The management of companies in UAE and around the world has established a set of rules and regulations that they follow. UAE companies, particularly public-listed ones, must conduct business transparently and fairly. Companies in Dubai are subject to company laws in all countries. T
hey must submit periodic audits of their operations to the relevant authorities and to the company’s management. Dubai companies must be prepared for Internal Audit, and to work with the auditors to resolve any issues. The auditing process is not difficult for most companies. Let’s look at some of the audit issues facing UAE companies:
Compliance And Legal Requirements
Numerous UAE Free Zone authorities made it compulsory for all types of companies (Free zone Company and Free zone Establishment), registered in their areas, to submit audited financial statements annually. Only the annual audit report is required to renew the free zone license.
This compliance requirement has been mandated by some UAE Free zones, such as Jebel Ali Free Zone(JAFZA), Dubai International Financial Centers (DIFC), Dubai Airport Free Zones (DAFZA), Dubai Silicon Oasis (DSO), Dubai World Centrals (DWC), Dubai Creative City Fujairah).
Internal audit firms in Dubai must submit the Company Liquidator in order to prepare the liquidation documents. Additionally, UAE branches of foreign companies must submit audited financial statements of branches that are registered in UAE. Companies operating in UAE must comply with the following requirements.
Bookkeeping and Accounting Expertise
An audit of company accounts and records is required for a Financial Audit. Many businesses, particularly small and medium-sized businesses, make poor accounting and bookkeeping mistakes. Many small businesses employ one bookkeeper to manage their books.
A certified internal audit in Dubai specialist is needed to complete the books and give insight for company owners. SME sectors also can’t afford full-time CFOs, or professional management accountants who provide expert guidance in bookkeeping accounting. Companies in Dubai and UAE without expert guidance can face significant difficulties with inefficient bookkeeping and accounting.
Requirements From Third Parties
The success and growth of a business depends on its capital availability and cash flow. Companies may use non-banking financial institutions and banks to meet their monetary needs. Companies must have their accounts audited by an approved audit firm. Companies in Dubai and UAE may also be required to submit audited financial statements regarding their financial solvency and true credentials to do business with them.
Process Efficiency and Fraudproof Internal controls
A well-written audit report that contains only minimal findings will increase the trust of shareholders and improve the company’s reputation in the marketplace. To maximize efficiency and reduce the chance of frauds that could affect the company’s reputation, companies must have solid and reliable processes. The Internal Audit allows the company’s management to put into practice robust anti-fraud measures.
Internal audit service UAE specialist with experience can help the company assess the risk of fraud and develop fraudproof mechanisms to the company’s advantage. The UAE offers external audit services that help companies review their internal controls. This review will allow the management to determine whether there are adequate approvals and authority checks.
Audit Plan and Execution
A business audit must be executed and planned with minimal disruption to daily business operations. The internal audit services in Dubai should be contacted by companies to coordinate the dates and schedule of the audit. Inadequate planning can lead to delays in audits and frequent disruptions of business activities. A delayed audit and an inadequacy in reporting will reflect poorly on the company.
Before the audit begins, companies must plan and prepare thoroughly. For a smooth audit, the dedicated team must ensure that all internal department accounts are available and sorted chronologically. It is important to make available all process controls and supporting SOPs documents. Also, the dedicated personnel must ensure that all accounting books and bills are current before the Audit. Failure to comply with the pre-audit requirements can lead to delayed audits.
What Internal Audit Firms in Dubai and UAE Can Help Your Company Succeed
Internal audit firms in Dubai and UAE is one of the most reputable accounting and audit firms within the UAE. Our firm works with UAE companies to help them prepare for the Audit. We study and suggest process controls.
Our internal audit experts can also help companies set up accounting, bookkeeping and payroll processes that are consistent with international standards. For any questions regarding the audit of a company, please contact us. We would be related to help you succeed in your internal audit process. Visit our website too to learn more about our services in UAE
