Matter
Internal Audit
Statutory audit tells you whether last year's numbers were right. Internal audit tells you whether the process that produced them can be trusted next quarter — and where money is leaking now.
This engagement covers
- Applicability check
- Risk assessment
- Process reviews
- Controls testing
- Reporting
- Follow-up
“They set up our Private Limited in under two weeks and explained every form before we signed it. The fee never moved from the first quote.”
Requisition
SH/COMPLY/INTERN
- Governed by
- Companies Act, 2013 — section 138 & rule 13
- Approach
- Risk-based, agreed scope per cycle
- Cadence
- Quarterly, or as the audit committee directs
- Reports to
- Board or audit committee
- Independence
- Cannot be your statutory auditor
Overview
Best suited to. Companies that cross the section 138 thresholds, and any business large enough that the founder can no longer see every transaction.
How we price it. One fixed professional fee, agreed in writing before any work begins, with government fees and statutory charges itemised separately and payable at actuals. If the scope changes, we tell you before doing the work.
What’s included
- 01
Applicability check
Whether section 138 actually applies to you on turnover, borrowing and paid-up capital — and what to do if it does.
- 02
Risk assessment
Where the real exposure sits in your business, so the audit plan tests what matters rather than what is easy.
- 03
Process reviews
Procure-to-pay, order-to-cash, payroll, inventory and cash handling walked through and tested against your own stated controls.
- 04
Controls testing
Sample testing with findings ranked by exposure, not listed alphabetically.
- 05
Reporting
A report the board can act on — finding, risk, root cause, recommendation and owner.
- 06
Follow-up
Previous findings re-tested each cycle, because an internal audit report nobody closes out is theatre.
Documents required
Collected once, digitally. We check the whole set before anything is filed — document problems are what turn a two-week job into a six-week one.
Financial
- Trial balance and ledgers for the period
- Bank statements and reconciliations
- Purchase, sales and expense registers
- Inventory records and physical count sheets
Process
- Existing policies, delegation of authority and approval matrix
- Access lists for accounting and banking systems
- Vendor and customer master data
- Previous internal or statutory audit observations
How it works
- Step 01
Scope agreed
Risk assessed with you and the audit plan agreed in writing with the board or audit committee.
- Step 02
Fieldwork
Processes walked through, controls tested and evidence gathered, with minimal disruption to your team.
- Step 03
Findings discussed
Draft findings put to management first, so the final report contains no surprises and no misunderstandings.
- Step 04
Reported and followed up
Final report to the board, with owners and dates, and prior findings re-tested next cycle.
Questions
Q1Who is required to appoint an internal auditor?
Section 138 read with rule 13 requires it for every listed company and for other companies crossing prescribed thresholds of paid-up capital, turnover, borrowings or deposits. We check your position against the current thresholds before quoting.
Q2How is this different from statutory audit?
Statutory audit gives an opinion on the financial statements to shareholders, once a year, looking backwards. Internal audit reports to the board on whether controls and processes are working, continuously, and is designed to change what you do next.
Q3Can our statutory auditor also do it?
No. Section 144 prohibits the statutory auditor from providing internal audit services to the same company. They are deliberately separate appointments.
Q4We are below the threshold. Is it still worth it?
Often yes, once you are large enough that the founder cannot personally see every payment. The usual findings — duplicate vendor payments, uncollected receivables, weak approval limits — tend to pay for the engagement.
Something specific to your situation? Ask us directly — we answer within one working day.
Next step
Get a written quote for internal audit.
Tell us your situation in one message. We come back with the scope, the documents required and the total cost — before any work begins.