Audit & Advisory in Abu Dhabi
Interview with M. Krishnamurthi,
Group Chairman, Baker Tilly MKM
Although big business still predominantly flocks to
the big four audit firms on a global basis, the financial
crisis has left many companies looking at how they
can cut costs, without compromising quality. As a
result, companies are increasingly looking towards
the audit and advisory firms that occupy the tier
directly below the seemingly untouchable plateau
that the big four occupy.
Ranked number 8 in the world in terms of revenue,
Baker Tilly International is a firm that provides
audit and advisory services of a calibre comparable
with that of the market leaders. With 572 offices
worldwide, the brand name that began in the UK
now spans the globe with its network of independent
members.
Its operations in Abu Dhabi are well-reputed and
the firm is acknowledged as a thoroughbred in the
industry and throughout the UAE, where it holds
offices in each Emirate.
CEO Financial spoke to Group Chairman, M.
Krishnamurthi in order to discuss the Abu Dhabi
market and the crucial role that audit and advisory
firms such as Baker Tilly MKM fulfil.
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CEO: What are the most important things that one
should take into account before entering the Abu
Dhabi market?
Krishnamurthi: It is essential that the company
actually physically comes here in order to conduct
their due diligence. They must ascertain for
themselves if there is a need in the market for the
goods or services that they customarily provide. Stick
to your core business. Do what you are good at. They
must focus on their core strengths and make sure
that there is room in the market. As well as that, it is
necessary to establish a registered legal entity here.
Remote control will not work. ADNOC (Abu Dhabi
National Oil Company) and its Group of Companies
for instance, won’t do business with any company that
does not have a local base.
CEO: In your experience, what key ingredients do
you consider to be prerequisites for success in Abu
Dhabi?
Krishnamurthi: Good contacts are absolutely
crucial in establishing a solid ongoing concern here.
Obviously, that is the case in most markets, but the
culture of how business is done in Abu Dhabi means
that the point becomes more pronounced here. It
is also advisable to come with capital and a capacity
to spend as it can take time to get established and
generate cash-flow.