After getting through this unpredictable financial year, we bet you can’t wait to put your feet up with your favourite drink in hand. We know we’re looking forward to it!
But before you do, you may have noticed that it’s also the end of business quarter four. So what does that mean for you?
We recommend winding down the fourth quarter with a business check-in to ensure that you set yourself up for success in 2024. We’ve broken it down into ten easy steps so you can’t get straight to taking that relaxing break.
1. Update Your Financials
First thing; ensure your financials are up to date. Create a financial statement for quarter four and check everything has been entered into the correct bank accounts and any outstanding bills have been paid.
2. File All Receipts & Invoices
Make sure all your documents are filed either manually or by bookkeeping software. We always recommend Xero.
3. Review Your Profit & Loss Report
Check your net and gross profits from quarter four compared to previous quarters and from the year before to see how your business is faring.
4. Review Your Balance
Print out your balance sheet and compare the outcome of your business this quarter to previous quarters. Has Christmas time given you an extra boost? Is this more than quarter four last year?
5. Check Your Outgoings
Where have you been spending the money? Have your investments given you a return? Is there any budget you can tighten or areas where you can save money?
6. Check Your Obligations
Ensure you know when wages, instalments etc are due in the next quarter and if you have the funds available to make the payments.
7. Check Your Drawings/Shareholders Loan Accounts
Make sure you’ve not taken out more than your cash flow or profits can meet.
8. Revise Your Plan
Compare your current quarter and annual results with your 2023 plan, budgets and forecast. Are there any areas that you need to work on for next year? Celebrate wins and learn from the mistakes this quarter.
9. Make A Plan For Quarter One
Now you’ve looked through your plan, can you make a solid strategy for next year? Allocate a budget, forecast and strategy for each of the quarters going forward based on this year’s results.
10. Discuss With Your Accountant
An experienced accountant can help you with some additional insight and ideas to help you get set up for success in 2024.
And after you’ve done all that, you definitely deserve to park up in that cosy armchair and watch Love Actually for the 100th time. Does it ever get old?