A compliance audit is a systematic review of an organization's adherence to regulatory guidelines, internal policies, and legal requirements. This process helps ensure that the organization operates within the law and follows established standards, which can include industry regulations, financial practices, and safety protocols. During a compliance audit, auditors assess documentation, interview staff, and evaluate processes to identify any areas of non-compliance. The findings can lead to recommendations for improvement, helping organizations like businesses and non-profits mitigate risks and enhance their operational integrity.