An independent look at how the work actually gets done
Internal audit answers a different question from the statutory one. Not "do the accounts show a true and fair view" but "is anyone checking that the person raising the purchase order is not also approving the payment".
We are appointed by you and report to you. Where the Companies Act requires a formal internal auditor under s.138, the appointment is made by your Board.
Areas we review
- Purchase to payment
- Order to cash
- Payroll and reimbursement
- Inventory and stores
Areas we review
Purchase to payment
Ordering, receipt, three-way matching and vendor payment — where the most common leakage sits.
- Whether the purchase order actually precedes the invoice
- Three-way match between order, goods receipt and invoice
- Who can change the vendor master, and who reviews it
- Advances paid and whether they are ever adjusted
Order to cash
Billing accuracy, credit control, collection follow-up and credit note authorisation.
- Prices and discounts checked against the approved rate master
- Credit limits, and who is able to override them
- Receivables ageing and evidence that follow-up happened
- Credit notes: who raises them, and against what
Payroll and reimbursement
Headcount to payroll agreement, statutory deductions and expense claim controls.
- Headcount reconciled to the payroll register
- Joiners and leavers processed in the correct month
- Statutory deductions computed and deposited on time
- Expense claims tested against approval limits and bills
Inventory and stores
Physical verification, valuation, slow-moving stock and write-off authority.
- Verification coverage, and whether the counter is independent of the storekeeper
- Valuation method applied consistently across items
- Slow-moving and obsolete stock actually identified
- Write-off authority, and the documentation behind each one
Cash and banking
Cash handling, bank reconciliation discipline and segregation of duties.
- Cash on hand verified against the book balance
- Reconciliations prepared monthly and reviewed by someone else
- Payment authorisation limits observed in practice
- Recording separated from custody
Statutory compliance calendar
Whether the filings that should have happened actually happened, and on time.
- Each filing traced to its acknowledgement
- Challans matched to the return they support
- Registrations still current and not lapsed
- Last review's observations checked for recurrence
What we check the filings against
- the compliance calendar
One of the review areas above is whether the filings that should have happened actually did. This is the same list we check against — published, so you can run the check yourself between reviews.