Quarter 4 is here. We’re well into October and soon into November. And while not all businesses use the calendar year as their fiscal year, January means – to everyone – a fresh start…a beginning…a look towards something new.
At Morgan & Associates, we encourage business owners to do several tasks to end the calendar year well and start the new one on the right foot.
Use our checklist to prep your business to end 2022 strong and begin 2023 confidently.
1. Audit your bookkeeping practices.
Effective bookkeeping means accurate information, and correct information leads to better decision-making. So, bookkeeping is essential. For a simple bookkeeping test, use the questions in this article.
And if you want a more thorough audit of your bookkeeping practices, contact us. We’d love to help.
2. Consider your business designation.
Many entrepreneurs begin their businesses as sole proprietorships because of the simplicity. But in some cases, incorporating or becoming a limited liability company (LLC) is a better option. For example, being an LLC offers some tax benefits not available to sole proprietors.
We at Morgan & Associates, because of our extensive small business experience, can explain to you the pros and cons of the different business designations.
3. Prepare for taxes.
As the year comes to a close, begin considering the tax forms you’ll need to complete or hand out to your subcontractors and/or employees. We strongly suggest working with us so you understand the forms and when they’re applicable to your business.
4. Render end-of-the-year reports.
Investors, board of directors, lenders, and savvy leaders within your organization will want to see end-of-year reports. These reports are where losses and gains can be seen. They’re where the effectiveness of specific areas in the business can be analyzed. (Side note – Effective reporting often is linked to effective bookkeeping.)
Morgan & Associates Can Help
Finish this year strong! We hope this checklist to prep your business for the new year helps! We’re cheering for you. And we’d love to help you as you assess your accounting practices for the new year ahead.