As the time for financial audits comes closer, it can create a stressful and difficult work environment for any business professional.
Getting your finances in order and looking for missing receipts and paperwork can take you away from other important jobs that need to be done. So, how can you better prepare for a financial audit?
You know that your audit happens at the same time every day, so you can plan for it ahead of time. Plan meetings with your auditor, delegate tasks, come up with a timeline, and begin gathering information and documents that will be needed. If you are prepared ahead of time, you can have stress-free audit fieldwork.
Learn from Past Audits
Review the recommendations from last year’s audits and see if there are any changes you can implement in the way you run your business. If your business faced certain financial challenges in the last year, make plans to address those challenges in the coming year.
Keep Your Data Organized
Keeping a secure and thorough database for any data and documentation is a great way to stay on top of things. All your data on business expenses, revenue, cash flows, payrolls, debts, assets, and so forth should be well organized and readily available. When the time comes for your financial audit, there won’t be a need to scramble to gather all the relevant data.
Be Available and Proactive During Fieldwork
During fieldwork, postpone meetings that aren’t urgent and clear up your schedule so that you are available for any last-minute questions or concerns. If your auditors need last-minute paperwork or information, you should be easy to reach. For the latest news and advice on business accounting, accounting technology, financial tips for small businesses, financial audits, and tax advice, visit Opulent Accountant today.