1. Profit and Loss Statement
The P&L should cover the month just closed and show revenue, cost of goods sold (if applicable), gross profit, operating expenses, and net profit. It should also show year-to-date figures so you can track cumulative performance.
What to check: Is revenue categorised correctly? Are expenses grouped in a way that makes sense for your business? Is gross margin moving in the right direction?
If your bookkeeper delivers a P&L where every expense is lumped into one category, or where your specific revenue streams are not separated, you are not getting a useful report.
2. Balance Sheet
The balance sheet should show your assets (cash, receivables, inventory, fixed assets), liabilities (payables, loans, accruals), and equity as at the last day of the month.
For most SMEs, the items to watch are: cash position, total accounts receivable, total accounts payable, and net equity. A monthly balance sheet lets you spot worrying trends before they become crises.
3. Bank Reconciliation
Every bank account your company holds should be reconciled monthly, without exception. The reconciliation proves that your internal records match what your bank shows.
Your bookkeeper should provide you with a reconciliation statement showing the closing balance per your books, any reconciling items (outstanding cheques, deposits in transit), and the closing balance per your bank statement. They should agree.
If your bookkeeper is not reconciling your bank accounts monthly, ask why. An unreconciled bank account is a bookkeeping red flag.
4. Accounts Receivable Aging Report
If your business issues invoices to customers with payment terms, you should receive a monthly AR aging report showing all outstanding invoices grouped by age: 0–30 days, 31–60 days, 61–90 days, and 90+ days.
This is a cash flow management tool as much as an accounting report. The aging report tells you exactly who owes you money, how much, and for how long. Without it, overdue invoices accumulate quietly until they become a serious problem.
5. Trial Balance
The trial balance is an internal document that lists all accounts and confirms debits equal credits. You do not necessarily need to read it line by line, but it should be available. If your auditor or tax agent asks for it, it should be ready to go without any additional preparation.
6. Management Notes (for Growing Businesses)
A basic bookkeeping service produces numbers. A good bookkeeper adds context. Even a short paragraph noting what drove a spike in expenses, why revenue was lower than the prior month, or flagging an unusual transaction that warrants your attention — that is management analysis.
Not every business needs this at every stage. But if you are making decisions based on your monthly reports, brief explanatory notes make those reports significantly more useful.
Questions to Ask Your Current Provider
If you are not already receiving all of the above, start by asking. Sometimes reports are being prepared but not sent. Sometimes they are being prepared late and never communicated. Sometimes they are genuinely not being done.
A bookkeeper who cannot tell you why a particular expense category changed month-on-month, or who struggles to explain the reconciling items in your bank reconciliation, may not have the depth of understanding your business needs.
Good bookkeeping gives you clarity. If your monthly reports leave you more confused than informed, that is feedback worth acting on.