[Free template] Basic HR Audit Checklist for SMEs
Find out where your HR stands in 20 minutes. Self-score six key areas — contracts, policies, data protection, time tracking, health & safety, and payroll — and spot the gaps before they become problems.
HR Audit Checklist
Most SMEs don't audit their HR until something goes wrong. By then, the cost of fixing it is much higher than preventing it.
The problem
No visibility into HR compliance gaps — you don't know what you don't know.
Contracts, policies, and data protection practices have evolved, but your processes haven't kept up.
When an auditor, investor, or employee raises a question, you scramble to find answers.
What you'll get
A clear self-assessment of six critical HR areas — scored so you can prioritise what to fix first.
A simple spreadsheet format that any HR manager or business owner can complete in 20 minutes.
An actionable gap analysis that tells you exactly where to focus your time and budget.
What's inside
- Six audit sections: contracts, HR policies, data protection, time tracking, health & safety, payroll.
- Self-scoring system — rate each area from 1 (not in place) to 5 (fully compliant).
- Guidance notes explaining what 'good' looks like for each item.
- Priority matrix to help you decide what to tackle first based on risk and effort.
- Works in Excel, Google Sheets, or as a printable checklist.
Get your free template
Instant download. No spam. You'll also get 1–2 practical emails on how other SMEs solve this.
How smarter HR teams use this
Download and complete the self-assessment
Go through each section, score your current state honestly, and note any gaps. Takes about 20 minutes.
Prioritise and fix the biggest gaps
Use the priority matrix to tackle high-risk, low-effort items first. Share results with your leadership team.
Systemise with Factorial
When you're ready to close the gaps permanently, Factorial automates contracts, policies, time tracking, and payroll in one platform.
When you know the gaps, software closes them
- Centralised contracts and documents with e-signatures and expiry reminders.
- Automated time tracking and absence management — compliant by default.
- Payroll integration and policy distribution — no more manual processes.