Switching external auditors can offer a fresh start, but skipping key steps can lead to roadblocks. Use this audit checklist to transition smoothly.
When company leadership takes proactive steps to prepare for a new external auditor, the transition is far more likely to go smoothly. An audit firm that gets up to speed quickly will be poised to deliver on the merits that helped it win the job: improved responsiveness, better audit quality, or deeper insights into financial reporting.
However, if a company fails to plan adequately, a disjointed transition could delay the audit process, strain working relationships, and even put financial reporting deadlines at risk.
Public and private company leaders that help oversee the audit – including audit committee members, CFOs, and private equity group (PEG) managing directors – can help minimize transition risks by following this audit checklist.