It's common for companies to audit their own accounting practices. It makes sure there are no financial inaccuracies and keeps operations on a smooth path. If you're hiring an outside company to conduct this audit, here are some things you want to do to prepare.
Utilize a Digital Recording System
Well before this accounting audit is performed, you want to have some sort of digital recording system in place for all financial activity related to your company. That's going to make it much easier to hand out relevant accounting documents when the auditor requests them throughout this process.
You won't have to track down physical forms or worry about them getting lost because you'll have digital records to sort through. As long as your digital recording system has a standard search feature, you'll be able to pull up requested accounting documents quickly during this audit.
Properly Communicate with Accounting Team
Your company probably has a specialized department that handles all accounting. The professionals within this sector of your business need to know what's coming their way when this accounting audit kicks off. Keeping everyone on the same page is possible if you properly communicate before and during the audit.
Let your team know what type of questions they'll be asked by the accounting auditor and what data they'll probably need to retrieve. You should use a dedicated communication platform that is specifically designed to aid conversations between you and your accounting department. Then everyone can talk about this process in an uninhibited way.
Get Familiar with the Auditing Company
During this accounting audit, you will be working with an outside company. Multiple professionals will be involved in this accounting audit because there are many tasks that need to be monitored and analyzed carefully.
Introducing yourself to this team and getting to know them well will ultimately facilitate an accounting audit. You'll be able to identify each member's role in the auditing team and gain access to their contact numbers. Then if there are questions that ever come up or you need further clarification on a requested accounting form, you'll know who to reach out to.
Ensuring fair and accurate financial reporting can be achieved when accounting audits are performed. Whether you have them conducted every year or couple of years, you'll be working with an outside company. If you prepare for these meetings in advance, you'll experience a more structured and faster process.
For more advice, contact a company like Berdon LLP.