If you own a small business, you probably don't have a very high-level knowledge of accounting - but why would you? When you hear "closing out your books," you might not know everything that entails.
Closing your books is a necessary part of preparing to file your taxes, and it’s important to make sure that transactions are recorded in the right place at the end of each year. For this reason, you need to close your books at least once a year. However, most businesses close out their books every month.
CSI Accounting & Payroll has handled accounting for small businesses for more than 50 years, but we believe that owners should have access to bookkeeping details that can help their business whether they come on board as a client or not.
Here, we help you learn more about the advantages of a monthly routine and the four steps it takes to close your books each month.