What Are the Benefits of an External Audit?
Business owners often spend copious amounts of time managing their company’s financial information. Accounting is the primary tool for recording, reporting and analyzing financial information. Business owners can use external audits to review their accounting process and financial information. Public accounting firms are usually responsible for conducting these audits. Professional accountants will interview the owner, discuss the accounting process and test the company’s accounting information. External audits offer several benefits for small business owners. Provides Validity External audits provide an objective opinion on a small business’ accounting process. Many small business owners do not have an in-depth understanding of accounting principles. They simply prepare accounting information the best they can according to basic accounting rules. Professional accountants can review this information and provide business owners with insight on the accuracy and validity of the accounting
