Concurrent auditors in UAE put revenue leakage or income leakage on a pedestal while auditing a company because it’s crucial to find income leakages and treat them. Income leakage can arise as a result of:
- Undercharged processing fee, upfront fee and other charges by the bank during loan disbursements.
- Incorrect interest rate entries in the system
- Wrong calculations of profit in a forex transaction
Fortunately, determining, retrieving and avoiding revenue leaks is possible by thoroughly examining contracts and processes critically.