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Getting Your Financial House in Order for the New Year: What Small Businesses Need to Know

As small business owners, it's vital to plan ahead for the new year. Taking time to review your financial goals and strategies, assess finances, and do tax planning is essential to ensure that your small business reaches its financial objectives. Here are 3 ways to plan ahead for financial success in 2023!

Review Financial Goals and Strategies

Setting financial goals and establishing strategies to achieve them is one of the most important things you can do to maximize your likelihood for success. Looking back at past performance can give you an idea of how far you've come and help inform your future decisions. Short-term goals are crucial for staying on track, and long-term goals are essential for setting yourself up for a strong financial future.

Take the time now, early in the year, to sit down with your CPA business advisor and review your financial goals and strategies. Work with them to develop a strategic plan for the year that is tailored to your specific individual and business needs - it could make a huge difference in the years ahead.

Assess Finances

Assessing finances is another critical task for setting your business on the path to success. This can feel a little overwhelming to business owners who are experts in their business- but perhaps not the numbers behind it.

This is another area where you should lean on your CPA to help you gain a thorough understanding of your business' financial health.

It requires reviewing the profit and loss statements from the previous year while analyzing budget and cash flow planning for the upcoming year. This insight can help inform decisions about how to allocate resources and plan strategically for future spending, hiring, and investments.

Understanding this data is key to being able to make smart decisions as a business leader and ensure long term success of your business.

Tax Planning

Tax planning for small business owners can be daunting, especially if you are a new entrepreneur. But with the right strategies, understanding the basics of taxation can help business owners increase their profit margins and reduce financial liabilities.

In addition to following standard procedures, such as filing monthly payroll taxes or setting aside funds for self-employment tax payments, having an in-depth knowledge of various deductions, credits and allowances could help maximize your savings by reducing taxable income. Ultimately, while tax rules tend to change annually, good tax planning practices can provide peace of mind in the future and greatly assist with putting any extra funds back into growing your business.

Need a partner with tax and financial expertise who can help you be proactive financially and tax efficient? Owning a business can feel overwhelming. Business owners deserve to reach their full potential without feeling limited by what they don’t know.

Call us today for a complimentary consultation at (404) 668-4713, and we’ll help you get 2023 off to a great start.

800 Mount Vernon Hwy NE
Suite 350 
Sandy Springs, GA 30328
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