Abu Dhabi Airport Free Zone (ADAFZ) is the free zone that operates Abu Dhabi Airports’ Free Zones, a Logistics Park, Business Parks, Business Centers and One Stop Shop Services. Its jurisdiction spreads across more than 10.6 Km2 around Abu Dhabi International Airport covering five commercial districts: Logistics Park, Business Park, Destination Village, Al Falah District and Airport City.
| – | Why is ADAFZ Auditing required? |
| – | How should companies prepare & maintain accounting records for an ADAFZ Auditor? |
| – | Requirements to hire an Auditor in ADAFZ |
| – | Benefits of Auditing in ADAFZ |
| – | Documents required for auditing in DCC |
| – | How can Mubarak Al Ketbi Chartered Accountants help you in ADAFZ Auditing? |
Why is Abu Dhabi Airport Free Zone Auditing required?
Accounting is necessary for all businesses in the UAE. This is because accounting allows a business to extract and analyse their financial data, keep track of the accounts of the trade payables and recievables and provides accurate data used in the issuing of their financial data. If any mistakes are made in the accounting process:
| – | Then the financial data recorded will be incorrect |
| – | You may lose track of your receivables and payables. |
| – | The documents issued to the government may become wrong. |
This can be fatal in the UAE, since the UAE is such a cornerstone for business and trade in the GCC region. This means that they have strict laws regarding the accounting process, so any mistakes can be considered fraudulent activity and can lead to heavy fines and even possible cancellation of the business’s licence from the government!
Auditing can help to avoid that. Auditing is the process of detecting & removing errors in the accounting books & documents. This can prevent fines from the government as a result of incorrect filings.
How should companies prepare and maintain accounting records for an Abu Dhabi Airport Free Zone Auditor?
It is mandatory for all businesses in the ADAFZ to make up-to-date, correct and accurate accounting records that accurately represent the company’s financial situation. The trial balance, income statement and balance sheet must be done in accordancewith International Financial Reporting Standards (IFRS) and UAE-local ones like the Anti Money Laundering (AML). All of the necessary accounting documents must be received by the auditor in order to commence the process of auditing
Requirements to hire an Auditor in Abu Dhabi Airport Free Zone:
The ADAFZ Auditing Company must meet two requirements:
| 1. | Auditing must be done externally. While accounting can be done both internally & externally, Auditing must be done by a third-party auditing company. This is because auditing is a complex subtopic of accounting that requires a lot of qualifications and degrees to be conside red one. |
| 2. | The auditor must be approved by the free zone. The auditing company should be approved by the ADAFZ Authority as a grant of ability to audit ADAFZ companies. Mubarak Al Ketbi Chartered Accountants are approved by the ADAFZ authority to be able to audit ADAFZ companies. |
Documents required by an Auditor in ADAFZ
The documents required are:
| 1. | Licence for Business |
| 2. | Memorandum of Association. |
| 3. | Articles of Association. |
| 4. | All owners/shareholders visas, passports & customs documents. |
| 5. | Financial Statements. |
| 6. | Bank Statements |
| 7. | Trial Balance. |
| 8. | All accounting ledgers. |
| 9. | Sales & Purchases invoices. |
| 10. | Receipts & proof of transactions |
How can Mubarak Al Ketbi Chartered Accountants help you in Auditing your Abu Dhabi Airport Free Zone Company?
Auditing is a laborious, time-consuming procedure that needs to be completed outside. For this reason, it is preferable to work with a competent auditor rather than a cheap one. One of the leading auditing firms in Abu Dhabi is Mubarak Al Ketbi Chartered Accountants. The ADAFZ Authority and the Ministry of Economy have given us permission to audit ADAFZ-held businesses. We provide corporate tax, accounting, auditing, and business dissolution in addition to other services. We have more than 2,000 happy clients under our belt and have over 20 years of experience. Get in touch with us right now, and we promise a fantastic experience!
