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What is General ledger Reconciliation?

General Ledger Reconciliation is a critical function in financial accuracy. It involves comparing a company's general ledger account balance with other independent sources, statements, or reports to find inaccuracies and correct them. However, this task can be cumbersome and prone to errors when done manually. Using Nanonets, the General Ledger Reconciliation becomes automated, reducing the need for manual labor, minimizing errors, saving time, and ensuring an accurate depiction of a company's financial state.

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How Automated reconciliation works for General ledger

Use natural language input to extract structured data from your documents

Automated Data Extraction

Nanonets' General Ledger Reconciliation begins with automated data extraction from various sources. This reduces the need for human input, thereby reducing the risk of errors.

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Automated Discovery & Rectification of Discrepancies

Next, the software identifies inconsistencies between valuable company's ledger and other financial documents. Using proprietary algorithms, Nanonets suggests possible solutions for swift rectification.

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Automated General Ledger Reconciliation Reporting

Finally, the automation software generates a detailed report outlining the reconciliation results. The report includes details of recognized discrepancies and rectifying actions taken for future audits.

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When your business is your passion, don’t let data entry get in the way.

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Types of Reconciliation in General ledger

Accounts Payable to General Ledger Reconciliation

This process matches transactions recorded in the accounts payable ledger to the general ledger, ensuring accuracy.

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Accounts Receivable to General Ledger

This involves confirming that the transactions listed in the accounts receivable ledger are accurately reflected in the general ledger.

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Bank Statement to General Ledger Reconciliation

This type of reconciliation checks if the cash balance in the company's bank statements aligns with the balance in its general ledger.

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Try Automated Reconciliation for your different use-cases

Ensure GL accuracy

Reconcile general ledger accounts with supporting documents to maintain accuracy and prevent discrepancies.

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Streamline period-end close

Automate GL reconciliations to reduce manual effort and accelerate period-end closing processes.

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Enhance financial transparency

Provide stakeholders with accurate and timely financial information by maintaining reconciled GL accounts.

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CRITICAL FOR YOUR BUSINESS

Importance of Reconciliation in General ledger

Accuracy in Financial Records

Nanonets achieves 99% accuracy in financial records through meticulous general ledger reconciliation, ensuring every transaction is accurately recorded and reported for financial clarity.

Efficient Error & Fraud Detection

Enhance error and fraud detection efficiency by 95% with Nanonets, leveraging advanced algorithms to identify discrepancies and suspicious activities, protecting financial assets.

Improving Cash Flow Management

Improve cash flow management by 80% with Nanonets, optimizing the reconciliation process to accurately track and forecast cash movements, supporting strategic financial planning and operations.

In case you’re not sold yet!

See what our customers say about using Nanonets to automate their manual reconciliation processes.

"Switching to Nanonets revolutionized our reconciliation process. Before, manual errors in invoice matching would take, on average, 3-4 hours to resolve per incident. Now, discrepancies are flagged instantly, allowing our accounts payable team to reconcile vendor statements in approximately 30 minutes - a reduction in resolution time by over 85%. It's not just a tool; it's a game-changer for our finance operations, increasing our efficiency by 90% and reducing manual error by 95%"

Finance Manager

Manufacturing INDUSTRY

"Nanonets has been a critical component in transforming our payroll reconciliation. The automated matching and error detection capabilities have reduced our payroll processing time from an average of 10 days to just 6 days, marking a 40% improvement. Before Nanonets, the error rate in our payroll was around 5%, leading to discrepancies and delayed payments. Now, we've seen a reduction in payroll errors by 90%, making this level of efficiency unimaginable with our previous systems."

Payroll Administrator

Technology Services

“As an accountant specializing in eCommerce, handling an average of 12,000 transactions monthly was always a challenge due to their fluctuating volume. With Nanonets, our reconciliation of digital sales to bank deposits is now seamless, achieving an accuracy rate of 99.8%. This platform has not only saved us over 150 hours monthly but has also significantly reduced financial discrepancies, cutting down on mismatched transactions from 2% to a mere 0.05%.”

Accountant

eCommerce PLATFROM
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Frequently Asked Questions

Q: How does Nanonets boost the efficiency of General Ledger Reconciliation?
Q: Is it difficult to integrate Nanonets with my existing systems?
Q: How does Nanonets ensure the security of my financial data?
Q: Can Nanonets handle large scale reconciliation for big organizations?