What is an audit and why have one?
Mandatory for some and optional for others, an audit provides a robust review of your accounts to ensure that the charity is running smoothly. An audit provides a source of third party assurance that the financial date being used by senior managers and trustees to make key decisions is accurate. An audit will also help confirm that important issues such as the monitoring and management of restricted funds are in line with SORP requirements. We find that in increasing number of major funders now attach a ‘funding premium’ to an audit report i.e. these funders express a preference for audited financial statements in support of an award, even where the Charities Act may not require one.