New Year Planning For Small Businesses

As the end of 2022 approaches, the busy holiday season makes planning for the new year pretty low on the to-do list. But as a small business owner, there are some important areas of your business you should focus on now so that the new year starts off as smoothly as possible.

Here are five things to think about before ringing in 2023:

FOCUS ON YOUR FINANCIALS

The end of the calendar year is the right time for a year-end financial report that includes year-end income statements, details about your assets and liabilities in the way of a balance sheet, and a cash flow statement. Analyzing those reports and tracking performance will help you assess how your business actually performed the previous year and can indicate how 2023 will shape up. Are your numbers trending up or down? Can you track why? These data points can inform your business plans and goals for the coming year.

Additionally, spending some time settling accounts in the waning days of December will allow you to head into January with your business locked up and tidy. Work to make sure all payables are paid and try to chase down those pesky outstanding receivables. Then, in a quiet moment, take a look at the length of your sales cycle. Sales data and other metrics can indicate where you could streamline or adjust your process so the flow of funds is smoother in 2023.

Making time to focus on your financials will let you know if your business is healthy or if changes should be made in 2023. Additionally, getting a good idea of your money situation could be extra important if your goals for 2023 includes expanding or scaling, acquiring new funding, or bringing on a mentoring partner. The financial documents you put together now will help those outside parties better understand your business model and be in the right position to work with you in 2023.   

READY, SET, ACTION! NEW YEAR, NEW GOALS

The end of the year is the perfect time to take another look at your business's vision and goals - both for the long term and the upcoming new year. Based on your end-of-year financials, does your business need to shift so you can hit your previously stated goals, or do you need to create new plans that are more in line with where 2022 brought you? Engaging in some strategic planning before 2023 begins can be super beneficial to businesses of all sizes. Brainstorm with team members, analyze your competitors and the market trends, and do a little research. Consider what pitfalls might lie ahead and plan how your business will be proactive in navigating what will come in the new year. Now is the perfect time to make sure your business will be fully equipped to meet whatever goals you set out to accomplish in the months ahead.

PLAN YOUR APPROACH

Reaching new customers or ensuring current clients remain engaged and loyal also requires some proactive thought. Looking ahead and planning your digital marketing strategy is a great way to hit the ground running in 2023. Create a rough outline of what your marketing will attempt to achieve. Think through blog topics, campaigns, future sales or discounts that will drive engagement, and what content you can provide that will continue to position your business as a relevant, valuable authority in your market area. 

Consider your current business's marketing foothold as you put together your 2023 marketing plan. Who is your target audience, and are you reaching them sufficiently? Do you want to drive more website traffic? Would you like to solicit more comments and community engagement on your social media platforms? Then consider your budget and create an action plan that prioritizes tasks and lays out your approach.

If your budget is small, but your goals are robust, consider bringing on a Freedom Maker virtual assistant who specializes in executing social media strategies for small businesses.

PREPARE FOR GROWTH

If your financials indicate that growth is on the horizon in 2023, take some time during the next few weeks to think about what your business will need to support that growth. Do you need to grow your internal team? Do you need to shore up your back office and administrative support so you can focus your energies on networking, sales, and relationship building? Thanks to advances in technology, cloud-based software, and the ability to find exceptional remote talent, running a smooth and efficient business of any size is easily attainable. 

Investing in tools and systems now can support your business's future growth. As the new year looms, take a moment to inventory your technology assets and think about whether they are current and appropriate. Older model hardware and software tools can pose cybersecurity risks and limit productivity and efficiency -- are yours ready to support your growth, or could they become a liability and hold you back from scaling? For example, if your client database is currently a clunky spreadsheet, consider bringing on a virtual operations virtual assistant to help you switch to a more robust customer relationship management (CRM) tool. Many new inexpensive platforms can help you manage, track and interact better with current clients and potential customers. Similarly, consider what administrative tasks you should outsource to a virtual assistant in 2023. Use our task assessment tool to determine what you can get off your daily task list so that you can invest more time and energy into the core of your business. 

CELEBRATE PAST WINS, LEARN FROM PAST FAILURES

Finally, as you look to the new year, take some time to reflect on 2022. Can you identify critical successes and turning points that helped you and your business? What decisions did you make as a leader that contributed to your accomplishments? Celebrate that! Remind your employees and remote team members of all they added to the business this year, and make sure they know they are appreciated. Take a minute to recognize individual and collective successes -- yours included! And then also take a moment to think back on any failures or setbacks that may have been avoided.  Doing so will work toward building a strong and healthy culture within your business.

As a small business, there will surely be bumps and detours along the way to success. Identifying setbacks and fearlessly analyzing and discussing them is a sign of strong leadership and can build a more healthy core team. Talking through the downturns of the past year as a team can help elicit creative suggestions for how to shore up whatever riverbanks need reinforcement in the months ahead. Learning from past potholes can protect the business from repeating any missteps as the new calendar year begins!