Preparing a statutory audit: the executive checklist
Supporting documents, internal control and the points that give rise to unnecessary exchanges.
By Auditors and accounting reviewers
A first statutory audit, or a diagnostic review before a transaction, moves faster when documents and approval circuits are ready.
Documents to gather before the first visit
Up-to-date bylaws, minutes, significant contracts, fixed-asset schedule, bank reconciliations and stock counts. These are requested in almost every audit assignment.
Internal control matters as much as the accounts
The auditor assesses segregation of duties, spend-approval circuits and access trails. An SME does not need a heavy manual: one page of clear delegations already removes many observations.
What gives rise to unnecessary exchanges
Uncleared suspense accounts, undocumented related-party transactions and provisions without an explanatory note. Three points to settle before the audit team arrives.
