Virtual Close

Definition

Virtual close is a process of closing the books and preparing financial statements without the need for physical presence. It is a digital process that allows for the automation of the close process, which can be done remotely. The virtual close process is designed to streamline the close process and reduce the time and resources needed to complete the close.

Example

An example of a virtual close process is the use of cloud-based month-end close software. This software allows for the automation of the close process, which can be done remotely. The software can be used to automate the process of reconciling accounts, managing workflows and communication, preparing financial analytics, and generating reports. This eliminates the need for manual processes and reduces the time and resources needed to complete the close.

Why it Matters

The virtual close process is important for enterprise companies because it allows for the efficient and accurate completion of the close process. By automating the process, companies can reduce the time and resources needed to complete the close. This can lead to cost savings and improved accuracy, as well as improved visibility into the financial performance of the company. Additionally, the virtual close process can help to reduce the risk of errors and fraud, as the process is automated and can be monitored more closely.