10 Important Issues Each Small Enterprise Proprietor Ought to Do Earlier than the Finish of the 12 months
It is hard to believe that the year is coming to an end! Many small business owners are already deeply absorbed in preparing for the fourth quarter. However, it’s always possible that they accidentally forget to add something important to their to-do list. A forgotten item on the agenda could set your business back or even have the potential to completely penalize it next year.
Let’s try to prevent this from happening to your business. If you haven’t already taken care of these 10 items, now add them to your to-do list to work on before the new year comes:
1. Submit late filings or cancellations if necessary
This only affects a select number of small business owners: those who want to start or formally close a small business.
For those looking to set up or incorporate a Limited Liability Company (LLC), it is a good idea to consider late filing. Late filings allow you to submit your records now and set an effective date, usually a month or so in the future. By that date, your business incorporation should be fully approved and established. However, this is by no means necessary. You might be waiting for submission next year, but you might have to wait longer than expected. January is a busy month for processing formation documents – you are setting up a business with many other entrepreneurs!
Dissolutions, however, formally dissolve or close the deal with the state. A business owner cannot put a “closed” sign on their door and expects it to be inactive as a result. The deal is still considered to be with the state. The articles of dissolution must be submitted to the Foreign Minister. This will ensure that the deal is officially closed and the company no longer has any specific obligations (like paying taxes or government fees) to perform from then on.
2. Meet with an accountant or bookkeeper
I am not a finance professional and it would be impossible for me to advise an entrepreneur financially. However, I can recommend that small business owners make an appointment with an accountant or bookkeeper now.
Why have a meeting now instead of later? When you meet up with a finance professional, you can get all of your ducks in a row. You can use this time to review financial statements, ask questions about deductions, and set a schedule for your tax deadlines (for example, you can pay tax quarterly). If you meet with a professional now, you will be better prepared for the new year and tax season.
3. Check your inventory again
What has been sold and what has not been sold for your company this year? Take stock (in the truest sense of the word) in what you have up and down. If you don’t have any physical products for sale, refer to the services you offer that have been sold compared to those who haven’t. You can use this time to set a strategy for 2019 that is more focused on items in demand and cut down on those items that are taking up too much money or time.
4. Prepare for the hiring
If one of your New Year’s resolutions is to hire full-time employees, now is the time to prepare to attract new team members.
Just keep in mind that this is a fairly time consuming process. You want to find people with the skills to make your business a success rather than hire to do a lot. Keep this in mind as you create your job descriptions and interview potential candidates.
Preparing for hiring also means receiving certain documents. You’ll need to apply for an Employer Identification Number (EIN), file Form I-9, withhold taxes, and report information about your new hire to the state. In addition, you will need to take out employee compensation insurance and set up compensation plans in your company.
5. Perform year-end reviews
Do you already have employees? Regardless of whether they are part-time or full-time, allow time to meet with them for year-long reviews.
Discuss their performance during the year and talk more about their future in the company. They may be ready for a promotion or need additional mentoring in their department. Encourage them to provide feedback on the business as well.
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6. Determine whether you should change the legal structure
Perhaps you started the year as a sole proprietorship but are ready to move to another company. Do you want to become an LLC or S Corporation?
If you are unsure of what to do next, we recommend meeting with a lawyer. They can answer questions about changing your entity type and guide you to the legal structure that best suits you.
7. Update your social media presence
Does your Twitter handle have a disrespectful tweet from months ago still pinned to the top? Do your Facebook covers need to be updated? Is there an old Pinterest account you’d like to dust off?
You can now use some of your time to update the most pressing social media items. Then create a strategy for how you plan to create, share, and use content for your business for the coming year.
8. Notify your team of upcoming changes
Whatever you do next, keep your team informed! This could include your employees, consultants, mentors, or anyone else involved with your small business and its day-to-day operations.
9. Revise your business plan
Do you remember the first time you created a business plan for your company? Go back and check it out. How are you? Are you achieving all of the short and long term goals you had for your company? Has the management in your organization changed at all? Are your financial forecasts still in sync? If there have been any noticeable changes, edit your business plan accordingly.
10. Look back at the things you have accomplished in the past year
A lot can happen in a year – both good and bad. While I have no doubt that you have faced hurdles along the way, I am pretty sure that you have seen some fantastic victories too. Take a moment to reflect on these achievements, share them with your team, and be proud of what you have done this year.
Then buckle up for the wild New Years ride and be ready to outdo yourself in the year ahead!
CONNECTED: The One Word You Need To Say To Grow Your Business This Year