Top Reasons to Get an External Audit Done in Dubai
The favourable business environment coupled with great planning of the UAE government has not only helped the economy to grow but is also the key reason for an upsurge in the number of businesses. This has in turn created a huge demand for various bookkeeping, accounting and audit firms in Dubai.
Top Reasons to Get an External Audit Done in Dubai
The favourable business environment coupled with great planning of the UAE government has not only helped the economy to grow but is also the key reason for an upsurge in the number of businesses. This has in turn created a huge demand for various bookkeeping, accounting and audit firms in Dubai.
What is Meant by an External Audit?
An external audit is a process whereby the financial health of a company is checked and inspected. It helps the entrepreneurs to do a reality check about the how the business is operating and also enables in making future decisions about the business. An external audit report helps in providing a comprehensive and precise snapshot of the company’s financial health and it is believed to be one of the most key documents that an investor wanting to invest in the company would look for. There are various categories of audit, such as internal, external and statutory audit services.
Key Reasons Why UAE Business Should Perform an External Audit
An external audit firm’s main objective is to scrutinise the financial statements of a company to decide if the statements they have prepared are accurate and made in compliance with the International Financial Reporting Standards. An external auditor typically evaluates the financial statements to make sure that the company portrays a ‘true and fair’ picture of their financial standing. There are various audit firms in Dubai who have expertise in external audits and can aid a business in preparing their company’s annual financial statements perfectly.
Compliance with UAE regulations
Gaining the Shareholder’s Confidance
Improve Company’s Credibility
Critical Examination of the Business & Professional Advice for Improvement
Help in Averting Frauds
Advantages in the Long Run
Internal Audit also go through Quality Control
External Audit Obligation
- The external audit of the books is mandatory for most of the companies or business entities operating in the free zones. However, the branches of any local or foreign companies may not need a check in most of the free zones
- All the company’s financial documents and books should be compulsorily maintained in an orderly manner
- The UAE Commercial Companies Law mandates the businesses to preserve their financial records for at least a period of five years and also mentions that the audit of the mainland companies is mandatory
- In some free zones, you do not need to submit the audited documents, but the preparation of the audit document is compulsory
- After the financial period ends, all companies get three to six months for completing their audit report and submitting it
To summarize, the external audit process offers various advantages for a business and must be conducted every year by a reputed third party. We at IMC provide a wide array of audit services and can also assist you if you are looking to outsource finance and accounting services. Our expert and highly-qualified professionals can help you in all the verticals such as Auditing, Bookkeeping, Finance and Accountancy, Business Advice, and Financial Planning services.
A Member Firm of Andersen Global
- 175+ Countries
- 525+ Locations
- 17,500+ Professionals
- 2350+ Global Partners
Need Assistance?
Get In Touch
We appreciate your interest in IMC and are eager to address your needs.
To ensure we address your needs accurately and promptly, please fill out this form. This will help us in identifying and connecting you with the appropriate team of experts in our organization.
We take pride in our responsiveness and aim to get back to you within a span of 1-2 business days. Your journey towards solutions starts here.
Companies we have worked with
