Why You Should Review Your Financial Goals
The end of the year is fast approaching, and you know what that means – holidays, Christmas trees and parties, right? Yes, while these things are all on the horizon, it also means the end of the financial year is only a hop, skip and a jump after that!
So, it is time to hit the pause button on all those holiday preparations and put aside some time to review the financial goals that you set for your business at the beginning of the year.
Reviewing your goals is a chance for you to get a snapshot of how your business has performed, allows you to figure out if you are on track, and adjust accordingly. You still have two quarters left to rev up and get those goals met. It also helps you to plan how to do things differently next year.
Let’s look into the review process a little further.
Review Your Financial Goals
Remember those goals that you set way back at the start of the year? The ones you were really enthusiastic about?
As part of your business plan, you should be setting goals, whether they relate to business growth, profits, expansion or other aspects of your business. This you know. But then you have to actually put those goals into action to make them happen.
Hopefully, you didn’t file those goals away and forget about them!
Take a look at the expectations you had for your business and check your progress.
If you met your goals, high five yourself! But then take a more in-depth look into the goals that you set. If you have reached them already, then you might have set a goal that was too easy, now is your opportunity to raise the bar for next year.
If you are miles away from completing your goals, try to figure out why. Were they unreasonable? Did you miss an important aspect of your planning? Is there a way that you can step it up now, to still achieve what you wanted to? Then, ask yourself how you can handle things differently next year to set yourself up for success.
Review Your Profits and Spending
Part of your review process should include looking at your numbers. Spend some time examining your income to see if it was what you expected. Brainstorm some ideas on how you can maintain your momentum, or increase it as we head into the last half of the financial year.
Once you have looked at your income, it is time to look at the outgoings. Try to examine them with an unbiased attitude. Did you spend your money wisely? Are there purchases or investments you regret making? Or, are there subscriptions, courses, or services you have signed up for but aren’t using?
These kinds of reviews clearly help you see where you need to build discipline, and what kind of worthwhile spending you might like to continue with. Be ruthless with your examination and remove anything from your business that you don’t need. If there is less spending happening, then you have more in the pot for investing in your business and paying yourself!
Get To Work
Although it may be tempting to spend the warmer months cruising towards the end of the year, don’t give up yet! You don’t need to write the year off, vowing to improve things next time around with a new set of goals.
Instead, focus on switching your attitude and trying to complete any goals that you didn’t quite get to yet. There is something incredibly satisfying about reaching those targets. After all, you set them for a reason in the first place.
Instead of waiting for halfway through the financial year, or one week before its end, it can be helpful to review your goals on a more regular basis. That way if you are falling behind on your progress, it is easier to get caught up and on track before it is too late.
It is important to remember; whether you are reviewing your financial goals monthly, quarterly or annually, there is always something to learn from the process. Don’t be too hard on yourself if you haven’t managed to achieve everything you hoped. Use those shortfalls as a lesson, study them closely and come up with ways to do things better.
Financial reviews are an essential part of your business growth, and the perfect opportunity to refresh and empower your business. If you need some help with reviewing your financial goals, then get in touch with us here at Accountants Plus. We are not just accountants; we have plenty of business expertise that will help you to take your business to the place you want it to be.