Statutory Audit

Do you know why you need an audit or why you should have one?

The main reasons why you will be required by law to have a statutory audit are...

1.      Your turnover exceeds £6.5million or your gross assets exceed £3.26 million or the company is part of a group that exceeds those limits;

2.      You are a PLC or a banking, insurance or finance company (or a subsidiary of one of these);

3.      You are required by your professional or trade organisation to have your accounts audited;

4.      Your shareholders do not agree to opting out of the audit.

Here at Thompson & Co Ltd, we can advise you if an audit is required and if not, you can save on accountancy fees!

However, the aim to deliver accurate audits and there are good reasons for having an audit even if you are not required by law to have one...

  • An audit involves a detailed review of the company's accounting systems and systems of control and also requires a detailed understanding of the company's business. Such a review  can provide increased opportunities to be proactive in your business;
  • An unqualified audit report can generally improve the status of the company accounts in the eyes of banks and commercial lenders, the Taxman and suppliers who may be seeking credit references, etc;
  • A clean audit report history can also be beneficial when retirement looms;
  • The chances of fraud can be reduced and an audit can act as a deterrent to any potential fraudster.