5 Things small businesses should do at the end of the year
3 minute read
Often small businesses are in constant #hustle mode – trying to manage cash flow, chase invoices, get end-of-year promotions out, and more. But working harder doesn’t always mean you’re working smarter. Take a moment to review our list of 5 things that small businesses should do at the end of the year to finish the year well.
#1 Thank your employees and acknowledge the year that was
Your business’ success depends on the strength of your team. It’s important to show gratitude to your employees and acknowledge the hard work they’ve put in during the year. Whether it’s through an end-of-year party, bonus, or simply a thank-you, taking the time to demonstrate gratitude to your employees shows that that you’re seeing them as people, not just resources, and can increase loyalty and commitment.
#2 Arrange skeleton staff or communicate any company shutdown periods to clients
A way that you can thank your customers and show that you value them is by being clear about how your service (or store) will operate through the festive season. Whether it’s by keeping a “skeleton staff” on who can keep the lights on and manage urgent requests, or by clearly communicating your shutdown period (across email or social is common), you can limit frustration and confusion by front-footing the discussion with your customer base.
#3 Scrutinize your management accounts (your balance sheet and P&L report) for what you did well – and what you could improve on
Your assets and liabilities will give you an idea of how well your business did this year. Use your accounting software to generate reports so you can identify where you need to put more of your efforts for next year.
#4 Back up your files
At the risk of your parents or teachers, the end of the year is a handy checkpoint to ensure that all of your systems and important documents are backed up, particularly when you run your business from a small number of key laptops or computers (what if you spill Christmas punch on your keyboard?). Whether it’s by using an external hard drive or cloud-based software, tidying up the year isn’t complete without making sure everything will be there when you come back. Don’t say we didn’t warn you.
#5 Look ahead at what compliance regulations are on the horizon
Since many companies have their FYE on 31 December, it’s helpful to get a reminder of what’s on the horizon after closing your books. We’ve put together a handy guide that steps through what you need to do after your FYE in Singapore.
Take a look, take stock of what could be an issue (do you have months of bookkeeping still outstanding?) and if you’re concerned about anything, make a note to review properly after the break. Alternatively, you could also book a free spot in one of our Accounting clinics or Company Secretary clinics to discuss your issue with one of our IRAS and ACRA experts.
We know the silly season often has people running around in execution mode. Taking the time to do these things before you sign off for the year will make sure that you’re in great shape for the next year.