Auditing For Interior Design Companies

Auditing Services for Interior Design Companies in UAE

UAE commercial company law covers all companies operating in the UAE under the same guidelines related to auditing, and while zonal laws may differ, the requirement of auditing and accounting of all assets and valuables remains the same. Auditing companies like Charles and Darwish Associates take care of this especially well, leaving no chinks in your company’s financial armour.

Effective June 2023, the new Corporate Tax Law has made companies review and renew their entire working structure and cash flow. As a result, complete and foolproof audit reports are mandated for companies, especially foreign branches, to keep their businesses thriving. 

With every organisation with a market base in the UAE falling under this umbrella, the audit process for different companies looks slightly different, even though the general process remains the same; hence, CDA meets their audit requirement without any hesitation. 

Importance Of Timely Audits for An Interior Design Company in the UAE

Interior design companies make an interesting colour in the UAE market spectrum. While other companies have a more generalised setup, flow of funds, and dynamics, for interior design companies, it gets trickier. With these companies working with creativity and material procurement for design building, there is a lot more that needs to be accounted for, and the creative process needs to be reviewed. 

With different internal control systems in place, interior design companies’ auditing needs a well-planned strategy. Bringing in auditors who also understand creative processes is a sure shot way to make sure the audit process goes smoothly. Auditing firms like CDA in UAE house some of the best professionals out there for audits and financial reviews. The advantage over consulting an auditing firm for the herculean task of the entire audit review process is that the company can sit back and focus on personal growth and profits instead of having to worry about financial reports. 

Allow Auditing Firms Like CDA To Handle The Hard Tasks 

The major benefits of conducting an audit are compliance with market laws and assurance to the stakeholders or investors of the company. 

In the process of financial reviews and auditing, CDA brings to the table some of the best professionals well-equipped to handle reviewing your company’s financials- identifying any vulnerabilities in your company’s armour, and suggesting ways and measures to tackle the same. 

Vulnerabilities and risk management are a given in any audit firm's working profile. CDA takes it one step further by engaging in every existing working corner of your interior design company, be it creative stages, design, or materials procurement, making sure that each and every step is well accounted for. From the initial stages of planning until the issue of bringing together every financial finding under one report, everything is taken care of- while leaving you to play with your creative side in the company. 

Overview of the Audit Process by CDA Experts:

While audit processes look different for different categories of companies, the general process remains the same. So even if you are consulting us for your Interior Design company, you can expect the audit process to look like this:

• Planning:

The first step with regard to financial planning and auditing is to figure out how much of the audit process is necessary and provide an estimate of the time required to do the same. The entire business’ process and operational area need to be understood, and any mishaps in the finances of the company need to be brought to light. 

• Financial systems and account analysis: 

The crux of an audit review lies in the understanding and evaluation of the company’s financial systems in place and the operational procedures that are followed. Internal controls are reviewed, and each and every financial statement is corroborated for validity. 

Account analysis is done to ensure that there are no major risks or changes since the last audit report. Considering the business model of an interior design company, each facet-project-based audit would be run, and the findings would be corroborated with the company’s financial reports.

• Operational and investigative audit:

Since there are multiple operational edges to an interior design company, each and every operational process in the business model will be reviewed by CDA. An investigative audit simply means that all these facets will undergo an investigative process as well, just to make sure that the review corroborates and is found to comply with the market laws. 

• Financial report:

The final stage would be to prepare the actual audit report and list down each and every financial statement as a record in there. This is the most important stage of the entire report. There is also a separate time requirement for this- however, once this is done and every corner of your business is accounted for, the final report goes to the authorities. 

Apart from this, if you have plans of expanding your business- open up a different branch, taking your brand online, or revamping your business structure—all of that is taken into account at CDA. 

CDA’s Audit Process for Your Interior Design Company:

Interior design companies show a few key differences in their auditing process, like: 

• Design and procurement: Since interior design companies work with creative strategies and have a significant focus on design and procurement, your auditors need to have a good understanding of these areas to effectively assess the company's financial health.
• Project-based work: Since interior design companies work on a project basis, CDA will understand the company's project management process and assess the risks associated with each project and its operational structure.
• Creative industry: As a given, interior design is a creative industry. The unique nature of the industry and the challenges that it faces will be well understood and taken into consideration at CDA.

In addition to the above, there are a few add-ons that are anticipated when reviewing the financials of an interior design company:

• Copyright and licensing: Creative processes give birth to unique ideas and creations. If your interior design company often needs to obtain copyrights and licenses for their designs, CDA’s auditors will need to assess the company's compliance with copyright and licensing laws.
• Professional liability: Since the working procedure is a lot different than that of other companies- interior design companies may face professional liability risks. Assessment of the company's risk management procedures for these risks becomes crucial to consider before preparing the financial report.
• Sustainability: If you have sustainability-oriented goals for your interior design company, our auditors will need to assess the company's sustainability initiatives and compliance with sustainability standards as well.

Bring in CDA As Your Partner For The Financial Year

The UAE consists of some of the best firms to consult- and CDA is one of the top ones on the list. Whether your requirements fall under the quarterly or yearly based financial system, CDA is variably able to help you handle all of these issues with your company and assess the risks and vulnerabilities for a smooth future run of your company. 

At CDA, we consider your finances to be the most crucial base of our organization. Here, reviewing and managing your company's financial strength is a given, along with identifying the best operational processes and systems for a better run for your financial years. Give us a call if you value transparency and clarity in helping with your businesses.