Bank reconciliation and transaction categorisation are the bedrock of sound accounting, yet they are among the most frequent problem areas for online stores and SMEs. Discrepancies between books and bank statements not only distort financial reports but can also trigger HMRC audits. This service is solely dedicated to systematically reconciling your bank accounts, payment gateways, and credit cards, and accurately categorising every transaction. We target “zero errors” and provide a clean, solid accounting foundation for tax filing, auditing, and management analysis.
Multi‑account Full Reconciliation – We import all transactions from your business bank accounts (current, savings, corporate credit cards) and all digital payment channels (PayPal, Stripe, Amazon Payments) into the accounting system and perform full reconciliations. This includes: verifying that each bank entry matches your recorded income/expenditure; identifying and investigating outstanding items (e.g. bank‑recorded but not book‑recorded, or vice versa); tracking platform settlement reports against actual bank credits (with special attention to settlement delays, FX gains/losses, and platform fees). We provide a monthly bank reconciliation statement clearly listing all adjustments and follow‑up items.
Precise Transaction Classification and Coding – We code every transaction to the correct accounting category in line with UK GAAP and HMRC‑approved classifications. Dimensions include: revenue (by product, service, channel), direct costs (purchases, production, shipping), operating expenses (rent, utilities, insurance, subscriptions), staff costs (wages, pensions, training), finance costs (bank fees, interest), and non‑recurring items (asset purchases, loan repayments, equity movements). We also flag transactions with recoverable input VAT and record the applicable VAT rate and reclaim eligibility.
Historical Ledger Clean‑up and Error Correction – If your past months’ accounts have unresolved items, misclassifications, or missing transactions, we offer a “clean‑up” service. Our senior accountants trace every historical transaction, correct errors, add missing supporting documents, and regenerate adjusted financial statements. We are particularly skilled at untangling “mixed accounts” – where business and personal funds are intermingled – to ensure the company’s accounts clearly reflect its own financial performance.
Exception Transaction Monitoring and Reporting – During reconciliation, we proactively identify and flag unusual or suspicious items: unauthorised large payments, duplicate charges, unexpected fees, refunds not received, bank system adjustments, etc. We notify you within 3 working days and work with you to verify, and if necessary, assist in filing disputes with the bank. This monitoring effectively serves as an internal “financial risk control” mechanism, helping you detect and prevent fraud or errors early.
Month‑End Close Support – At each month‑end, we assist with the full closing process: ensuring all transactions are reconciled and coded, all bank balances are adjusted, all accruals and prepayments are posted, and all depreciation/amortisation is booked. We provide a “Close Checklist” summarising all completed work and final balances, offering a clear audit trail for your records.