If you are running your own business, you should assign somebody else to maintain your finances for you Doing both can be a bit overwhelming. You have to make sure you have certified accountants in Edmonton to look after your business finances. Although some business owners may think that it is best to do their accounting, not to mention that they believe it would be so much cheaper, it comes with its own set of disadvantages as well. When juggling too many responsibilities, there’s no doubt that mistakes will happen.
Sadly, such mistakes in the financial books of could create much more significant problems during the audit of your company’s financial statement. Whether it is an annual audit or a random audit of your firm within the fiscal year, it is essential that you know what to prepare. Not only will this make the review easier and faster, but it will prove it more efficient. Before the accounting firm in Edmonton comes in to do the audit, here are the things you must get prepared:
- Keep the Books Updated, Daily if Possible
If you want to save yourself from doing all the tallying days before the accountant arrives to do the audit, make sure you got all the books updated to date. In businesses when monetary transactions are formed on a day to day basis, it is suggested that you keep the books updated every day. Maintaining the books updated will help you not to forget essential transactions later. After all, the tally of the books will be the first thing that the auditor will look for. It is best that it is ready.
- Keep the Receipts Organized
Whether the audit will happen today or tomorrow, you have to make sure that the receipts are ready and are piled up accordingly. Whether it is incomes or expenses, everything must be arranged according to date. The chronological arrangements of the receipts will help keep the time spent double-checking book entries to a minimum. When the revenues are readily accessible to the accountant, it will make the auditing so much easier.
- Keep yourself Ready and Open to Questions
It is certain that the auditors will have their questions to ask. Ost of them to clarify the details of the expenses. Significant changes, whether it is the rise of fall in expenditures, will bring them to ask you some questions to help clarify and justify the changes. The other problems may concern the accuracy of the entries in the books. And then there are issues about tax compliance of the company. Be prepared to answer all the questions. After all, they are there to help you clear the books and get the balance that you need.
With so many things that need to be done to keep the business running, it is best to ask the experts to prepare all the necessary documents, including the books, for the audit. The audit is aimed at ensuring that you know the flow of cash in the business.