Why Audit?
The current audit threshold is set at a turnover of £5.6 million per annum (£500k income for charities). Although many of our audit clients fall under these exemption limits, we still provide audit services to many such clients by virtue of their regulatory or constitutional requirements (as is the case with Charities), or due to the wishes of the shareholders under s249B(2) Companies Act 1985.
Companies House reports that 93% of the complaints it receives about the credibility of accounts are in respect of companies that have not had their accounts audited. At a time of ever increasing regulation, the audit process offers company shareholders, investors and other stakeholders another layer of corporate protection.
Linn Maggs Goldwin's clients, especially those who choose a voluntary audit, often receive value-enhancing savings by commissioning an audit, even when they do not legally require one. In addition to the obvious need to detect and highlight material fraud within a company, other principal benefits include:
- Ensuring the company is complying with its regulatory, legal and taxation responsibilities.
- Advice on financial and business processes to assist management to run businesses more effectively.
- Identify opportunities for minimising corporation tax, VAT and other tax liabilities.