Month-end close in the pharmaceutical industry can feel like a race against time. It’s a high-pressure process that requires accuracy, compliance, and coordination. However, with the right mindset, daily rituals, and practical strategies, you can turn this challenging period into a predictable, efficient, and even empowering part of your finance operations.
By implementing a structured month-end close, you can catch errors early, accelerate reporting, and simplify audits. Ensuring your financial data is accurate and decision-ready is crucial for operational efficiency. Tools like Juleb ERP help streamline this process, reduce close times, and improve data accuracy, enabling stronger financial health for your pharma business.
Capture and Confirm All Transactions
Start by collecting all financial transactions for the month, including:
• Sales and purchases
• Cash inflows and outflows
• Accounts receivable and payable
Ensure all revenues are correctly recognized and expenses are recorded per your accounting policies. This guarantees complete and reliable financial data for the closing process.
How Juleb ERP Helps:
Juleb’s General Ledger updates values in real-time. For multi-user environments, it’s critical to confirm that all postings are complete, including stock operations and corresponding accounting entries. Juleb’s workflow ensures no gaps, reducing errors and increasing trust in your month-end data.
Reconcile Balance Sheet Accounts
Reconcile all critical balance sheet accounts, including:
• Bank accounts
• Credit cards
• Loans
• Intercompany transactions
Comparing internal records against external statements quickly identifies and resolves discrepancies, ensuring accurate and reliable financial reports.
Juleb ERP Advantage:
You can import bank statements directly and automatically reconcile transactions. Unmatched entries are easy to review and adjust, ensuring all balances align across accounts. Credit cards and loan accounts follow the same streamlined workflow, improving overall accuracy.
Reconcile Profit & Loss (P&L) Accounts
For P&L accounts, including revenues and expenses, accurate reconciliation is essential.
Juleb ERP Advantage:
Juleb provides detailed account reports, allowing you to drill down into specific transactions and verify entries. For pharmacy operations, sales discounts and adjustments are correctly reflected in P&L, guaranteeing trustworthy financial statements.
Post Adjusting Journal Entries
Record any adjustments to reflect your financial position accurately, such as:
• Accrued expenses
• Prepaid expenses
• Depreciation and amortization
Juleb ERP Advantage:
Adjusting entries are easy to post with Juleb’s intuitive module. Recurring entries like depreciation can be automated, reducing manual work and errors. Clear audit trails provide confidence before finalizing the month-end close.
Review Fixed Assets and Inventory
Verify fixed assets for acquisitions, disposals, and depreciation. For inventory, conduct physical or cycle counts and adjust for obsolescence. This ensures your balance sheet reflects accurate asset values.
Juleb ERP Advantage:
Juleb tracks fixed assets and depreciation schedules automatically. Inventory counts and adjustments are updated in real time, providing precise financial reporting across all assets.
Generate Preliminary Financial Statements
Prepare draft financial statements income statement, balance sheet, and cash flow, and review for accuracy. Compare results with budgets and prior periods to spot discrepancies.
Juleb ERP Advantage:
Pull draft statements and conduct variance analysis quickly. Identify unusual trends or errors, ensuring reliable financials for decision-making.
Management Review and Period Closure
Share draft statements with management, address feedback, and finalize adjustments. Close the accounting period to prevent unauthorized changes.
Juleb ERP Advantage:
Lock accounting periods per branch or company to maintain data integrity. Generate consolidated MIS reports for accurate branch-wise and group-level insights.
Consolidate and Prepare External Reports
For multi-branch or multi-entity companies, consolidate financials, eliminate intercompany transactions, and prepare group-level reports. Generate external reports for regulators, auditors, and investors.
Juleb ERP Advantage:
Centralized consolidation, automated inter-branch transfers, and multi-company management simplify reporting. Export financials for external consolidation using Excel, Power BI, or Juleb BI for advanced reporting.
How Juleb Supports Month-End Close
Automated Inter-Branch Transfers: Maintain centralized accounting across multiple branches.
Unified Environment: Manage multi-company setups in a single system.
Consolidated Reporting: Generate trial balances and statements per company for external consolidation.
Custom Reports: Build stakeholder-ready reports or extend functionality with modules.
Advanced Needs: Real-time consolidation, multi-currency handling, and sophisticated reporting via Juleb BI.
Conclusion
Month-end close in pharma doesn’t have to be stressful. With structured processes, best practices, and Juleb ERP, you can:
• Reduce errors and discrepancies
• Accelerate reporting timelines
• Ensure compliance and audit readiness
• Gain real-time visibility into financial performance
Empower your finance team to master the month-end close and strengthen your company’s financial health with Juleb ERP.
Streamline your financial close, reduce errors, and gain real-time visibility with Juleb ERP.
Book Your Free Demo Today and Transform Your Month-End Close!
