An external auditor is an independent, third party professional who performs an impartial review of the financial records of an organization. They are responsible for examining their client’s accounts and financial statements, and preparing impartial reports of the findings, including any irregularities. They will typically report to the management and provide improvement recommendations.
The independent role of an external auditor is important for reinforcing the credibility of a company’s financial statements and compliance with regulations. Auditors are also able to objectively evaluate the effectiveness of internal controls within the company.
External Audit is necessary for all listed Companies, Banks, Insurance Companies, etc. Also the audit report signed by an external auditor is mandatory at the time of license renewal in most of the free zones in the UAE, getting a loan or facility from the bank etc.
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