The core principle of all regulation is that it should be proportionate to a clearly stated public interest. The Companies (Amendment) (No. 2) Act 1999 introduced the concept of audit exemption and allows companies to avail of audit exemption if they satisfy a number of criteria. This removes the chore of having a statutory audit completed for many small companies. I understand the direct costs of an audit are difficult to estimate but one survey has indicated that the average cost for a company with a turnover of €1 million is in the region of €3,000. These costs will undoubtedly increase if the Bill is enacted as presented to us. If a similar figure is applied to all small companies in Ireland, the overall cost to business will be significant.