End of Financial Year Preparation Checklist

As the new financial year approaches, it's crucial for businesses and individuals to prepare adequately to ensure a smooth transition and effective financial management. Whether you're a small business owner, a freelancer, or an employee, taking proactive steps can help you navigate the upcoming changes and set yourself up for success in the year ahead.

Review Financial Statements:

  • Assess previous year's financial records (payroll, income, balance sheets, cash flow) for profit and performance.

  • Check and fill any missing records or gaps in financial information before closing off your books.

  • Identify strengths and weaknesses for informed strategies.

Get on Top of Outstanding Payments & Invoices

  • Chase any unpaid invoices from customers.

  • Review your debts and plan for repayment or consolidation.

  • Sum up and pay any GST owed.

  • Explore refinancing options for improved cashflow.

Evaluate Business Expenses:

Review Inventory or Services:

  • Evaluate physical inventory and/or services to confirm what you have on hand.

  • Discontinue goods or services that haven’t done well.

  • Plan for a profitable year by focusing on high-demand and profitable items.

Set Clear Financial Goals:

  • Define specific, achievable goals (revenue targets, expense reduction).

  • Break goals into actionable steps for tracking and achievement.

  • Develop a comprehensive budget for income and expenses.

  • Allocate resources strategically for business objectives and stability.

Risk Assessment and Contingency Planning:

  • Identify potential risks to financial stability and operations.

  • Develop contingency plans for effective risk mitigation.

Check in with your people:

  • Ask for feedback on what’s working/not working.

  • Understand their ambitions and goals.

  • Review and adjust benefits packages for competitiveness and compliance.

  • Enhance offerings to attract and retain talent.

Assemble Your Tax Documents:

  • Finalise payroll, gather income statements, and expense records.

  • Stay updated on tax law changes affecting obligations. .

Professional Consultation:

  • Seek guidance from financial advisors or legal experts.

  • Utilise professional expertise for optimal decision-making.

Take Care of Yourself:

  • The end of the financial year can be busy and stressful.

  • Ensure you take time to look after your wellbeing to move into the new financial year with strength.

By proactively addressing these key areas, you can position yourself and/or your business for success in the new financial year and navigate any challenges with confidence and resilience.

Cathy de Farias