Put your best foot forward this New Financial Year and get your business heading in the right direction by following this checklist, and get set up for a good looking 2020!
Get that budget sorted!
If I didn’t mention budget would I even be an accountant? New Financial Year = time to get those numbers sorted! Have a look at what your expenses were last year, and compare these against your revenue. We like to budget each area of our business from admin to marketing to utilities etc. Have a look at what your necessities are and determine where you may need to spend more or where you expect there may be a spike. This can help you find out where you may be able to cut back a little.
This is the time where all of your money starts to roll over, and it’s time to have a good look at your finances:
- What was your revenue last year?
- How much did your expenditure add up to?
- What is your predicted revenue and expenditure for this coming year?
- Levels of your inventory.
- What bills have you got coming in, and can you get a better price?
- And wages? (One of your biggest expenditures no doubt.)
It all adds up, and the idea is to make sure that the profits coming in far [hopefully] outweigh all of these combined.
Want a hand in getting this sorted? Check out business.gov.au for a rundown of how to create a budget.
Get to know your budget here.
Set your financial goals for the year!
WRITE THEM DOWN!!
By writing down your financial goals it will make them more likely to happen. Why? Simply because you are reminded of what you are working towards. Documenting will also help dictate your budget, and help establish the procedures needed to make sure you get that triple bottom line you are looking for.
Have a look at the best way to go about setting your goals.
Review your business plan
Speaking of goals, when was the last time you had a look at your business plan or updated it? I think it may be time. It is a great tool to keep you on track for your big picture plans, and and how you’re going to get there. It also helps to put into perspective where you were, where you are now and give you an idea of where you are heading.
Time to invest?
You just got a decent payday from your tax return, and its money you have been without for the last year, so think of it as a bonus and put it towards your future. You can invest, earn, and build on something that was not there before.
Swap over your credit cards
Okay, so this is something we recommend doing every two years – but if you’ve had the same credit card for a while have a look at some of the others out there. Every time you get a new credit card (or swap from your old one) there’s a good chance you’ll get a bit of a bonus as an incentive. From cash back to frequent flyer points, you could be saying hello to your next holiday (check out what the benefits of having a credit card for your business are.)
Just like you change your smoke alarms over at daylights savings, use the new financial year as the time to change over your credit card.
Have a look at your super
Are you building on your little retirement nest egg nicely? Or is it looking pretty stagnant at the moment?
This is the time to check in with your accountant and financial advisors to see what you can be doing to see that little graph rise in the right direction.
Amend your strategy as your business changes, and see if you can’t increase your contribution amount.
Shop around
It can also be a great time to have a look at the price of your utilities and suppliers. Many companies often find this is a good time to hike up their prices a little, so shop around. Have a look at what you’re paying for the necessities, and see if you can find it cheaper. Our tip? You can always use what you found in your research to negotiate a better price anyhow. The more you know the more advantage you have. After all every dollar counts and at the end of the day it all leads to that bottom line.
Put together a list of your priorities to execute every July/August as the New Financial Year comes rolling around. Now you have an annual to-do list. Use this to make sure you’re putting your business in the best position to kick start the new year, each and every year.
So let’s get moving and get into shape!
New Financial Year, we’re coming for you!