The end of the year is an ideal time to take care of key tasks that ensure a smooth transition into the new year and provide entrepreneurs with advantages in financial planning, taxes, and organization. We have prepared a list of essential steps to consider.
- 1. Closing Accounting and Preparing for Audit
- 2. Tax Optimisation and Overview of Deductions
- 3. Review of Contracts and Business Terms
- 4. Purchasing and Financing Equipment
- 5. Preparation for New Tax Laws and Regulations
- 6. Securing Sufficient Financial Reserves
- 7. Preparing Marketing Plans for the New Year
1. Closing Accounting and Preparing for Audit
The most important step at the end of every year is closing your accounting. Check all invoices, expenses, and income to ensure the accuracy of the year-end settlement. This not only helps avoid future issues but is also crucial for the correct preparation of your tax return.
If you use invoicing tools, make sure all your invoices for the year are properly accounted for. Tools like MyInvoiceOnline can help with this.
Key steps:
Check all invoiced amounts and payments.
Verify the accuracy of year-end closing and expenses.
Don’t forget to review all tax liabilities and obligations.
2. Tax Optimisation and Overview of Deductions
It’s important to make sure you’re eligible for all possible deductions and credits, such as contributions to pension schemes or educational expenses. This will help you avoid high tax liabilities. In some cases, it’s beneficial to make certain investments or expenses within the current year to reduce your tax base.
Pay attention to all available credits and deductions that can reduce your tax liability. Make sure none are missed during the year.
3. Review of Contracts and Business Terms
Regularly reviewing important contracts and business terms will help prevent future problems. This includes contracts with employees, suppliers, clients, and leasing companies. Update conditions that may have changed due to new laws or optimise terms for better collaboration in the coming period.
Key steps:
Review all contracts that have expiration dates or automatic renewals.
Ensure business terms comply with new legal requirements.
Consider renegotiating contracts that no longer meet current conditions.
4. Purchasing and Financing Equipment
If you’re planning investments in new equipment or technologies, don’t forget about VAT deductions and other tax benefits that may apply in the following year. If you’re planning to purchase new equipment, such as computers, office technology, or vehicles, it could be advantageous to make the purchases before the end of the current year.
Purchase equipment by the end of the year – this way, you can take advantage of tax deductions and secure better terms for depreciation.
What to purchase:
Office technology (computers, printers, software).
Vehicles and other business equipment.
Investments in technological innovations that will enhance your productivity.
5. Preparation for New Tax Laws and Regulations
Familiarise yourself with new tax laws that may impact your business in the coming year. This is an ideal time to prepare for these changes and adjust your accounting, processes, and contracts to meet the new requirements. Avoid unexpected financial issues that could arise in the coming months.
Some changes to the tax system in 2025 may affect your costs. Ensure you’re informed about all the changes.
What to prepare for:
Changes in VAT, income tax, and other taxes.
New regulations for businesses regarding data protection (such as GDPR).
Changes in environmental tax regulations.
6. Securing Sufficient Financial Reserves
If you tend to leave financing until the last minute, consider creating financial reserves for the upcoming period. This can help you avoid cash flow problems at the start of the new year, especially after the holidays when business activity may be slower.
Don’t forget to ensure sufficient financial reserves for the beginning of the year. Have cash ready to cover necessary expenses in the first few months of the year.
7. Preparing Marketing Plans for the New Year
Preparing and reviewing marketing strategies for the next period is crucial for a successful start. Check which marketing campaigns were successful in the past year and what you’ll focus on in the future. Preparing new offers, campaigns, or targeting new markets can significantly contribute to your business growth.
Focus on key tasks that will ensure your business is well-prepared for the upcoming period without unnecessary complications. Optimise your finances, review contracts, and secure necessary investments. This way, you’ll not only simplify administration but also avoid potential issues and fully take advantage of tax benefits.
