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Level 2

Closing the books in a way that sets balance sheet accounts to zero.

I run QBO International version in Kenya. My accountant has advised me to close the 2019 books by shutting down the accounts and reopening under a new name, so Company A becomes Company A 2020 and so on year on year.  This way my balance sheet accounts start the year at zero. Is this possible on this version of QBO, and if so, how? Thanks in advance!

 

3 Comments
QuickBooks Team

Closing the books in a way that sets balance sheet accounts to zero.

Yes, it is possible to close your books, @Sweetunda.

 

Thank you for joining us here in the Community. I'll be more than happy to help walk you through the steps on how to close your books in QuickBooks Online. 

 

To close the books, it requires a master admin or company admin access. Please make sure to review any outstanding invoices, expenses, and payments. Also, you'll have to reconcile your accounts. This ensures everything is accurate before performing the steps below. 

 

  1. Go to the Gear icon ⚙ on the upper right side. 
  2. Select Account and Settings
  3. Choose Advance, then click the Edit button in the Accounting section.
  4. Put a checkmark in the Close the books box.
  5. Pick a closing date on the calendar. 
  6. Click the drop-down arrow below the date and choose either of the two. 
  • Allow changes after viewing a warning and entering a password- if you want to require a password before editing the closed books.
  • Allow changes after viewing a warning- without a password when editing the books. 

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      7. Hit Save and close. 

 

Your company name represents your brand. It appears in your sales form and purchase order. With this, I suggest consulting your accounting. They can determine the proper company name you'll need to use for each financial year. Once verified, proceed with the steps below.

 

  1. Go to the Settings ⚙, then choose Account and Settings
  2. Click Company located on the upper left pane. 
  3. Hit the Pencil icon beside the Company name
  4. Modify the name and tap Save
  5. Click Done

For more information about changing company information, please visit this article: Change your business name, contact info, or EIN in QuickBooks Online.

 

Please check out this article: Edit your closed books. This link guides you on how to change your closing date and password you use to lock the books. Also, you'll learn more about how to access reports to see any changes made after you close the books.

 

Feel free to leave a comment by clicking the Reply button below if you have follow-up questions. I'm always here to help. 

Level 2

Closing the books in a way that sets balance sheet accounts to zero.

Thanks so much @Michelle_b! This is the process I followed last year and now I think this is exactly what we need to do. My accountant is more familiar with QB desktop - maybe that has differently functionality around creating a separate database for each year.  Thanks again. 

QuickBooks Team

Closing the books in a way that sets balance sheet accounts to zero.

You're most welcome, @Sweetunda

 

Good to hear that you already know the process in closing the books.

 

Please know that you're free to post any concerns or questions regarding QuickBooks. I'm always here to help. Have a nice day ahead, Sweetunda.