Audit of Financial Statements

If your company does not fit the "small company" definition, then under the present Company's Act, it's financial statements would have to be audited. However, even if your company qualifies for audit exemption, it could still need to get its financial statements audited.
The following are scenarios which this would arise :

i) Other regulatory requirement
Licensing from other government agencies might require the financial statements to be audited. For example, licences from the Money Authority of Singapore, Building and Construction Authority would typically require the licensee's financial statements to be audited.

ii) Bank's requirement
If the company has bank loans, the bank would usually require the company's financial statements to be audited, regardless of the size of the company.

iii) Supplier's requirement
Some suppliers would insist on reviewing a company's audited financial statements before deciding the credit terms or even to do business with the company altogether.

iv) Shareholders' requirement
If the company has several shareholders, they might wish to have the company's financial statements audited to have assurance that their interests are not mismanaged.

v) Potential Investors' requirement
Potential investors would typically request to review the audited financial statements of the company they are looking to invest in.