As we head towards the end of winter and into spring, the time is right for a sort out of general ‘clutter’, including a review of your organisation’s finances. Whether you use the services of a medical accountancy firm or not, taking a fresh look at where you are at, financially speaking will help set you up for a successful 12 months ahead.
Whatever the size of your business, it is a good idea to engage the services of an accountancy firm. They can shoulder the burden of handling tax returns, dealing with HMRC queries and sorting out payroll and other HR admin. What’s more, they can help you to make accurate financial forecasts, spot tax savings and maximise your savings and income for the greatest amount of profit. Make time to visit your accountant regularly so that you and they can remain fully updated as to the financial status of your organisation. If you are unhappy with your accountant for whatever reason, visit a few other firms to find out if it is time to switch.
Overheads and expenses
All too often, we can find that many of the regular bills and expenses we are paying out are down to nothing but habit, and that some can be reduced or even eliminated. Take a close look at your bank statement and list all the outgoings. Then go through each one, seeing if it is still necessary. If so, do some research to see if you can get the same service for less via a different supplier. Or if you want to stay with the same one, call them and see if you can negotiate a loyalty discount or deal. Ask your employees to do the same and try to cut down their expenses too.
Income and forecasts
Scheduling in regular reviews of your earnings and investments can help you identify areas where you may not be capitalising on available income. Have new services come onto the market that you are not yet offering, but should be? Are your competitors pressing ahead with expansion plans that you could look into as well? Sit down with your accountant to work out a financial forecast and find out what you could do to get those numbers higher. Don’t forget to add tax planning into the mix – you could be pleasantly surprised by the tax breaks and incentives that are out there for various business initiatives.
Financial planning, tax returns and employee admin all generate mountains of paperwork, some of which must be kept for years. Yet holding on to every single piece of paper can soon overwhelm a small office and lead to confusion and mess. While you are ‘decluttering’ your financial processes and plans, why not sort out the physical side of things by going through paperwork and shredding anything no longer required. Look at your existing storage – are your folders and filing cabinets still working for you? Can you store anything in electronic format or by using cloud-based technology? A more streamlined financial filing system will help keep things clear in your mind and will inspire you to press ahead with a simpler, more structured approach.