Why you should be audited before you sign an audited contract
Posted November 01, 2018 09:07:15With the advent of digital auditing, you’re now in a better position to be confident that your financial decisions are sound.
But you also need to be aware of potential pitfalls that can arise when you sign a contract.
Here are a few things to look out for.1.
Contract terms are too shortThe length of an audit contract is a key factor in ensuring you’re being audited fairly.
A shorter contract can result in a contract that’s shorter in length than it should be.
For example, if you sign your contract at a length of eight pages, the audit will only take three minutes to complete.
This could make it difficult to understand your contract terms and how they apply to your circumstances.2.
You can’t see the contract on the internetThe length and scope of the contract is another critical consideration.
The longer a contract is, the more complicated it becomes to read it online.
A contract that spans a number of pages on your computer may look like a contract to the uninitiated, but it could be a document that you need to read again and again to understand how the contract applies to you.3.
The audit is not as accurate as you thinkThe audited financial statements you see on your contract may be wrong.
If you don’t understand what’s going on in your financial statements, you might not have an accurate picture of what you’re paying for.
For this reason, it’s always best to verify your financial information before signing a contract, especially if it involves investments.4.
The contract is not accurate or completeThe financial statements in an auditable contract aren’t always complete.
If they’re not accurate, they can also be misleading.
If the contract includes an obligation to pay, it may be impossible to fully understand the terms of the agreement.
For these reasons, it is best to check with your financial institution first to verify the contract terms.5.
Your financial institution may not be able to verify what you’ve agreed to.
For example, a financial institution might not be in the best position to audit your account due to the fact that the company is owned by a broker, which has a fiduciary duty to act in your best interests.
In addition, if the financial institution’s audit doesn’t reveal any significant inaccuracies in the financial statements or the contract, you may not receive the results you’re expecting.6.
The financial institution has a history of having financial problems, such as high or declining returns, and may be less than happy to audit the contractIf the financial institutions’ financial issues are clear, they may not have a history with you.
For the most part, they’re fairly honest, and it’s better to get your financials audited in line with their standards.7.
The audited account isn’t as transparent as it shouldBe aware that you can’t know for sure what’s in your bank accounts until you audit them.
For many people, the most transparent accounts they can use are the ones they’ve already set up.
If your bank has a poor record, it might be difficult to tell how the accounts are managed, especially as you’re signing a new contract.8.
You’ll have to sign a different contractIf you’re auditing a contract and it looks too long or doesn’t provide the detail you need, you’ll need to revise the contract to provide more detail.
For most contracts, the length is an issue.
It’s usually easier to add a few more pages, and if the contract doesn’t include a requirement to pay upfront, it will likely be more cost effective to audit.
However, it should also be noted that a shorter contract may require you to pay less upfront for it to be effective.