After the conclusion of the first two quarters here in 2016 which is typically in line with most small business’s fiscal years, it’s imperative to regroup and plan. That’s why we recommend every company complete a mid-year review to not be caught off guard come December 31st.
Here are a few must-dos for your mid-year checklist.
A good start point is to take account of everything that has gone into your bottom-line year to date. It’s far easier to organize six-months worth of business expenses, tax info, etc., than it is for a full year in December. The biggest benefit to analyzing your finances is you’ll be able to establish more accurate projections for the remaining two fiscal quarters. This analysis allows you adequate time to make changes that can positively affect your bottom line.
Tidying your office is equally as critical as straightening out your finances. After six months of day-to-day operations, take an afternoon to clean your desk, computer and file cabinets. A clear workspace can lead to a clear mind and greater productivity.
Assess Your Health Coverage
One of the most controversial aspects of owning a business in 2016 is how you’ll handle health insurance for yourself and your employees. The six-month mark is an excellent time to review how much you’re spending and determine if there are better plans for you.
Reexamine Deduction Opportunities and Get Ahead of your Taxes
The biggest obstacle in closing out your year is completing your taxes. We’ve documented this in the past, but taking advantage of Section 179 can save you big money on your return. If you’ve purchased equipment in the last six months or taken green energy initiatives, there might be tax benefits you didn’t know of at your disposal.
Also, be sure to schedule a summer meeting with a tax preparer and spend time gathering documents for your return. The more work you put in now, the easier the end of the year will be.
Funding Well Capital is your # 1 business financing source. We’ve helped businesses of all sizes secure financing across a vast number of industries. We’ve built our reputation on a history of providing low-interest rates and excellent customer service, and we promise to do the same for you.