‘Tis the Season.
The end of the year is fast approaching. For most, this time of year conjures up images of family time and quiet reflection, of tradition and soul food, and of spending time with friends. But for those business owners whose fiscal year-end coincides with the calendar year-end, December and the months that follow, may bring with them some anxiety and stress. How to prepare for your company’s year-end to make it as painless as possible? Here are some suggestions:
- Start early. Ideally you should always be ready if you maintain your books current and review them on a monthly or quarterly basis. But if that is not possible, start your planning as early as a month or two ahead.
- Plan ahead. Not every business is the same. Do you have inventory? Schedule the year-end count. What problems arose during the last year-end process? Were they avoidable? Be pro-active and ensure history won’t repeat itself this year.
- Communicate. Get in touch with your bookkeeper and accountant. Discuss your expectations and plan timelines.
- Organize. Get your documents ready. If you acquired any capital assets or had unusual expenditures during the year, ensure you have copies of those invoices at the ready. Do you have loans? Obtain loan statements for the year.
- Be patient. Be patient with your bookkeeper and accountant. They may have questions for you that may seem to have obvious answers. But these professionals must follow due diligence to ensure they do the best possible job for you.
This is just a simplified overview of how to prepare for your year-end. Every business is different and may have specific needs. Talk to your financial team to ensure your next year-end is pain-free.