CDA offers professional account reconciliation services in Dubai, UAE for small and medium enterprises, corporate houses, and large organizations. Through our expert account reconciliation services, we make sure that the actual account balance matches the corresponding bank statement, preventing fraudulence and legal issues to help our clients focus fully on their business goals. Outsourcing account reconciliation services to a financial expert like CDA not just ascertain the accuracy of your company's financial statements but also ensures compliance with regulatory/ statutory requirements.
The accounts reconciliation is the process of verifying an organization’s financial records in order to identify any kind of deficiencies and if so reconcile them for better financial planning in future. Effective accounts reconciliation procedure ensures two sets of records or the balances of two accounts agree with each other. A company can ensure that the money leaving an account matches the actual money spent by following the reconciliation process.
Be it SMEs or MNCs in UAE, the possibility of legal issues, maintaining the confidentiality of the vital data and the chances of fraud and corruption are high. CDA experts in Dubai, UAE offer the best accounts reconciliation services in this regard to eliminate and eradicate these issues. The range of accounts reconciliation services including the following:
Companies that are having a huge number of transactions, either online or cash/cheque deposits and withdrawals, etc., it will be a time-consuming work for the accounts department within the companies. In such cases outsourcing the bank reconciliation process will be appropriate for them.
To proceed with the reconciliation of a bank statement, CDA experts relate the given bank account balance with the general ledger of the business.
The Steps to Reconcile a Bank Statement
Once the balances are equal, CDA experts help companies to prepare journal entries for the adjustments to the balance per books. Timely reconciliation of bank accounts is very vital to ensure proper control and sufficient balance of funds in the company.
CDA offers Vendor Reconciliation Service to a company when the reconciliation between the supplier ledger and the accounts statements from the supplier becomes more difficult. It happens if the number of transactions is high and the records like discounts, rebate, returns, etc. are involved in the contract.
CDA offers Customer Reconciliation Service to a company when the number of transactions made by the company is more and additional considerations such as discounts, rebates, returns, etc. are involved in the contract.
The inter-company transactions are transactions between the Head Office and its branches or between the sister concerns. In some companies, the recording of transactions is not taking place in time for one or the other reason. The inconsistency between the accounts maybe because of the non-availability accountants, inappropriate organization between related parties, exchange rate variation, postponement in transportation, etc. CDA experts analyse the causes and reconcile the process.
The prepaid expenses are expenses such as insurance, rent, interest and taxes, and utilities like electricity, gas, water, sewerage, etc.that are paid by a company in advance.
CDA experts will analyze the whole process and address the issue. The prepaid expense is carried on the balance sheet of a company as a current asset until it is consumed.
Prepaid expenses are initially recorded on the balance sheet, not on the income statement. Once the benefit of the prepaid expense is realized or incurred, it is documented on the income statement.
As per the Generally Accepted Accounting Principles (GAAP), accrual accounting requires that expenses should be recorded when incurred. So, prepaid expenses aren’t entered on the income statement when paid, because they are yet to be incurred.
CDA has a team of accounts reconciliation experts who conducts a detailed analysis of your financial transactions and accounting records with a view to uncovering discrepancies, ensuring a better financial prospect for your company. Our pack of excellent and skilled Accountants have been offering Reconciliation services to the clients in the UAE for the last so many years successfully. Our clients are well-satisfied and gain the momentum to gallop in their business.
CDA also offers various services to its clients, like CFO services, Outsourced Accounting Services, Organizational Restructure, TAX or VAT Consultant Services, Implementation of Accounting SoftWare Services, and Due Diligence Services to the business world.
Any concerns on accounts reconciliation services in Dubai or UAE? Feel free to contact us. Our experts are ready to assist you. We offer one-hour free consultation.
Reconciliation is a comparison of two sets of records to make sure that the cash going out of the checking account matches invoices. In simple words, it is the investigation and reviewing of the financial statements and supporting documents. It helps to close the books of accounts and enhance the credibility of internal financial statements.
Account reconciliation services include comparing transactions recorded internally against external activities such as:
Step 1: Review the Opening Balance
The start line for the supplier statement reconciliation is to agree the opening balance shown on the supplier statement with the opening balance on the account’s payable ledger account for the supplier.
Step 2: Review the Period Entries
All the things which appear on both the supplier statement and on the supplier’s account within the accounts payable ledger should be marked with a tick mark. These things can now be eliminated from the reconciliation process.
Step 3: Allocate Credit Notes and Payments
All credit notes and payments should be allocated against invoices in suppliers’ system.
Step 4: Differences
All remaining items not eliminated in steps 1 to 3 above represent either item on the supplier statement or not within the account’s payables ledger.
There are several reasons that invoices show amounts that don't match bank statements or accounting records:
Debtor reconciliation is that the reconciliation of balances between debtors accounts and customers account. Accounts Receivables ageing reports are used for reconciliations, by matching client’s ledger in Company books of Accounts with Companies Ledger in Clients Books of Accounts. Its correctness is monitored and if there's any difference it will be intimated to the management.
In UAE Bank confirmation and bank reconciliation report is one of the mandatory requirements for External audit. Reconciling the accounts helps to determine if accounting changes are needed. It helps to ensure:
Bank reconciliation is the process of verifying an organization’s financial records and transactions so as to detect discrepancies. So outsourcing bank reconciliation with an expert team is important to spot timing differences and discrepancies between the financial records to reinforce income management. We provide expert services with professional advice and presentation of quality information
Bank errors are the incorrect transactions recorded by the bank. The common bank errors are:
The common reasons for the differences are:
Fill in the form below, and we'll get back to you within 24 hours.