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Every company, whether large or small, relies on sound accounting practices for success, and financial reporting plays a critical role in this process. At the core of every financial reporting process, there is a financial report. 

But what is a financial report exactly? And what information is included? Let’s take a closer look.

As organizations scale, it quickly becomes evident how critical it is to have strong processes in place that ensure healthy financial practices and standardization across the organization.

Without proper standard procedures in place, particularly on the financial side, organizations can quickly spiral out of control which can lead to serious problems. At the core of it lies one of the most fundamental processes any organization must set in place—procurement.

Implementing a BI tool for finance is not an initiative an organization can simply perform overnight. It takes planning, training, and a substantial investment of funds and resources.

As a result, the responsibility of choosing the right BI tool can weigh heavily on CFOs’ shoulders. But with so many options available, how can CFOs ensure they are choosing the right BI tool for their organization?

By operating outside the boundaries of convention, lean startups can quickly pivot and remain agile, giving them a competitive edge that most traditional enterprises cannot match. However, to remain flexible, they need processes and software that support their methodology. 

That’s particularly true when it comes to their finances. Having the right accounting software to keep up with the quick changes and expanding needs that lean startups typically face can make all the difference.

What gets measured gets improved—and when it comes to finances, this is especially true. Having a thorough understanding of your financial health is essential to making the right decisions, and none of it would be possible without sound bookkeeping. 

At the heart of this process are journal entries in accounting, which serve as the fundamental building blocks to record your organization’s transactions.