SINT MAARTEN (PHILIPSBURG) – After the Corona Virus impact, many companies are in urgent need of solutions to their setbacks, Prudential Tax Services (PTS) said on Monday in a press statement.
“Loss of sales, loss of market position and overexposure of personal/corporate reserves are at stake. The alternatives at this time are to seek assistance from the island’s financial institutions that due to international regulations are compelled to establish tighter requirements for loan approvals.
“The necessity to understand the business enterprise is a must and the fact that 90% of the business are catered “Financial statements compilations” results in the financial institutions being presented with “limited” baseline measurements of the corporate financial conditions.
“A condition that many accountants drop their guard to handle clients’ double sets of books are kept 1) for the Tax office 2) one for the Bank is a trendy contemporary action that Banks wish to eliminate.
“Currently the Dutch Caribbean is faced with the following problems :
1) Short term debts must be converted into Long term for financial leverage
2) Working capital must be replenished
3) Expected Tax Office Audits announcement after the stimulus plan.
4) No sufficient financing
“The business community is forced to take drastic measures to address the financial leverage. What are the options to obtain financial aid by banks to meet the reporting requirements?????
WHAT IS OFFERED ON THE MARKET
Financial Audits promoted by the Big companies are the first in mind but what does that audit help you with in your business enterprising if the following scope shortcoming are present?
a) Financial Audits do not measure efficiency or effectiveness of internal controls
b) Financial Audits do not measure management performance levels
c) Financial Audits do not disclose operating risks
d) Financial Audits do not evaluate business profitability
e) Financial Audits do not detect fraud practices
f) Financial Audits do not enhance business growth
g) Financial Auditors take no responsibility related to the assertiveness of the financial figures.
WHAT IS NEEDED BY THE BUSINESS COMMUNITY
It is the entrepreneurs’ choice to go to the Auditor he feel he trusts, but what would be his benefit if an audit cannot give you an assessment on how to:
1 – Manage Effectiveness, update controls , risk mitigation and efficiency of business procedures;
2 – Ensure Reliability, security , and processing of financial information ;
3 – Secure Compliance with relevant laws and regulations ;
4- Confirm Efficient use of assets to reduce financial, internal and external risks that may hinder the organization objectives ;
5 – Guarantee alignment and coordination between operational and financial events accountability;
6 – Designing financial reorganization platforms to promote the liquidity position .
7- The restructuring of organizations to improve efficiency, cost savings, and feasibility of the objectives
WHAT IS NEEDED BY BANKS
The Banks in the Dutch Caribbean have been encountering a trend of increasing accounting offices with financial decoration expertise due to the fact that there is no specific regulation concerning Certified and Qualified Accountants or Auditors, the Banks are confronted with reports with quality, transparency and accuracy issues. The need for Risk analysis and Financial Analytics are of fundamental importance to secure a long term loan. Currently Prudential Tax Services (www.pts-sxm.com) and Benjamin & Parker, a Risk Auditors E- Consultancy firm, www.b-parker.com , have combined forces to tackle the vital aspects of the financial output to create a new Audit model that has been welcomed by Banks in Sint Maarten, creating new history in St Maarten where local professionals are climbing the ladder dominated by the Dutch Financial multinationals.
This new Audit model benefits are outlined as follows:
1) Secure loan application transparency for the bank
2) Presentation of High Quality reporting by the client
3) Engage like a Faster application process catalyst
4) Secure accuracy statement for the Stakeholders and Tax Office
Source: Souliga Newsday https://www.soualiganewsday.com/index.php?option=com-k2&view=item&id=32144:prudential-tax-services-offers-advice-on-corporate-benefits-of-an-audit-after-crisis&Itemid=504
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