How is the decision made regarding whether to perform an audit internally or externally?

The choice to conduct an audit internally or externally is largely determined by the unique circumstances and preferences of each individual practice. Internal audits are typically performed by staff members within the practice and can provide a level of insight that comes from a deep understanding of the practice’s operations, goals, and compliance requirements. This allows practices to address specific concerns that may not be relevant to an external auditor.

On the other hand, choosing an external audit may be influenced by the need for objective assessments, regulatory compliance, or the pursuit of best practices across the industry. The decision often hinges on factors such as available expertise, specific objectives of the audit, and the internal resources at the practice's disposal. Because practices differ significantly in size, structure, and needs, their decisions reflect their individual situations rather than a one-size-fits-all approach found in mandates or budget constraints.