Ready to wrap things up for 2013 in business? Looking forward to a prosperous and productive 2014? Don’t get too ahead of yourself! Before you can start shutting down shop and brainstorming about next year’s business, there are some financials to prepare. Yes, it’s time to close the books on this year’s business – for those in their first year of entrepreneurship, or those who just don’t like to deal with the financial aspect of running a company, this can be an irritating challenge.
Over at the Canadian Intuit Small Business Blog, there’s an article written by Susan Ward with some tips on this topic to help those who don’t have a fondness for the financial side of things. Miss Ward offers six detailed recommendations to make the process a little easier. Here’s a look at one:
4) Stay on top of customer accounts.
Slow payers and no payers are not just annoying; too many of them can make a real negative impact on your balance sheet at year-end. So fall is a great time to review customer accounts and take action such as reducing customer credit or calling in collection agencies to clear up your books in advance.
Over the months, as the year goes on and we’re fully focused on the multitude of business we need to deal with, clients who take their sweet time sending over the money they owe can be seen as irksome at best. But when things are winding down and they’re still hemming and hawing about why they haven’t paid up yet, it’s time to put our foot down and make sure they know that time is just about up.
Other tips in the article include advice on using a proper accounting system, knowing your tax responsibilities, organizing your shoebox, drawer or whatever you use for business receipts, evaluating your accounting practices and taking the time to reflect and plan for next year. We’d recommend giving it a read for some good insights on closing your books for the year, especially if that’s a task you usually dread.
What do you think? Are you all ready for 2014? Did you find these tips useful? Your thoughts are always welcome, so let us know!