit, and does the auditor have any connection with the auditor.