Evaluating company finance is one of the necessities that every organization needs to step in. A business entity’s ultimate goal is to earn a profit, but measuring the cost that gets involved in the entire process is one of the keys to success. The process of financial audit highlights different dimensions of financial sources and their implementation. The Government of UAE has been immensely provoking foreign investors for company formation. Be it a national or a foreign company; the government imposes a necessity for the entities to undergo a financial audit. This has also been guided to financial consultants in Dubai, who are continuously taking necessary steps to help the entities in the financial audit process. This article will give you an idea as to how the process gets conducted.
Financial Audit Process in the UAE
In the UAE, a business entity is expected to go through the financial audit and assurance process under a financial audit firm for accuracy. When it comes to implementation, an auditor goes through the following process.
Step 1: Planning
Planning stands as the first step when it comes to the implementation of the audit process. An auditor prepares a plan considering a holistic view of the management. He needs to consider the management processes, tasks performed etc. while drafting the plan. Towards the completion of the plan, it will also include aspects like ration analysis, highlighting the loopholes that need to be sorted on an urgent basis. Once a concrete plan gets established, it can be initiated further.
Step 2: Financial Audit Tests
In the audit process, be it an internal or external audit, an auditor tries to understand the different aspects of business by applying numerous tests, which are officially known as the audit test. The auditor also gets an exposure towards the company’s financial statements and also analyze them to gather the factual information.
Step 3: Account Analysis
In the next move, an auditor tries to analyze the company accounts and match the same with the audited documents collected in the previous step. The reason that stands firm behind these comparisons is that it projects a clear picture behind the changes that have been made in the accounts since the last audit. It also helps in understanding the next initiatives that are to be taken appropriately.
Step 4: Preparation of Audit Report
Once the auditor is done with the analysis and the projection, he moves towards the preparation of the audit report, that includes the information about the overall tasks being performed in the organization. Moreover, it contains the future projections, the company’s SWOT analysis, that will help the firm to convert the weakness into strengths, as well as the threats into opportunities respectively. After the preparation of the report, each department in the organization needs to be informed, and respective signatures are to be taken from the top management.
The complete financial audit process is an in-depth procedure that reveals the in and out of the company finance. It is a critical task that involves huge risks, analysis, and is always expected to be error free. To conduct the process in a more efficient way, it is advised to take the help of audit experts who have gained experience and is well-versed with the financial audit aspects.
JAXA's Financial Audit Process
At JAXA, we help our clients to understand and deal with the financial audit process. Ranging from understanding your business to providing tailor-made solutions, our experts take care of all the essentials. By outsourcing the financial audit process, you will be availing the following benefits:
- Have a clear understanding of your financial domain
- On-time report delivery
- Experts advise at every step
- A critical analysis of the business financial front
- Tailor-made solutions
- An in-depth analysis of your company’s finance
At JAXA, we follow the best practices to deliver the required services to our clients. You can entirely rely on our financial audit experts who will guide you at every step and will ease the process for you, which makes JAXA as one of the best audit consultants in the UAE. If you are planning to avail the same, do contact us-we’d be glad to assist.