Year End Checklist for Small Businesses

Two people sit at a table going over paperwork.

The following list is designed to help you get a good look at your business objectives and finances. It will help you understand where you have been and let you create a plan for next year full of success and growth.

Delve Into Your Financial Situation

The end of the year is a great time to make an appointment with your accountant, if you have one, but even if you manage your own finances, you can go over your reports and budgets. Compare your profits and expenses to previous years (if applicable). Go over cash flow, taxes, and pricing. Get a good look at the details and then step back for a view of the big picture. You can pinpoint problems and make a plan to avoid them or correct them in the future. Now is a good time to look at expenditures and decide where or if they need to be cut or expanded in the coming year.

Make A Budget

Your budget should be based on real expectations, so be conservative with your estimates. Using a previous year's profits as a base for your new budget and projections, you can anticipate major expenses in the coming year. Take a good look at any equipment and consider whether it will need maintenance, repair, or replacement in the coming year and include those items in a contingency in your budget. Your final product should be an accurate forecast of expenses and profits in the year to come.

Update Your Records

The end of the year is also a good time to do any housekeeping on your records so you're ready for the new year. Take the time to update employee files, get documents ready for tax filing, and compile customer data - contact information, purchase histories, etc - for marketing purposes.

Do A Risk Assessment

Another great thing to take stock of at the end of the year is your liabilities so you can determine whether you have adequate insurance to protect you, your business, and your assets. Review contracts, making sure to understand your rights and responsibilities in each one, and review your HR policies, employment regulations, and contracted employees; your attorney through our Small Business Legal Protection Plans can help you out with both of these items. Your provider law firm can also help you go over your insurance policy and any business contracts heading into the new year, and answer any questions you might have about contracts, policies, and employment.

Analyze Your Marketing Efforts

Now is a great time to take a hard look at your web site and make notes of things that need updating, changing, editing, and more. Look at your other marketing materials and tools, too. See what worked and what didn't. What advertising brought in the most new customers? If you're not collecting this type of information - where customers heard about you and your business - think about a plan to start collecting that data. Review your social media marketing and see what worked and what didn't. Schedule a meeting with your web designer and/or social media marketing expert or content creation specialist and make a plan for the new year. If you're not using the Internet or social media, the start of the year is a great time to consider how those channels may improve your marketing reach to customers and what you could be doing better or doing more of.

Enjoy Your Success

Ask yourself: "Where did my business succeed this year?" Maybe you completed a big project or landed a great new client. Thinking about everything you did right that led to your success will make it easier to replicate those successes in the future.

Consider Your Challenges

Just as it is important to look at your successes, it's just as pertinent to consider challenges, what led to them, and how you navigated through them. If you've had trouble collecting payments, a new payment policy may alleviate the issue, for example. Being proactive will help you avoid the same pitfalls next year.

Set Your Goals

Whether you want to increase customer service, launch new marketing, or bring in new products or services, making a plan now will make whatever you have in store much easier. Write out your goals and the steps you'll need to take to achieve them. Make sure your goals are concrete, realistic, and achievable. Track your progress by reviewing your goals throughout the coming year.

As always, if you have small business questions, feel free to contact us for a small business consultation where we can go over all the aspects of your business and give it a check up for 2022. Our Small Business Legal Plans can help you review contracts, policies, and other documents pertaining to your small business, and cut off any legal problems at the pass. Learn more about our Small Business Legal Protection Plans or sign up today!