AUDIT AND COMPLIANCE
An audit can help reduce the chances of any problem arising in the course of an HMRC investigation.
In addition, whilst most smaller businesses will not be required by law to have an audit, there are other good reasons for having one nonetheless:
An audit involves a detailed review of the company's accounting systems and systems of control. It also requires a detailed understanding of the company's business. Such a review and knowledge can highlight business opportunities to improve turnover and profit or reduce costs.
An unqualified audit report can improve the view of not only HMRC, but also banks and other lenders or investors, and also suppliers who may be seeking credit references, etc.
A history of accounts with clean audit reports can help if you ever wish to sell the business.
The risk of fraud can be reduced and the possibility of an audit can put off any potential fraudster.