How to Best Prepare for The New Financial Year

As a new financial year sets upon us, it’s not just about wrapping up your taxes and closing the books, it’s also an opportunity to set your business up for new success and growth. Whether you're a seasoned business owner or just starting out, taking proactive steps can significantly benefit your business's growth and stability in the months ahead, here are our 5 best ways to prepare for the new financial year.


1. Review The Year that Was
Begin by conducting a comprehensive review of your financial statements from the previous year. This analysis should include:

• Expenditure analysis

• Cash flow assessment

• Subscription auditing

Financials are one thing, but how about your overall business performance?  

• Did your business achieve any growth year-over-year?

• Did you achieve the goals you set out for your business?

• And how much profit did you make?

 Understanding how your business performed year-over-year, if you achieved your goals, and ultimately how much profit you made will help you best plan and prepare for the new financial year ahead.


2. Forecast Your Cash Flow
A healthy cash flow is the lifeblood of any business. Forecasting your cash flow allows you to anticipate periods of surplus and potential shortages. Consider the following strategies to manage your cash flow effectively:

• Payment Terms: Evaluate and possibly adjust your payment terms with clients and suppliers to maintain a steady cash flow.

• Financial Tools: Utilise softwares and financial tools/services to automate cash flow management processes, reducing administrative burden and improving efficiency.

If cash flow is a common concern in your business then you should be considering various cash flow solutions such as;

• Reviewing your service and product pricing 

• Increasing efforts to generate more leads and sales

• Minimising your expenses and limiting unnecessary spend

• Seeking out professional advice

• Combating late payments with invoice financing 
  
  
  

3. Leverage Invoice Financing for Growth
One often-overlooked tool for enhancing a businesses success is invoice financing. This financial service allows businesses to leverage their outstanding invoices by trading them in for immediate access to the cash that is owed to them. By leveraging invoice financing your business can: 

• Maintain Positive Cash Flow: Bridge the gap between invoicing and payment receipt, ensuring ongoing operational continuity.

• Invest in Growth: Use freed-up capital to invest in expansion, purchase inventory, or fund marketing initiatives, accelerating business growth.

4. Analyse Market Trends and Competition
Staying informed about industry trends, changes in consumer behaviour, and actions of your competitors is crucial. This knowledge will help you identify new opportunities, adapt your strategies, and stay ahead of the curve. We recommend:

• Market Research: Conduct market research to understand emerging trends and customer preferences.

• Competitor Analysis: Analyse your competitors strengths and weaknesses to refine your own business strategy.

• Adaptation: Use insights from market analysis to tailor your products/services and marketing efforts to better meet customer needs and expectations.

Invoice financing provides your business with the cash flow necessary to invest in new market opportunities so you can stay ahead of your competition. Don’t get stuck waiting for late payments, consider invoice financing so you can proactively reinvest in your business.


5. Set SMART Goals
Setting SMART (Specific, Measurable, Achievable, Relevant, Time-bound) goals is essential for guiding your business towards new success.

By creating SMART goals you create an actionable and measurable strategy that will help your business grow in the new financial year. Having a clear understanding of what you desire in your business will help you make smarter decisions whilst providing clear guidance along the way.


Bonus: Prepare for Success with Brunswick Invoice Finance
As you prepare your business for the new financial year, remember that proactive financial planning is the key to exponential success. Whether you're enhancing operational efficiency, exploring new markets and growth opportunities, or wanting to optimise cash flow this financial year, invoice financing can be the key.

If you want to alleviate the stress of your cash flow, we highly recommend you reach out to us to discuss invoice financing for your business. 

Contact us today for a free consultation to discover our tailored invoice financing solutions.