Your general ledger is the backbone of your company’s accounting system. It’s where all financial transactions come together, providing a complete record of your business activities. A well-organized ledger makes it easier to prepare accurate financial statements, meet compliance requirements, and make informed decisions. Poorly kept business records, on the other hand, can lead to tax filing issues, compliance risks, and lost opportunities for growth.

A General Ledger is the central record of all your business’s financial transactions. Think of it as the “master book” where every dollar that comes in or goes out is recorded. It summarizes information from invoices, receipts, bank statements, and payroll, and organizes it into categories like income, expenses, assets, and liabilities. In short: the General Ledger is the backbone of your financial records.