5 Tips for Cost-Efficient Audit Readiness
by Gardner Oleson, Technology and Manufacturing Practice Leader
#1 Make sure the firm you hire is qualified to do the work. If they are not experienced as auditors themselves, it is highly unlikely they will understand the issues your auditors face.
#2 Avoid audit adjustments. If you hire a qualified firm for audit readiness, you may avoid expensive and time-consuming adjustments during the auditing process. Delivery of audit readiness services according to established best practices avoids the need for adjustments.
#3 Negotiate a fixed audit fee. Most audit fees these days are fixed but include a clause for additional billings if your books and records require significant audit adjustments. Negotiate a lower fixed fee with no additional billings if no audit adjustments are required.
#4 Improve the efficiency of the auditing process. Sometimes, audit firms will cooperate with the audit readiness service provider, resulting in fewer audit adjustments and additional billings.
#5 Know your auditors. Successful audit readiness requires understanding the processes and requirements of your auditors so you can ensure you have a smooth and successful audit. If this is your first audit, get a sample template of financial statements and footnotes from your auditing firm to clearly understand and proactively address their requirements. Each firm is different.
Charles River CFO, Inc. provides exceptional financial leaders who deliver customer-focused solutions. Our audit readiness services are delivered by CPAs and experienced ex-auditors. We identify any transactions or disclosures that do not appear to be in accordance with GAAP, and we create a comprehensive audit binder.
If you’d like to discuss how your company can benefit from best practices for audit preparation, don't hesitate to get in touch with us at (781) 431-0420 or email us.