Have you reviewed your business progress lately?
Being halfway through the year it’s a perfect time to reflect on how your business is performing and gives you a good indicator if you are likely to hit targets you set at the start of the year.
To assist you in the next half of the year we’ve put together eight ways that could help you understand what you might achieve moving forward.
1. Reconcile your accounts
To understand your business financials you need to know that your bank and your sales receipts / invoices are all adding up correctly.
Cloud accounting software such as Xero makes it easy for you to automate the mundane tasks, and allows you to quickly see the bigger picture for your business and tracks against goals you set for your business.
2. Review your business year so far
Ask yourself some important questions:
- Has your business grown?
- Is your business thriving?
- How did your revenues and profits compare with the previous year?
- By using your accounting software plot sales graphs – is the trend showing an increase?
- Are there any concerns over expenditure over the past 12 months?
- Have you achieved any of the goals set for the business?
In short, try to understand how your business has changed since the start of the year. If it’s grown, give yourself a pat on the back – and keep going.
If it hasn’t grown, ask yourself why, and dig into the figures to find out more. Now might be a good time to get professional advice from our Chartered Accountants who will help you stay on track for the rest of the year.
3. Stay up to date with tax law
4. Confirm important filing deadlines
Keep diary notes of payment dates, for example if you have to pay quarterly, set up your calendar with the appropriate alerts and reminders for the forthcoming year.
5. Update your payroll
Mid-year is a great time to revisit payroll. Some items to consider include:
- Handing out bonuses
- Reviewing employee status
- Making pension payments
6. Revisit your accounting software
When you’re busy with the day-to-day of running your business, it’s hard to think about upgrading or changing your accounting software. So choose a quiet period of the year to consider doing this.
If you’re still using desktop software or Excel, think about the benefits of moving to online cloud accounting. Cloud accounting software such as Xero lets you access your business accounts online from anywhere at any time, using a laptop, tablet or smartphone.
You’ll reduce your IT costs by using Xero, because all the accounting software maintenance and upgrades are handled for you. Plus it’s secure, with powerful encryption and remote backups, so there’s less chance of your vital business information being lost or stolen.
7. List your goals for the rest of the year
Do you want to improve your business? Great, make a short list of all your business goals. Track where you are up to in relation to the goals, and consider if these need revising.
Your business goals might be about sales target or revenue figures, opening new stores, taking on more staff, or simply improving business relationships with existing clients.
Try to combine ambition with realism and give yourself some goals that you know you can achieve if you try. Work towards these and check them each month to remind yourself where you’re going.
8. Keep your accounts in mind
Well-managed accounts, means a business well-run!
By integrating the right financial tools you will get to know the financial health of your business at all times. This will help you make the right decisions – not just daily decisions, but long-term strategic ones too.
To get financial and business advise on any of the above points call our Manchester team of Chartered Accountants that specialist in Xero accounting solutions on 0800 020 9542 or email hello@JacRox.co.