Light offers a streamlined process for managing month-end financial closings. Instead of a rigid step-by-step guide, this article describes the key features and underlying functionality that empower users during the closing process.

Period Generation

In Light, you can generate specific periods that represent any chosen month. Each period acts as a container for all associated transactions and financial activities during that time. This feature ensures clarity and control over each closing cycle, for example, by creating a dedicated period for December.

Customizable Closing Tasks

A significant feature in Light is the ability to generate customizable closing tasks in addition to the four mandatory ones. This flexibility allows you to manage and tailor the closing process according to your organizational needs, ensuring that nothing is overlooked.

Mandatory Closing Tasks

Regardless of any customization, Light requires that four core tasks are always addressed during the month closing process:

Accounts Payable (AP):
The AP feature includes a detailed class table where all invoices pending approval are displayed. It allows you to consolidate pending invoices by pushing them to the next period. Moreover, you can lock AP for specific entities to prevent any further modifications once the closing actions are completed.

Accounts Receivable (AR)
Similar to AP, the AR section is designed to manage receivables efficiently. After addressing any pending items, the system locks AR to secure the financial data for that period.

Journal Entries:
Light supports the posting and review of journal entries essential for reconciling the accounts. This task ensures that all financial transactions are accurately recorded and classified.

FX Revaluation:
Acting as the final checkpoint, the FX Revaluation task is crucial for assessing the impact of exchange rate fluctuations on financial positions. By recalculating and validating foreign exchange values, this feature ensures the integrity of transactions across different currencies.

Period Finalization and Reopening

Once all tasks, including the mandatory ones, are executed, the period (such as December) is officially closed. Light also provides the ability to reopen a closed period, offering the flexibility to make further adjustments if required. This is particularly useful when discrepancies are identified after closing, ensuring that the financial records remain accurate.