Congrats, you made it through another end of financial year! If the experience was a bit rushed and even a little stressful, not to worry – you’re not the only business owner who felt that way. And now that we’ve landed freshly into a brand new financial year, this is the perfect time to get everything in order for the year ahead. Here’s how to get a smart start on the new financial year, and make the next 30 June a stress-free day:
1. Review existing processes
While memories of the previous end of financial year are still fresh, write down everything you wish you – or your staff – had done to avoid hiccups or headaches. You might need to look into the way expenses are tracked, or your process for storing receipts, or it might be time to digitise certain processes if they are still paper-based. Maybe your accounts person was off sick in the lead up to end of financial year and things got behind. Consider if there’s room to document your processes so that you are not reliant on a specific individual being available to get the work done.
2. Plan and track your cashflow for the year ahead
It’s essential that you track business cash flow and plan ahead. Take the time to forecast how much money your business is expecting to receive, and required to pay, over the coming weeks, months and year. Of course there will be unanticipated costs – and hopefully income! – but your forecast will give you a clear enough picture to manage and prevent most cash flow issues. Download our FREE Cashflow Plan – it’s a quick and easy solution to your cash flow forecasting needs, featuring:
- A simple method to achieve positive cashflow every month
- Insights on your monthly incomings and outgoings
- How to plan ahead and avoid financial stress
3. Speak with your accountant about maximising your tax benefits
Plan ahead and seek your accountant’s advice on getting the most out of tax benefits and offsets available to your business. It’s also important that you understand your tax obligations to stay out of trouble with the ATO. The best advice is professional advice, so make sure you tap into your accountant’s knowledge and understanding of your business and the broader taxation system.
4. Consider if it’s time to increase prices
Every business owner has to look at increasing prices from time to time. Price increases can occur for a multitude of reasons, including in response to increased business costs and changing consumer demand. The new tax year is a great time to conduct a full review of your current pricing structure. Read our blog about the 3 signs it’s time to increase prices – including how to do it without losing customers.
Follow these steps to get a smart start on the new financial year – and we hope it makes next 30 June as stress-free as possible!
Are you struggling to manage your business cashflow? We have something that can help. Download our FREE Cashflow Plan to get back on track!