The Five Keys to a Faster Financial Close

The 5 Keys to a Faster Financial Close

Divide & Conquer For your financial close to be successful, prepare a list of the necessary procedures with deadlines. It clarifies who is responsible for a specific task so that the liability belongs to different members of the team. Although a bit complex, it is the simplest way to ready your company for a financial close. Availing small business accounting services can help avoid all the hard work though.

Decrease Manual Data Entry Many businesses still rely on manually entering data like payments and invoices, which can be less than accurate.

Lack of precision isn’t what you want in such situations.

Outsourcing the tasks or using reliable accounting software can streamline it and prevent errors. You need a way to organize transactions, records, and other accounting data in one place to avoid errors and delaying your financial close.

Create Frequent Account Reconciliation The general ledger or GL is where you post your business transactions every year. For accuracy, you use account reconciliation. However, you can choose to reconcile quarterly or monthly - it helps notice errors. Most companies without professional small business accounting services avoid regular reconciliation of their accounts as it requires more effort. But you should choose to do it weekly or monthly to avoid errors.

Enhance Information Access Most companies face obstacles while waiting for data from other departments. Amounts, total sales, inventory levels, and much more are required to successfully close the books. It is why you should provide your accounting staff with access to the data storage and avoid setbacks. For privacy, you can use software which not only allows them to access the data but also protects business-critical information.

Automate Organizational Processes Until you avail reputed small business accounting services, leverage software to automate and boost the tasks involved with your financial closure. Spreadsheets are old and slow, whereas you require improving the data flow. Try a business management platform with sales, accounting, and shipping department integration. Your company can use such tools to perform tasks better and without mistakes.

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