Start the new year right with these five financial steps for your small business. Some items lead to significant cost savings, others help identify and correct any inefficiencies in your business. All of them offload stress over the next year.
5 Financial Steps to Kickstart 2015
1. Close the 2014 books.
-Reconcile your accounts (Mazuma has done this for you!)
-Schedule and complete a year-end physical inventory, if applicable.
-Review your balance sheet, income statement and cash flow statement for the year. (Mazuma has prepared all of these for you!)
-Note any deadlines for third party (bank, lending institutions or investor) audits, reviews or compiled financials.
2. Plan ahead for your taxes.
-Check W-9 contact information for all 1099-eligible vendors.
-Arrange with your accountant to have all 1099s prepared by January 31st. (Mazuma does this – just ask!)
-Ask your accountant if taxable benefits should be added to any of your employees’ W-2s. (Mazuma can answer this question.)
-Begin gathering all tax related documents for tax return preparation (like receipts, mileage reports and charitable contributions). (Mail them to Mazuma.)
-Incorporate estimated tax payments for the new year into your budgeted cash flows.
-Review your transactions for major purchases that may be reclassified as fixed assets.
3. Shop around for benefits.
-Request information from your current provider and others to compare competitive bids.
-Talk to an insurance broker for help with the process.
4. Review third-party relationships.
-Contact all third party relationships – like bankers, tax accountants, insurance providers, payroll providers, information technology providers or any other services providers – for an annual review.
-Make sure you’re getting the best rates and right services.
Create a 2015 financial plan.
-Review your business goals from the previous year and evaluate where the business succeeded and can improve.
-Create business goals and a plan of action for the new year.
-Build a budget for the new year, to support your business goals, including: new hires, capital expenditures, revenue estimates, sales quotas, estimated expenses and debt strategy.
-Talk to your accountant about estimated taxes or tax planning for 2015. Mazuma can give you specific financial steps to take and create a plan for your situation.
The more prepared you are for the new year, the better off your business will be financially. Make a plan, stick to it, and experience financial success in 2015!