Accounting CoE

Centers of Excellence - CoE

Offshore Bookkeeping & Accounting

Our teams seamlessly integrate with Your organization to enhance reliability, streamline processes, boost efficiency, and drive financial excellence. LOFTT solution is tailored to meet the needs of US and Canadian companies that are looking for a lower cost of their accounting operation by running it from one of our COEs in LATAM countries (Bogotá, Lima) while improving its effectiveness.

we propel companies toward excellence by redefining financial strategies, embracing disrup

What our CoE can do for Your company:

Designed to optimize Your entire financial reporting journey. From data gathering and reconciliation to financial statement preparation and analysis, we navigate every step with precision facilitating accelerated reporting cycles. Our services include any or all of the following activities:

Data Collection and Verification from various sources, such as departments, subsidiaries, and business units, verifying the accuracy and completeness of the collected data.

Journal Entries and General Ledger, including Bank, Intercompany, and Accounts Reconciliation, ensuring that balances are accurate and discrepancies are identified and resolved.

Perform month-end or year-end Closing Activities to finalize financial data for reporting periods.

Financial Statements Preparation, including the income statement (profit and loss), balance sheet, and cash flow statement, ensuring compliance with financial reporting standards.

Prepare and submit Financial Reports to regulatory authorities, shareholders, and other stakeholders.

Audit Preparation, ensuring that all financial data and supporting documents are organized and ready for internal and external audits, and coordinating with auditors to facilitate the audit process.

Financial Analysis to provide insights into the company's performance, financial health, and trends, and support management decisions with data-driven recommendations.

By effectively managing the Purchase-to-Pay process, You can enhance procurement efficiency, maintain accurate financial records, optimize cash flow, and strengthen relationships with suppliers. Our services include any or all of the following activities:

Monitor and manage approval processes for purchase orders, ensuring compliance with company policies, procurement regulations, and financial controls.

Verify Invoices, matching the received goods or services with the corresponding purchase order and supplier invoice, validating invoice accuracy, including pricing, quantities, and terms (three-way match), and resolving any discrepancies before proceeding.

Record the supplier invoice in the accounts payable ledger as a pending payment, and allocate expenses to appropriate cost centers or departments based on the nature of the purchase.

Prepare the payment process based on agreed-upon terms, such as due date and payment method

Generate payment instructions, arrange funds for payment, and update the accounts payable ledger to reflect the payment.

Address inquiries, resolve disputes, and ensure prompt payment, maintaining positive relationships with vendors and suppliers.

Generate reports on procurement activities, invoice processing, payment status, and vendor performance.

Analyze spending patterns and identify opportunities for cost savings.

Maintain detailed records of purchase orders, invoices, payment receipts, and correspondence, ensuring transparency and auditability of the P2P process.

The A2R process involves managing Your fixed assets throughout the lifecycle, from acquisition to disposal or retirement. This process ensures accurate tracking, depreciation, maintenance, and eventual removal of assets. Our services include any or all of the following activities:

Capitalize the cost of acquired assets into the appropriate asset accounts, recording the asset details, such as description, cost, acquisition date, and location.

Calculate and record depreciation expenses over the asset's useful life, applying the appropriate depreciation methods (e.g., straight-line, declining balance).

Track and record maintenance activities to ensure asset functionality, capitalizing the cost of significant improvements that extend an asset's life or enhance its capabilities.

Record leased assets and corresponding lease liabilities as per accounting standards (e.g., IFRS 16, ASC 842), calculating and reporting lease-related expenses.

Assess assets for potential impairment due to changes in market conditions or usage patterns, comparing an asset's carrying value to its recoverable amount.

Identify assets that are no longer in use or have reached the end of their useful life, determining the method of disposal (e.g., sale, scrapping) and recording the disposal transactions.

Remove disposed assets from the books through derecognition, calculating gains or losses on disposal by comparing the sale price with the carrying value.

Record transfers of assets between locations or departments within the organization, ensuring accurate documentation of asset movement.

Implement internal controls to safeguard asset data and prevent misstatements, and maintain detailed records of asset information, transactions, and depreciation calculations.

