BENCH SMALL BUSINESS GUIDES 3. It helps you catch banking errors quickly If you wait until the end of the year to reconcile your financial transactions, then you won’t know if the bank made a mistake until you’re buried in paperwork at tax time. It can be more difficult to reconcile an overcharge with your bank months later, than if you’d caught it right away. 4. It gives you a clear picture of where your money is going You may be able to see your bottom line by glancing at your bank balance, but the ups and downs in your account are also telling a story. Are sales up? Are your shipping costs too high? Who knows? Paying attention to your financial statements is a great way to get to know the story of your business. 5