This is especially important if you run a firm where your income varies significantly from one month to the next, such as personal injury and other litigation practices.
I have seen lawyers run into trouble when they didn’t meet regularly with their Bookeeper and organize themselves to make quarterly GST payments. All of a sudden a large bill comes from CRA that was not necessarily on the budget for the month and compromises cash flow.
It’s also important to stay on top of and track personal versus business expenses monthly to ensure the business is taking advantage of all deductions available. In particular, if there is not a dedicated company credit card and the owner manager has to remember all of the expenses that were personal and business later in the year. This can be time consuming and very tricky!