Research On Several Problems Of Internal Audit Of Private Small And Medium - Sized Enterprises In China

Along with the development of our country’s economy, the enterprise legal person system has been gradually adopted by enterprises in our country, and has being developing. Internal audit as an important part of corporate governance in the modern enterprise system, the internal department is a functional department of enterprise management. From the internal audit was introduced to gradually improved and form the theoretical system, it has experienced a tortuous process of exploration and practice. According to the definition of the internal audit, new the internal audit has become a kind of control mechanism in the Internal audit has become a kind of control mechanism in the management organization, at present, in our country the internal audit has been developed more perfect in administrative institutions, state-owned enterprises and large private enterprises, the internal audit has been in a relatively mature level in these enterprises. In those the privately operated small and medium-sized enterprises, although they played important roles in the national economy, but by the limitation of knowledge level, resources and abilities, there are a huge room for growth.At present our country strengthen the decentralization process, intensify efforts to eliminate the original policy measures that restrict the development of private economy, make new policies to advance the development of private economy, actively encourage and guide private capital investment to set up enterprises and gradually intensify efforts to support the development of small and medium-sized enterprises. There are new opportunities and challenges on the development of the private small and medium-sized enterprises. In order to overcome the weakness of the private small and medium-sized enterprises, to maximize the advantage of the private small and medium-sized enterprises with the limited resources of financial, material and manpower, the internal audit must be exerted sufficiently to help enterprises achieve the purpose of value added.At present there are a lot of internal audit problems in the private small and medium-sized enterprises, for example, the lack of independence of the internal audit function, staffing unreasonable, and lack of cohesion force in team, the scope of the audit business is single. These problems need to be solved. Based on the analysis of these problems, we have find out the reasons of these problems, and put forward the countermeasures for the internal audit of private small and medium-sized enterprises. The reason of these internal audit problems that exist in the private small and medium-sized enterprises is lack of unified and complete theoretical guidance, national laws and regulations are not perfect. At the same time, but also to strengthen the exchange of industry associations. From the point of the enterprise inside property rights are highly concentrated in the private small and medium-sized enterprises, managements are lacked understanding of internal audit, the internal system construction is not perfect and other factors also restrict the development of internal audit.In the future, the internal audit of the private small and medium-sized enterprises should strengthen the management of internal audit. Combined with the characteristics of the enterprise itself, to be suitable for the environment of corporate governance, and should take the path of informatization and innovation.