How to become an account auditor in Madrid?

Accounting auditors are professionals in charge of verifying and adjudicating that the accounting books of a company or institution are reliable and authentic, free of fraud or inconsistencies. It is therefore a basic overview to vouch for the transparency of the company and to assess any possible fraud in its accounts. A commercial lawyer can advise you on this.

Most companies do not usually have an internal audit, but hire external auditors to carry out the process. In addition, he can act as a financial advisor, i.e. in other words, he devises strategies to avoid economic risk, reduce costs and ultimately maximise productivity.

Qualifications to become a statutory auditor

To become an auditor, you must have a university degree in business administration and management, business or economics. You can also receive advanced technical training in administration and finance.

After completing this training, you must be registered with the ROAC of the Institute of Accountants and Auditors (ICAC), have Spanish nationality or the nationality of one of the EU member states, have no criminal record and have obtained an official university degree or have a study or professional qualification authorising access to university.

The basic theoretical knowledge to be able to practice the profession is acquired through specific courses. At least 3 years of practical training, or 8 years if the candidate does not have an official university degree. And, passing professional competence examinations organised and recognised by the Ministry of Economic Affairs, including theoretical examinations and practical examinations.

In addition, there are study courses to plan for the ICAC exam or some master courses that prepare participants to become statutory auditors, validating the theoretical examination for access to the profession (ROAC).

What are the career opportunities for statutory auditors?

Professional statutory auditors are widely required to perform external and internal audits. They will have a strong reputation for performing financial management and management controls. In addition, auditing is no longer the exclusive domain of large companies, and small and medium-sized companies have an increasing demand for auditing services, requiring them to act as consultants.

What are the main functions of a statutory auditor?

The main functions of a statutory auditor are:

• You will have to detect failures that cause inefficiencies in your company's financial systems and try to improve your company's operations.
• Optimise the activities and productivity of the audited company.
• Develop internal policies, procedures and protocols within the norms and legalities in force in the country.
• Oversee that company personnel implement and enforce these policies, procedures and protocols.
• Objectively present your vision to the company's managers and seek alternative solutions.

How to be a good statutory auditor?

In terms of professional ethics, the basic principles of being a good auditor are:

• Integrity: Auditors should act with integrity and honesty in all professional dealings.
• Objectivity: Practitioners should not allow favouritism, conflicts of interest or undue influence by others.
• Professional competence and due diligence: Auditors are responsible for maintaining professional knowledge and skills at the level required to ensure that clients receive competent professional services.
• Confidentiality: Practitioners shall respect the privacy of information obtained as a result of professional and business relationships and shall not disclose such information to third parties without specific and appropriate authorisation.
• Professional Behaviour: Practitioners shall comply with relevant laws and regulations and shall avoid any behaviour that damages professional reputation.

A good auditor must be diplomatic, patient, communicative, critical, disciplined, impartial, hard-working, open-minded, honest, analytical, curious, interested, resilient, professional and well-trained. Today, the role of the auditor must provide added value in addition to the above. Auditors should not only focus on the company's past, but also provide a different vision for the future.

Once the financial statements have been reviewed to present a true and fair view of the assets and financial position in all material respects, the auditor must be able to provide the client with an assessment of the integration of business-oriented solutions and internal control systems.

Types of audits

1. Internal audit: This is carried out by one person or a group of people working in the company. The idea is that organisations should examine themselves to find areas where they can improve.
2. External audit: An audit carried out by an agent outside the company being evaluated. Typically, then, an external audit firm audits the processes of another company that has entered into a contract for services. This type of audit seeks an external perspective, an analysis from a third party outside the commercial enterprise.
3. Financial audit: This involves reviewing the company's financial statements to ensure that they reflect the financial position of the institution.
4. Performance Audit: This is an audit designed to determine whether a company is making proper use of its resources. That is, its process is efficient and does not cost the company.
5. Financial audit: Includes an analysis of the financial and accounting conditions of the company. It goes beyond accounting and auditing. Its tasks must be performed in relation to taxation, governance, IT and tax auditing.
6. Environmental audit: consists of measuring the environmental impact of a company's operations. This is to determine compliance with legal standards. If this is not the case, improvements or strategies should be considered.
7. IT audit: this is an audit that evaluates the software or computer systems used by a company, such as for business or financial processes.
8. Quality audit: used to check the correct functioning of the quality system implemented by the company. It is within the scope of ISO 9001.
9. Compliance Audit: An audit that verifies that a company is following good practice in an industry or legally defined environment, thus complying with standards.
10. Performance Audit: Consists of evaluating the use of the company's resources to assess whether it is effective and, unlike the operational audit, goes a step further by analysing whether the desired profitability objectives are being achieved.