Generate reports for internal management, financial statements, and regulatory compliance.

The Payroll process involves a series of accounting activities aimed at calculating and disbursing Your employees compensation accurately and on time. This process ensures that employees are paid their wages, salaries, benefits, and deductions in compliance with labor laws and company policies. Our services include any or all of the following services:

Calculate regular pay, overtime, and any other earnings based on employee work hours and compensation agreements, applying wage rates, benefits, commissions, deductions, taxes, and bonuses as applicable.

Process payroll data to calculate net pay for each employee, and prepare payroll reports and statements for review.

Arrange direct deposits of funds into employees' bank accounts, and provide employees with pay stubs detailing earnings, deductions, and taxes.

Calculate and remit employer payroll taxes, including Social Security, Medicare, and unemployment taxes, ensuring accurate reporting and timely payments to tax authorities.

Accrue expenses for unpaid wages and related payroll taxes at the end of each reporting period, ensuring accurate financial reporting and compliance with accounting standards.

Manage employee leaves, such as vacation, sick leave, and unpaid leave, calculating leave balances and adjusting pay accordingly.

Generate payroll reports for management, accounting, and compliance purposes, and analyze payroll data for trends, anomalies, and accuracy.

Reconcile payroll data with general ledger accounts to ensure accuracy, resolve discrepancies and adjust entries as needed.

Conduct internal audits of payroll processes and records to identify errors or discrepancies, and coordinate with external auditors during financial audits.

Designed to ensure efficient order fulfillment, accurate invoicing, and timely collection of payments. By efficiently managing each step of the process, You can maintain healthy cash flow, ensure accurate financial reporting, and build strong customer relationships. Our services include any or all of the following activities:

Receive and record customer orders for goods or services, verifying the accuracy and completeness of order details.

Create invoices based on the order details and pricing agreements, including relevant taxes, discounts, and other charges. Record the invoices in the accounts receivable ledger as a pending payment, and send the invoice to the customer along with any necessary supporting documents.

Recognize revenue in accordance with applicable accounting standards and regulations, ensuring proper timing and allocation of revenue based on the delivery of goods or services.

Evaluate the creditworthiness of customers to determine credit terms and line approvals.

Manage the Collections process, sending reminders, statements, and collection notices to customers for overdue payments, and resolving any billing disputes.

Apply received payments to corresponding customer accounts and reconcile payments against outstanding invoices.

Manage and account for bad debts and uncollectible accounts, making necessary adjustments to the allowance for doubtful accounts.

Generate reports on order status, invoicing, collections, and overall O2C cycle performance, including an analysis of trends and patterns in payment behavior.

Ensuring a clear audit trail and compliance with internal controls.

This area ensures that taxes are accurately accounted for, reported to the appropriate tax authorities, and in compliance with tax regulations. Our services include any or all of the following activities:

Develop strategies to minimize the organization's tax liabilities while staying compliant with tax laws, and evaluating tax implications of business decisions and transactions.

Calculate various types of taxes based on applicable tax rates, rules, and deductions (including income tax, sales tax, value-added tax (VAT), and property tax).

Determine and deduct withholding taxes from payments made to vendors, contractors, and employees, and ensure accurate reporting and remittance of withheld amounts to tax authorities.

Calculate the organization's current and deferred tax liabilities for financial reporting purposes, ensuring compliance with accounting standards related (e.g., ASC 740, IAS 12).

Prepare and file tax returns accurately and on time, providing required documentation and information to tax authorities.

Establish and document appropriate transfer prices for transactions between related entities within a multinational grou, ensuring compliance with transfer pricing regulations and avoiding potential disputes.

Identify tax credits, deductions, and incentives that the organization may be eligible for, ensuring proper documentation and compliance to claim these benefits.

Respond to tax audit requests from tax authorities, providing necessary documentation and explanations to support tax positions taken.

Disclose relevant tax information in financial statements as required by accounting standards.

Stay up-to-date with changes in tax laws, regulations, and reporting requirements, and adapt tax strategies and practices accordingly.