Bookkeeping
Definition
The day-to-day recording of a business's financial transactions — sales, purchases, receipts, and payments — into organized accounts. Bookkeeping is the foundation that accounting builds on: accurate books feed the general ledger, financial statements, and tax filings. HelloBooks automates bookkeeping by importing bank feeds, categorizing transactions with AI, and posting double-entry records in real time.
Related Terms in Core Accounting
Cash Flow
The net movement of money into and out of a business over a period. Positive cash flow means more money is coming in than going out; negative cash flow signals the opposite. Distinct from profit — a profitable business can still run out of cash. HelloBooks tracks cash flow live and projects runway from your invoices, bills, and bank balances. See also the Cash Flow Statement.
Audit Trail
A chronological, tamper-evident record of every change made to a financial transaction — who created it, who edited it, what changed, and when. Essential for audits, fraud prevention, and regulatory compliance (SOX, GST, GAAP). HelloBooks maintains an immutable audit trail on every invoice, bill, journal entry, and payment.
Closing Entries
Journal entries made at the end of an accounting period to transfer balances from temporary accounts (revenue, expenses, dividends) into permanent equity accounts, resetting the temporary accounts to zero for the next period. Part of the month-end and year-end close. HelloBooks generates closing entries automatically.
Month-End Close
The process of finalizing a business's books at the end of each month — reconciling bank and credit-card accounts, posting accruals and adjustments, reviewing the trial balance, and locking the period. A faster close means timelier financial reporting. HelloBooks shortens the close with automated reconciliation and a guided close checklist.
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AI-assisted bookkeeping that handles invoicing, GST, reconciliations, and reports automatically. Free to start.