This guide takes you through the year-end closing in Sapera — from opening the new financial year to finally closing the old one. Follow the steps in order.
Set the new financial year as the active one. You can still post to the old year afterwards — see step 5 — so you do not have to wait to get started in the new year.
The stock must be reconciled as part of the year-end closing. Follow the guide Annual stock count and inventory reconciliation, so the stock value matches the accounts.
Besides the stock, the other balance-sheet accounts should be reconciled, so the opening balance for the new year is correct:
Bank
Debtors (customers)
Creditors (suppliers)
VAT and duties
Run the year-end closing. It transfers the preliminary balances to the opening balance of the new year, so you can carry on from a correct starting point.
Post the adjustment entries you have yourself or have received from your auditor. You can still post to the old year at this point — the year-end closing does not lock it.
Run the year-end closing once more. Because the adjustment entries have changed the closing balances, this run updates the opening balance of the new year with the final figures. That is why the closing is run twice: first to move on, and again once everything is in place.
