Benefits of Having Registered Auditors in UAE
In UAE, an audit is a very extensive and complex task as it is mandatory for the companies to be audited annually. An audit is the independent examination of the financial report of an organisation by a third-party. The purpose of an audit is to form a true and fair view of the financial reports presented by the management. The registered auditors discuss the scope of the audit work request so that additional procedures can be planned to perform auditors maintain independence from management for objective functioning.
A registered auditor can be:
- Group of individuals
- An individual
who performs the examination and review of financial statements and is registered within the concerned free zone authority.
The conditions are:
- The registered auditor is required to comply with all the rules and regulations within the country
- The registered auditor has to ensure all the financial records are accurate and transparent
- The financial statements are to be prepared according to the International Financial Reporting Standards
- While reporting the standards and regulations of the free zones are to be considered
The subsequent documents required while conducting auditing are:
- Bank statements
- Credit/ debit confirmation for all financial transactions in the Books of Accounts
- All invoices-purchases and sales
- Trade License, Memorandum of Association (MOA), Articles of Association (AOA)
- VAT Certificate
Registered auditors gather evidence and notes from observations through their examinations that can be the foundation of their opinions and solutions that can be given to business owners. Auditors will check with third-party sources (like banks) to obtain evidence and opinions.
- Trading activities
- Accuracy and compliance of financial statements and records with standards
- Financial fraud, money laundering, creative accounting etc.
- Vat compliance and record maintenance
The major benefits are:
1. Compliance with the standards and regulation of the financial framework: Registered auditor reviews the financial statement and verifies compliance with the standards. They offer unbiased feedback to modify the financial statements and help to improve the financial positions by providing more informed decisions.
2. Prevent frauds and suspicious activities: Registered auditors provide advice and feedback on any transactions with a true view, identify the activities of the organization which can put the business at risk of possible fraud. Extensive research is conducted to determine financial crimes and suggest measures to improve the activities.
3. Enhance the credibility of the organisation: The organisation's goodwill and public image is improved by the independent examination of auditors. The reliability of the financial statements is improving the status of the company.
4. Suggest corrective measures: After a detailed review of your financial statements they provide areas of improvements and new control procedures to improve the financial health of the business. They suggest strategies and cash flow management techniques for the overall upliftment of the company
5. Implement quality control measures: Registered auditors help to limit the errors in the accounts prepared. The quality control measures can add more value to the financial statements.
6. Enhances the trust of shareholders: True and fair view of financial statements gains the confidence and trust of shareholders as a result they will invest more in the business and make it a profitable venture.
7. Prolonged benefits to the firms: The audit report prepared provides long term benefits such as modified operations, accounting controls etc. which will enhance the growth options of the company and creates a public image.
8. Assesses the overall financial system of the company: The registered auditors track the causes of errors, inconsistencies, misstatements in your financial statements and in your system altogether. They provide a stamp of approval on your accounting system for efficient functioning.
Benefits of Choosing CDA Auditors in UAE
CDA offers the best auditing services all over the UAE. Our expert team of professionals helps you in better financial management and business strategies. We value your trust in us. We offer you the best accounting and auditing services to accelerate you to achieve your business goals and fulfil your objectives. Our audit experts can assist you with your auditing requirements. We analyse your existing performance and will provide you with advice for the better performance in the awaited huge Investment Chance, and exploit the Investment opportunities for the visionary investors.
You may also read, Ways in Which Internal Audit Will Give Added Value to the Business
Besides providing Auditing services, we offer various other services such as Accounting Services, Vat & Tax Consultant Services, Implementation of Accounting Software Services, CFO Services and Business Advisory Services.
If you have any queries or need any of our services, feel good to contact us. We will give you a one-hour free consultation.