The beginning of the new financial year is a great time to review the past twelve months and prepare for the next.

Here are 5 useful tips to help you get your business finances up to date.

Finalise last financial year

• Go through all your sales
  invoices and receipts to make sure you covered them all. 
• Check your bank statements to
  make sure you didn’t miss anything.

To help to stay on top of your finances, it makes good sense to look at the overall financial health of your business and see where you can make improvements.

Track your finances

Review past year figures and track your finances, examine how you currently handle your money:

• Keep digital copy of your receipts. Taking a photo of them means you can store them in your accounting software.
• Get a separate credit card for your business expenses. Many small businesses use the same card for both business and personal expenses.
• Have a separate bank account for business and personal money so it isn’t mixed in together.

List your goals for the new financial year

Set business goals for the new financial year, such as sales targets, revenue figures, adding new employees, improving business relationships with existing clients.  Maintaining a close relationship with your customers will help establish a reliable source of sales revenue and minimise issues with repayments.

Try to set achievable goals and work towards these during the year. Check your progress monthly and make changes where necessary.

Stay organised

It sounds obvious, doesn’t it? Having a plan for upcoming deadlines and major payments can help reduce stress and give you the chance to get on top of everything. Keep it simple; a monthly review of your financials is helpful to your business, mapping out the due dates of your payables allowing you to save for larger expenses. That way you can ensure you save the right amount of money and avoid any unpleasant surprises.

Get your accounting software up to date

If you’re using traditional desktop accounting software or Excel spreadsheets, think about the benefits of moving to online accounting. Online accounting makes it easy to access your business accounts from anywhere, at any time, using a laptop, tablet or smartphone. A quality accounting software makes this easy for you.

With the right financial tools, you’ll be aware of the financial well-being of your business at any time. This will help you make the right financial decisions for your business – not just daily ones, but long-term strategic ones too.

Follow these simple steps and your business is likely to keep growing throughout the coming year.

At EJS Accounting we can help with all aspects of
bookkeeping and payroll from as low as $82.50/week. To find out more about how you can improve your business, contact EJS Accounting at info@ejsaccounting.com.au for more information!