- The key: Don't just lock up, prepare
- Tip 1: Create a completion checklist directly in Business Central
- Tip 2: Prepare recurring bookings neatly
- Tip 3: Record knowledge—don't keep it in your head
- Tip 4: Clear distinction: closing vs. day-to-day business
- Tip 5: Prepare evaluations in a targeted manner
- Why structure pays off—even beyond graduation
- Our conclusion
Every year: How to organize your annual financial statements in Business Central in a smart and sustainable way
The annual financial statements come as no surprise—and yet they still feel stressful every year. Time pressure, lots of people involved, manual lists, queries from tax advisors and auditors, and, last but not least, the anxious question:"
" Have we really thought of everything? "
" In finance and accounting departments in particular, the annual financial statements are often a phase in which many issues converge at the same time. However, this is not a one-off event, but a recurring process. The good news is that with the right organization and the on-board tools of Microsoft Dynamics 365 Business Central, you can handle your annual financial statements in a much more relaxed, faster, and more secure manner – and even simplify them further in the following year.
The key: Don't just lock up, prepare
In many companies, Business Central is primarily used for ongoing accounting. The actual organization of the annual financial statements, on the other hand, often takes place outside the system—for example, in Excel lists, personal notes, or email correspondence. This is exactly where many teams are wasting valuable potential!
If you prepare your annual financial statement activities in a structured manner and document them directly in the system, you will benefit in several ways:
- The time required for the actual closing is reduced.
- Potential sources of error are reduced and coordination within your team runs much more efficiently.
- The short-term use of external resources, such as inquiries to your Microsoft Dynamics partner or your tax advisor, is reduced.
Last but not least, you create clear traceability of all financial statements for tax consulting and auditing for your company—and thus a reliable foundation that you can build on again next year. An efficient annual financial statement does not happen by chance. Here are our five most important tips on how you can simplify your annual financial statements in Business Central in a smart and sustainable way:
Tip 1: Create a completion checklist directly in Business Central
Instead of working with separate Excel lists or piles of paper, we recommend using a central closing checklist directly in Business Central. The aim is to systematically record and clearly manage all annually recurring closing tasks.
Among other things, you should record the following:
This structure can be mapped in Business Central, for example, via tasks, notes, or defined recurring processes. The big advantage for you and your team is that all information is located in one central place and is transparently visible to everyone involved. Queries are significantly reduced, and you maintain an overview even with more complex transactions.
Tip 2: Prepare recurring bookings neatly
Many closing entries in your company are similar every year. These include accruals, provisions, and periodic transfers. Instead of creating these entries from scratch each time, you can prepare them as recurring entries in Business Central.
The following year, you will usually only need to check the amounts and adjust them if necessary. The underlying posting logic, account assignment, and structure are already stored. This saves your team time, reduces manual entries, and minimizes the risk of typing errors—especially during the already labor-intensive closing phase.
Tip 3: Record knowledge—don't keep it in your head
A common time-consuming task in the annual financial statements is the question: "How did we do it last year?" If this knowledge is only available in the minds of individual employees, unnecessary dependencies and delays arise – especially when colleagues are on vacation, responsibilities have changed, or employees have left the company.
Business Central offers you several options for documenting relevant knowledge directly in the respective process. These include, among others:
- Notes on general ledger accounts
- Comments on booking sheets
- linked documents such as evaluation logic or calculations
This ensures that expertise remains where it is needed in your company: in the system. Your closing process becomes traceable and independent of individual persons.
Tip 4: Clear distinction: closing vs. day-to-day business
Another important factor is the clear separation between ongoing day-to-day business and closing tasks. With accounting periods and clearly defined posting periods per user, you can ensure that subsequent postings are avoided.
This prevents accidental subsequent postings, later corrections, and unnecessary queries within your team or from external parties. This ensures a smooth process and that your company's figures are reliable and consistent at the time of closing.
Tip 5: Prepare evaluations in a targeted manner
Evaluations should not be carried out at the end of the closing process in your company. If P&L, balance sheet, or cost center reports are defined in advance, you will save valuable time in the end.
Ideally, you should already know before the final posting step:
- which figures are required,
- in which structure the evaluations should be structured,
- and for whom they are created, e.g., for management, controlling, or external partner companies.
This allows you to tailor your final thesis specifically to this and avoid last-minute adjustments under time pressure.
Why structure pays off—even beyond graduation
A well-organized annual financial statement not only speeds up your company's processes, but above all improves quality. You gain greater certainty in your figures, create a better basis for decision-making, and present a professional image to tax advisors, auditors, and management.
In addition, you create a closing process that grows with your company and can be further optimized year after year.
Our conclusion
The annual financial statements don't have to be a state of emergency for your company. With a well-thought-out structure in Business Central, it becomes a predictable, repeatable process— and a little more efficient every year.
Every year? Yes—but please, better organized! Because after the annual financial statements is before the annual financial statements.
Stress-free year-end closing? – Yes, please!
Would you like to optimize your annual financial statements in a targeted manner—without lengthy preliminary projects? Together, we will put your annual financial statements in Business Central to the test.
In our "Annual Financial Statements" finance workshop, we will show you how to organize, document, and prepare your closing activities so that you can close your books much faster and more securely next year.
Find out more about our finance workshop "Annual Financial Statements."
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About the author
Nicole Dyck · TEAM Lead Functional Consultant
I come from financial accounting on the customer side and am familiar not only with the figures, but also with all related processes: controlling, cost accounting, asset accounting, accruals, valuation, group accounting, and financial statement organization.
Today, I bring this broad business expertise to Business Central projects. With an eye for the big picture, not just individual bookings.
In short: Business administration degree, over 30 years of experience with Business Central, and numerous annual financial statements under my belt. (So I'm a real BC dinosaur...)
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