The Fast Close Toolkit

Introduction

ACCORDING TO THE Journal of Accountancy, fiscal close systems, processes, people, and their interconnectivity can be complex, but successful improvements to the process can be achieved by introducing some simple building blocks and basics as provided throughout this toolkit.

No matter what the company size, industry, or complexity of systems and process, all successful fiscal close processes require a solid governance and infrastructure, checklists and documentation, standards of internal controls, and continuous communication throughout every phase of the process to ensure accurate and timely fiscal results and reporting.

There are many factors that place the spotlight on the fiscal close process, which is usually led by a team of individuals in the corporate finance and accounting department managed by the corporate controller. The complexity of the process is driven by the nature of the company (private, public, nonprofit, or government subcontractor) and the type of industry or industries the company has responsibility for. Well-defined fiscal closing processes for monthly and quarterly close are foundational to establishing the discipline needed to obtain accurate and timely results throughout the fiscal year.

The fiscal year (FY) is usually the primary accounting year for a company, organization, or government. The fiscal year serves as the organizing basis for economic measurement and financial reporting. The fiscal year also serves as a basis for budgeting ...