The month-end close, explained in nine steps
What actually happens between the last day of the month and the report in your inbox, and why day five is realistic.
Lina Park
·
6 min read
Most owners only see the end of the close: a P&L in their inbox. Here is what happens before that, and how to get it on day five instead of day forty-five.
Days 1 to 2: collect and reconcile
Bank and card statements arrive, payroll is posted and every account is matched to the bank. Anything that doesn’t match gets a question, not a guess.
Days 3 to 4: accruals and review
We book expenses that belong to the month even if the invoice hasn’t arrived, recognize revenue the right way and compare every line to last month and to budget.
Day 5: report and explain
You get the statements plus a short note on what changed and why. If a number moved more than ten percent, we tell you before you ask.
Written by
Lina Park
Senior Accountant
Keep reading
Tax
Five tax credits growing companies leave on the table
The R&D credit is only the start. Four more credits most owners never hear about, and how to know if you qualify.
·
8 min read
Growth
What a fractional CFO actually does in month one
Forget the board deck for now. Month one is about trust in the numbers and a 13-week view of cash.
·
5 min read
Compliance
Sales tax nexus: a plain-English guide for online sellers
Selling into a new state can create a tax obligation you didn't plan for. Here is how to check your exposure.
·
7 min read