As 2024 comes to a close, it’s important to ensure your business is set up for success in 2025. That means closing out your books, tying up loose ends, and making time for strategic business planning. Use this end of year small business checklist to help you wrap up the year with confidence.
Close the Books
Before you ring in the new year, ensure your books are in order by completing the following tasks:
- Reconcile transactions: Double-check that all expenses and income have been recorded in QuickBooks.
- Pull reports: Generate profit & loss statements and balance sheets to confirm everything is categorized correctly.
- Address discrepancies: If anything looks off, investigate and correct it now rather than later.
Meet with Your CPA
Schedule a Q4 strategy session with your CPA or tax professional to:
- Review your financials to identify opportunities for year-end tax planning.
- Discuss potential deductions or contributions that could lower your tax liability.
- Prepare for the upcoming tax season so you can avoid last-minute stress.
Declutter Your Digital and Physical Space
A clear workspace leads to a clear mind. Take these steps to tidy up your office and digital space:
- Unsubscribe from unwanted emails: Clear out clutter in your inbox to focus on what matters.
- Organize your desk: File away documents, discard what you don’t need, and create a system for staying organized in 2025.
- Review your tools and subscriptions: Cancel unused services to save money and simplify operations.
Settle Financial Loose Ends
Ensure your business finances are squared away before the year ends. Make sure you:
- Pay outstanding bills: Avoid late fees and maintain good relationships with vendors.
- Collect outstanding invoices: Follow up with clients to ensure your cash flow is in good shape.
- Revisit your budget: Adjust for any unexpected expenses or revenue in Q4.
Other End of Year Bookkeeping To-Do’s
Take a moment to tackle these additional bookkeeping tasks to ensure nothing slips through the cracks before the end of the year:
- Ensure you have up-to-date W-9s for all contractors to make 1099 processing smooth and accurate. Missing or outdated forms can delay tax reporting.
- Double-check that all employee wages, benefits, and tax withholdings are accurate for the year. This will help you issue W-2s without errors and stay compliant.
- Save copies of your QuickBooks files and important financial documents in a secure location. Cloud storage or an external hard drive works great to safeguard against data loss.
Plan Ahead for 2025
A little preparation now can lead to big business wins next year. To plan ahead for 2025, you could:
- Set up Profit First Bookkeeping: Start Q1 2025 with a financial strategy that prioritizes profit and pays you consistently.
- Outline your goals: Define your business and financial targets for the year.
- Create a schedule: Map out key dates for taxes, launches, and other major events.
As Q4 comes to a close, the last thing you need is unresolved business tasks weighing you down. By tackling this end-of-year small business checklist, you’re taking a proactive step toward starting 2025 with clarity and confidence.
These tips will help you wrap up your financials and lay the foundation for a more organized, profitable year ahead. And if you’re ready to kick off Q1 with a Profit First strategy that prioritizes your goals and financial peace of mind, book a free consultation with us here.
