By Emily Zuver, Senior Assistant Accountant, Holbrook & Manter
With tax season behind us, now is the perfect time to focus on ways to be more fiscally efficient within your agribusiness. It can be time-consuming to review and gather financial information to send to your accountant, I get it. However, it is always best to keep this information organized and current. Below is a checklist to help keep your financials on track and avoid year-end frustrations.
- Record and categorize income and expense activity during the period.
- This could include recording prepaids such as rent, insurance, etc.
- Break out principal and interest on loan payments.
- Reconcile bank accounts — identify and investigate discrepancies and outstanding items.
- Review and follow-up on Accounts Receivable and Accounts Payable aging.
- Audit inventory and adjust as needed.
- Review specific accounts
- Repairs and maintenance/office supplies — to see if any items listed here can be capitalized.
- Meals and entertainment to determine if they are for business purposes.
- Review financial statements for reasonableness. You can compare to the budget or the previous period to see where financials stand.
Keeping up on a financial review helps to identify discrepancies as they happen. It helps you keep up-to-date records for timely financial reporting and future financial planning. Setting aside time to review after each period may seem tedious but it will save you time and frustration at year-end.
As always, if you have questions, I am here to help. Feel free to reach out.
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