Role of Chartered Accountant, Relation To Corporate World
Chartered accountants

Role of Chartered Accountant, Relation To Corporate World

why CA are needed.

As per ICAI report there are approx. one third of Chartered Accountant are into active practice in India.

Whether you are running a large corporate or ventures into entrepreneur journey, managing

finances can be tricky. It is more challenging for the entrepreneur as tracking numbers, keep

an eye on banking, debit, credits etc. which often is confusing and frustrating.

A correct timing and accurate financial records help in knowing financial position, predicting

future action, planning effectively and help in taking thought through decision. This is the

reason why CA are needed who can handle financial situation of the

organization in an effective manner.

Before we proceed for the role of CA, it is important to understand who is called a Chartered

Accountant.

Siba Panda, Founder & Managing Director of Faustus Advisory, says, “CAs in India are

technically far superior to any other country in the world but now it is not just technicality but

about identifying and solving problems. CAs are become valuable if clients can trust them as

advisors and have understanding about the dynamics of business.”

 

Chartered Accountant :

 

A Chartered Accountant is someone who has completed all his examination from ICAI incl.

compulsory training with a practicing CA firm. It is often confused with an accountant in

industry but CA plays a very niche role compared to accountants who are more into jobs.

Conventionally the services offered by CAs are:

– Company Audit (Statutory, Internal, Management, Inventory, joint audit etc.)

– Taxation comprise of Income tax, International tax, transfer pricing, Custom matters

etc.

– Goods & Service tax (GST) compliance, audit and training

– Company secretarial services

– Cost accountancy

The dynamic of business environment demand shift of role from traditional to being strategic

or business advisors, administrator to business who can help entrepreneurs through

changing business scenario, solving complex problems, skillfully interpret law, reports etc.

Other areas include Investment Banking, Analysis of business acquisition, Mergers, equity

and IPO research, fraud and insolvency analysis, data analysis, cyber security etc.

 

A CA holds a vital role in providing required knowledge and advice to the investors including

various stake holders of the organization e.g. shareholders, directors etc. As a control

mechanism CA’s frame various rules and policies for the organization for smooth functioning

of operations and prevention of fraud, leakages etc.

Chartered Accountant aims in attaining business growth and profitability in the business.

With extensive knowledge of finance and laws, CA’s help the businesses as well as matters

relate to personal financial problems.

Highlights:

– Moving from traditional to advance accounting

– Diversifying into various areas of consultancy

– Emerging fields into accounting

– Financial modelling and planning & structuring of

– Growth curve etc.

Leave a Reply