Be ready for the auditors. Complete all the items listed in the year-end letter before the auditors arrive. Auditors are busy people, scheduling jobs weeks in advance. When they arrive at a job, they expect the client to be ready for them. Waiting for information and extra unplanned trips to the client’s site cost time and money.
Ensure that pertinent staff are present for the audit. Auditors always have questions for the financial and related staff. If the related staff, CFOs, department heads, bookkeepers, etc. are in the office and available during the audit, it makes for a more efficient audit.
Research significant fluctuations from prior year financials (balance sheet and income statement) and prepare an analysis. Being prepared to explain differences will not only save you time answering auditor questions but will provide you with further insight into your own operations. Make this the first item you provide the auditors.