How to get your accounts in order for the New Year

We are fast approaching the end of the year and I think for the vast majority of us, we will all be pleased to see the back of 2020, right?

And as we look ahead to a new year, now is the perfect time to start thinking about getting your accounts in order for a brand-new year. After all, the key to business success is being organised and of course, always staying on top of your accounts. And remember, getting your accounts in order is possibly one of the most important things you can do as it’s always important to know where you stand.

We’ve created a helpful guide outlining how you can get your accounts in order for the new year – we hope you find it helpful!

Invoice and chase payments

Keeping on top of your invoices is key to optimising cash-flow within your business. You should have an invoicing system that is easy to track, use and most importantly, remain on top of.

With this in mind, as we approach the end of the year, you should make sure that all invoicing is up today and all payments that are yet to be made have been chased. You should aim to have as much cash in the business as possible to start the new year on a good note.  Oh, and don’t be afraid to chase debts as soon as they’re overdue, as this will create good habits amongst your clients when it comes to paying on time.

Reconcile your bank account(s)

This is something that many businesses put on the back burner but it is crucial that you reconcile your bank account at the end of each month as this will ensure that all transactions recorded so that they match the actual transactions on your bank statement.

Keep on top of taxes

You should always keep on top of your taxes. After all, the last thing any business wants is to be caught-out by a tax bill that you haven’t accounted for or is way off the mark when it comes to the amount you thought you owed.

With this in mind, you should always make a conscious effort to set aside some money every month so you have enough cash left in the business to pay your Corporation Tax, PAYE, VAT and NICs as and when they are due.

And remember, the self-assessment tax return deadline is January 31^st 2021.

Need an accountant to help get your accounts in order? Look no further than React Accountancy?

Here at React Accountancy, we provide trusted accountancy services to start-up, established and multi-national businesses across a diverse range of industries.

From the moment you get in touch, our approachable, friendly and professional team will go above and beyond to ensure that you receive the right advice, support and accountancy solutions for your business.

All of our team has years of experience in providing accountancy services that support your business including complex financial issues.

Get in touch today for further information about any of our services.

 

You can reach us on 01914324110 or contact us via email using info@reactaccountancy.co.uk