So What Exactly Is A Statutory Audit?Â
A statutory audit is an independent review of a company’s annual financial statements, carried out by a registered auditor.Â
It provides assurance that the accounts are true, fair, and comply with the relevant UK accounting standards.
During the audit process, an auditor will examine a company’s financial records, internal systems, and controls, identifying any material errors, risks, or areas of concern. The audit report is then filed alongside the company’s statutory accounts at Companies House.
At Wisteria, our financial auditing services are tailored to each business, ensuring the process is efficient, commercially aware, and adds genuine value through practical, actionable advice.
When Is a Statutory Audit Required?Â
Under UK law, a company is typically required to have a statutory audit if it meets two or more of the following conditions:
Annual turnover exceeding £10.2 million
Assets worth more than £5.1 million
An average of more than 50 employees
There are also situations where a business may still require an audit. This includes being part of a group structure, operating within a regulated industry, or if a shareholder or group of shareholders (holding at least 10% of shares) formally requests an audit.
Even if your SME does not meet these thresholds, many growing enterprises choose to undergo a voluntary accounting audit. This is often to prepare for future investment, support a funding application, or strengthen financial reporting ahead of a planned business sale or restructure.
Why Is a Statutory Audit Important?Â
Whilst a statutory audit is a legal requirement for some, many businesses benefit from the reassurance and commercial insights that come from regular financial reviews.
At Wisteria, our clients often find that an audit adds value by identifying financial inefficiencies, highlighting risks, and offering practical recommendations to improve financial management.Â
Financial Accuracy and Peace of Mind
An independent audit ensures your financial statements are a fair and accurate reflection of your business. This reassurance is particularly important for business owners, directors, lenders, and any future potential investors.
By engaging financial auditing services, SMEs and growing businesses gain confidence in the accuracy of their accounts.Â
Supporting Investment, Funding and Exit Planning
For businesses preparing to raise capital, apply for funding, or negotiate a sale, independently audited accounts are often required. Investors, banks, and potential buyers place greater trust in audited financial statements.
At Wisteria, we can support businesses through this process, ensuring that audited accounts are clear and aligned with your business goals.
Improving Internal Systems and Processes
A professional financial audit is not just about compliance. It also provides an opportunity to review financial controls and systems.Â
Our audit team assesses your processes and offers practical advice on improving efficiency, reducing risk, and strengthening finances.
This is particularly beneficial for SMEs that have grown rapidly and may not have formal internal systems in place. A regular audit can make sure your financial management remains robust and future proofed.
Why Work With Wisteria?Â
Even if your business does not currently require a statutory audit, you may soon reach the thresholds as your company grows.Â
Engaging in voluntary financial auditing services helps businesses prepare for future audit obligations, ensuring systems, reporting processes, and financial controls are already aligned with audit standards.
If you would like to discuss how a statutory or voluntary audit could benefit your business, get in touch with Wisteria today.Â
Our team will be happy to guide you through the process and provide advice tailored to your needs.