9 Red Flags to Tell If Your Financial Close Is in Trouble

Often used as an early warning sign, red flags can proactively assess the risk of re-work, financial restatements, and fraud throughout your financial close process.

These red flags often occur throughout your financial close due to the utilization of desktop applications that lack automation, audit trails, and integration, forcing increased manual interaction throughout your processes. Unfortunately, this increases the complexity and makes it difficult for companies to have clear visibility into their financial close.

9 Signs Your Financial Close May Be in Trouble

1. Overreliance on Spreadsheets

Businesses have come to rely upon spreadsheets so heavily that they lose sight of the original purpose of the spreadsheet and begin to make decisions based on erroneous data.

2. Lack of Standardization

The second red flag your organization needs to be aware of is a lack of standardization and consistency across the financial close process.

3. Multiple Late Adjustments

Does your team encounter frequent surprises at month end? If so, you’re not alone. For many accounting and finance professionals, manual journal entries continue to be a bottleneck in the financial close process.

To find out the rest, download our eBook as it explores the top financial red flags you need to know to proactively assess risk in your financial close and how other finance and accounting organizations have addressed these risks by investing in automation.