As we turn the page and welcome the new year, it’s important to reflect on your business’s financial status and plan to make the most of 2024. Accounting is a central cog of any business, and by setting accounting resolutions, you can ensure that your financial goals are met. In this blog post, we’ll discuss the best accounting resolutions your business should make this new year to maintain financial stability.

Review Your Goals and Set New Objectives

To ensure long-term success for your business, you need to set and review goals regularly. Take the time to assess each of your business goals for 2023 and determine if they have been met or are on track for achievement. Should any goals fall short, make necessary adjustments and establish new objectives. These may include increasing profit margins by a specific percentage, driving sales growth by a target amount, enhancing customer satisfaction, improving brand recognition, or expanding market share.

Review Your Books

Your business’ financial data plays a key role in making well-informed decisions. For this reason, it’s essential to review your books regularly to monitor your finances, ensuring that you are making progress towards your goals. By reviewing your books every week, you can effectively manage cash flow by tracking revenue and expenses, offering the opportunity to address any issues that may arise.

Seek Professional Tax Planning Advice

Ensuring tax compliance is critical to prevent legal consequences and maintain financial stability for your business. Professional tax planning advice can assist in identifying qualifying deductions and credits, guiding you through federal and state tax regulations. Moreover, these experts stay updated on new tax laws and codes that may impact your bottom line, providing you with the latest tax information.

Plan for Significant Business Expenses

As a business owner, unexpected costs are inevitable. That’s why it’s crucial to prepare for these unforeseen costs in advance rather than later to prevent financial catastrophe when something goes wrong. Planning for significant business expenses can help by creating a contingency fund for unexpected costs, such as paying for property maintenance, repairs, or unexpected client expenses.

Outsource Accounting Functions

Accounting can be time-consuming, especially when managing this task in-house. You can increase your business’ efficiency and decrease overall costs simply by outsourcing accounting tasks, providing access to the best accounting talent and resources, timely access to financial reports, saving time, and enhancing security. Outsourcing accounting functions can be an excellent resolution to improve your business’s financial operations significantly.

Update Your Payroll System

Updating your payroll system can save you time and resources. Paying employees digitally instead of paper checks can significantly streamline your business’s operations and save you money. Additionally, during your payroll update, check your employee classifications to see if you classify your employees correctly as employees, independent contractors, or consultants, as misclassifying someone can cause you to lose money and incur a penalty from the government.

Collect Unpaid Customer Invoices Efficiently

It’s common for customers to postpone invoice payments, affecting your business’s cash flow. Be sure to collect all the necessary information first by verifying that the invoice is accurate and that you sent it to your customer. If a customer’s invoice is unpaid for a lengthy period, send a polite and friendly email to remind them of the due invoice and offer support.

Prepare Your Business for Success in 2024

To thrive in a competitive market, businesses must prioritize their financial well-being. The accounting resolutions discussed here provide a strong foundation for achieving this goal. As we enter 2024, you can take proactive measures to streamline your financial processes, optimize your resources, and create a stable and prosperous financial environment for your business. Remember that even small steps can bring you closer to your financial objectives. Here’s to a financially secure and successful new year!

If you need further guidance, consider reaching out to KDK Accountancy in Orlando, FL. Our experienced team can assist you in growing and enhancing your business. To schedule a complimentary consultation, please don’t hesitate to call us at (407) 759-5363 or visit our website.