How is your company fairing on since entering the Hong Kong market? Do you feel the performance is satisfactory or under par? The best way to understand the company and craft winning strategies is carrying a Hong-Kong company audit. This post brings you the 5 key points you should know about a company audit.
Reliability and integrity of business information
The information used by auditing services to do their assessment has to be carefully validated. If the auditors rely on the wrong info, the resulting report will be incorrect.
The data from the books of accounts, business management system, and regular operational reports should be provided to help auditors understand the procedures and systems. The audit might be extended to the systems involved in gathering information in business.
Compliance with policies, plans, procedures, laws, and regulations
The Hong Kong company audit gives special focus on business compliance with various policies, laws, and procedures established by law. If your business is not compliant in one or another area, the auditors will tell you and advice on how to be compliant. In many cases, poor compliance to laid policies, regulations, and procedures can easily cause unnecessary court battles, penalties, and even risk of closure. The business is also distracted from the main objective. This could compromise all the pre-established strategies.
Safeguarding of business assets
How secure are your business assets? Your company audit will help to identify loopholes that can easily consume the business assets. They will focus on every type of asset from human resources, cash, bank accounts, properties, and even contracts. Often, auditors encourage investors to separate their assets from those of the business.
They could also recommend using SPV (special purpose vehicle) to separate and protect the business assets. The simplest method of keeping the business assets secure is registering a limited liability company.
Hong-Kong company audit of Economical and efficient utilization of resources
The way a company utilizes its resources is very crucial in determining the success at every level of operation. From raw materials acquisition, human resources management, production, marketing, and corporate social responsibility, the audit will help to establish whether the resources are used appropriately.
This assessment also targets to establish whether the resources are delivering the targeted objectives. For example, if the company has taken to a specific model of corporate social responsibility, it is important to determine whether the brand image is getting influenced positively.
Accomplishment of pre-set objectives and goals for business operations
When you started the company, the main driving force was the core objectives and operational goals. The Hong-Kong company audit helps to trace these objectives and determine whether they have been achieved or not. In many cases, companies break the main objectives into small achievable targets for every department.
For example, the marketing, human resource, production, and other departments might have specific goals. In other cases, these goals are reviewed regularly so that the business continues moving towards the main objective.
To grow your company rapidly, it is crucial to carry a Hong-Kong company audit with an objective of establishing what is working and areas the business is failing. Great audit companies will even go a step further to draw major recommendations that your business can implement for change.