A good closing starts long before year-end. Follow this checklist and the annual report becomes a formality instead of a nightmare.
Closing is easy if ongoing bookkeeping is on track all year. Here's the checklist we use.
1. Reconcile bank accounts
Make sure all accounts match the bank statements.
2. Finish invoicing
All sales for the period should be invoiced.
3. Accrue
Costs and revenue must land in the right year.
4. Count inventory
Count and value inventory as of the closing date.
5. Check receivables
Write off what won't be paid.
6. Reconcile VAT & tax
Make sure all returns are filed.
7. Book depreciation
According to plan for your fixed assets.
8. Plan dividends
Run the 3:12 numbers before year-end so you have time to act.
With Bookio most items are ticked off continuously, so closing becomes a formality.