Audit-Ready: How SMEs Can Save Time and Money Through Proper Audit Prep

For many South African SMEs, the annual audit feels like a stressful, disruptive event. But it doesn’t have to be. The reality is, much of the frustration, cost, and delay associated with audits comes from poor preparation, missing reconciliations, unsupported balances, and unclear disclosures. In 2025, with tighter timelines and more scrutiny, being audit-ready is no longer optional, it’s essential.

Audit readiness means having accurate, well-organized documentation available before the auditors arrive. This includes reconciliations for all key accounts like debtors, creditors, inventory, and bank, along with supporting documents such as contracts, invoices, payroll schedules, and board resolutions. It also means understanding and articulating your accounting estimates and internal controls, areas often overlooked by SMEs but heavily scrutinized during an audit.

When companies aren’t prepared, audits take longer, cost more, and can result in qualified opinions that damage credibility with lenders, investors, and suppliers. Auditors are also less likely to trust your systems if basic errors are present, which leads to deeper testing, time-consuming queries, and unnecessary friction.

At RRG Advisory, we support SMEs by managing this entire preparation phase. We work alongside your internal accountant or bookkeeper to draft lead schedules, reconcile key balances, and clean up working papers. We also help you compile your accounting estimates, document your internal control environment, and ensure your financial statement disclosures are audit-ready. Essentially, we bridge the gap between your accounting records and what your auditor needs.

Preparing properly for an audit isn’t just about compliance, it’s a strategic move. It gives you peace of mind, builds confidence with stakeholders, and reduces the risk of nasty surprises. If your audit has felt painful in the past, it's probably not the audit itself, it’s the lack of preparation. And that’s exactly where we come in.