Bookkeeping Quality Assurance

Quality Control Steps for the Business Owners

As a business owner, your time is precious. That’s why you likely rely on a bookkeeper to keep your financial records clean and organized. But how do you know if your bookkeeper is doing everything they should to support your business’s growth and financial health?

This checklist will help you ensure your bookkeeping is in top shape.

Things to Look for Right Away

Here’s what you should confirm immediately to gauge the health of your bookkeeping:

1. Are the Books Up to Date?

   • Question to Ask: “When was the last time the books were updated?”

   • Best Practice Response: Your bookkeeper should be updating transactions weekly, if not daily, to ensure your financials are current.

2. Is the Chart of Accounts Clean and Organized?

   • Question to Ask: “Are all accounts categorized correctly, and can you explain the purpose of each?”

   • Best Practice Response: Accounts should be categorized logically and align with your industry standards. There shouldn’t be vague categories like “Miscellaneous” used excessively.

   • Tip: Uncategorized Assets, Uncategorized Expenses and Uncategorized Income should be $0.00. If not, ask them why not, and clean those up.

3. Is Bank Reconciliation Completed?

   • Question to Ask: “Are all bank accounts reconciled, and can you show me the reconciliation reports?”

   • Best Practice Response: Reconciliations should be done monthly at a minimum, with no unexplained discrepancies.

   • Tip: Look for the section on the report that shows Deleted Transactions - that's not a good sign!

4. Are Receipts and Invoices Organized?

   • Question to Ask: “How are we tracking and storing receipts and invoices?”

   • Best Practice Response: A system like digital storage (e.g., QBO Drive, Hubdoc or Dext) or organized physical files should be in place for easy access.

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   Final Thoughts

   A good bookkeeper isn’t just someone who enters numbers—they’re a partner in your business’s success. By using this checklist and asking the right questions, you’ll gain confidence in your financial foundation and ensure your business is primed for growth.

   If your current bookkeeper isn’t meeting these standards, it might be time to explore options for professional, growth-focused bookkeeping services. Remember, clean books lead to big opportunities!