Financial Clean Up
A QuickBooks or financial cleanup is a process of reviewing and rectifying discrepancies, errors, and inconsistencies in a company's financial records and QuickBooks accounting software. It's often necessary when a business's financial records have become disorganized, inaccurate, or outdated due to various reasons such as improper data entry, incomplete records, or a lack of proper accounting procedures.
Diagnostic Review/Assessment: The cleanup process begins with a thorough assessment of the current state of the company's financial records and QuickBooks data. This review is like a health check-up for your business financial well being. Based on the findings of the review, Bookkeeping by Blanche, LLC will provide you a comprehensive report outlining the issues identified and recommendations for improvement. These recommendations may include adjustments to your bookkeeping practices, software solutions, or additional services needed to maintain accurate records. Below are listed some examples of the items included in the review.
Data Validation: Review and validate all transactions, including income, expenses, assets, liabilities, and equity, to ensure accuracy and completeness. This involves checking for duplicate entries, missing transactions, or incorrectly categorized items.
Reconciliation: Reconcile bank and credit card statements to ensure that the records in QuickBooks match the actual financial transactions. Any discrepancies should be identified and corrected.
Chart of Accounts Review: Review and clean up the chart of accounts to eliminate redundancy, consolidate accounts where necessary, and ensure that accounts are categorized correctly.
Vendor and Customer Cleanup: Review vendor and customer lists to remove duplicates, update contact information, and clean up outstanding balances. This helps in accurate tracking of payables and receivables.
Journal Entry Review: Examine and correct any improper or incorrectly posted journal entries. This may involve reversing and re-entering transactions to ensure they are recorded accurately.
Inventory Cleanup: If the business deals with inventory, ensure that the inventory records in QuickBooks match the physical inventory on hand. Adjustments may be needed to account for any discrepancies.
Financial cleanup can be a time-consuming process, but it is essential for maintaining accurate financial records and making informed business decisions. It also helps in avoiding potential legal and tax issues that may arise from inaccurate financial reporting. Many businesses choose to work with experienced accountants or financial professionals to ensure a thorough and effective cleanup process.
Contact Us
To arrange your Diagnostic Review, please reach out to us either by calling 301-862-1999 or sending us a message. The fee for this service is $100.00, and in return, you will receive a comprehensive report assessing the health of your financial records.