One of the best ways to set your business up for success in the new year is to plan for it. Just like when you set out every year with your personal resolutions, sitting down and creating a list of resolutions for your business AND an action plan to achieve them should be on the agenda.
Here are some of the most common categories that you’ll want to consider when building your business’s new year’s resolutions:
Where do you see your business in the next year? Do you want to focus on growth? Recruiting? Expanding your services? Whatever you want to achieve, the first step is to set clear goals. Take time to sit down with your leadership team and create a list of goals for the year. This list will help you develop strategic plans to work towards achieving them.
Projected Expenses & Income
One of the most important things to focus on when planning for the year is your business’s projected revenue and expenses. Each business’s revenue and expenses will differ and fluctuate from year to year, which means last year’s projections are most likely outdated. Taking the time to evaluate what expenses will be necessary in the upcoming year and where your revenue will stem from will assist you to create a plan that keeps your business on track.
A great first step is to evaluate last year’s revenue, any changes that may have occurred in the last year, any plans for the upcoming year, and then calculate a projected revenue for the year. This will help your business work from a benchmark when creating budgets and evaluating revenue and revenue sources.
One very important expense that should always be part of your planning is payroll. By projecting your payroll expenses, you’re able to have a better gauge of when you can expand your team, provide increases and bonuses to existing team members, and meet whatever workforce needs may arise with confidence.
Do you have any team members planning to retire this year? If you do have any key leadership team members that are planning to retire, do you have a succession plan for them? If not, now is the time to create one.
When creating a succession plan, evaluate whether you can groom and promote an existing staff member from within the company to fill the position, or if you will have to bring on a new employee. Once this is determined, start putting that plan into action for the coming year.
For more information about succession planning and staying ahead of retirement gaps, read our article on The Great Resignation.
Tax rules and benefits shift from year to year. A lot has changed in the wake of the ongoing COVID-19 pandemic, and your business’s taxes will probably look very different than they have in the past. With the pandemic new available tax credits, deductions, and extensions arrived.
The best way to take advantage of any benefits and ensure you’re adhering to new tax rules is to stay up to date with the latest changes. Regularly check our tax center, where you will find relevant tax information and updates.
Need Help Getting Started?
Every business’s needs will be unique. If you have questions about developing your business’s 2022 resolutions or need some assistance getting started on an action plan to achieve your goals, our business advisory team is here to help. Contact Us.