End the financial year correctly

All companies are obliged to complete the current bookkeeping with a financial year with a financial statement. The financial statements must be in the form of an annual financial statement or an annual report. An annual report is more comprehensive than an annual financial statement and must be submitted to the Swedish Companies Registration Office as a public document. What determines how a company should complete the current bookkeeping is the form of company in which the business is conducted, but the size of the company also plays a role.

An annual report shall show how the company performed during the year and what the situation looks like at the end of the financial year. The Annual Accounts Act (1995: 1554) carefully regulates how annual accounts and an annual report are to be prepared.

Preparing for the financial statements

If you prepare for the financial statements in good time, the work of preparing the financial statements is significantly facilitated, and unpleasant surprises can also be avoided. If you have created period reports that accrue regularly throughout the year, this means that you have an idea of what annual results you can expect even before the financial statements.

The preparation for the financial statements also involves inventorying any inventories, and ensuring that revenues and expenses are reported on the correct side of the balance sheet date. This is done, for example, by invoicing customers for delivered goods and making sure to pay the debts you owe your suppliers yourself.