Whether you are starting a business in 2025 or hoping to grow your corporation, it’s possible you’ll be feeling a combination of pleasure and anxiety.
“Be financially prepared for the unknown,” he advises POINT Mentor David White peoplehornformer president of the bank. “With the new administration, there is the potential for many changes, including tariffs, tax regulations, etc. Prepare your financing.”
Running a small business at all times comes with a degree of uncertainty, and a smart approach is at all times to focus on what you’ll be able to control when creating a contingency plan if things don’t go as expected.
Here are 7 steps you’ll be able to take now to prepare your corporation for a successful financial yr.
1. Know where you would like to go
The end of the yr will be hectic, but try to make time to take stock of your year-end activities and then get to work on your goals for the coming yr.
“Set goals for your company so you know what success looks like,” he advises POINTS Mentor Tony Gansen. “Everyone has a different idea of success, so it’s important to know what they think success means.”
It encourages business owners to develop a marketing strategy with specific, measurable goals. “Forecast your business and establish key metrics for your business so you can track how your business is doing based on those metrics,” he recommends. “Adjust your plan and your business based on the data you collect. Keep this information up to date (by) reviewing it at least once a month.”
“Prepare a business plan, which should include a profit and loss statement and cash flow for a period of 3-5 years, starting in 2025,” he advises Marek Cutler, SCORE Regional Vice President, Northeast Region (New York and New England). “A business plan can be as simple as a one-page document such as a business model canvas, but the income statement and cash flow statement (statement) must be detailed to explore potential business opportunities and risks.”
2. Choose your accounting system
It’s hard to imagine anything that provides a business owner more dread than tax time, especially if your documentation is disorganized or outdated.
(*7*) he warns Will MeikleSCORE Certified Business Mentor and Northeast Regional Director.
He goes on to explain that keeping good records “is necessary for several reasons:
- “You will need this information to file quarterly or annual taxes with the tax authorities.
- This will provide you with the right insight into the profitability of your corporation, which can make it easier to make future decisions, (i)
- Help you prepare for any loan or grant applications it’s possible you’ll apply to finance the growth of your corporation.
If your corporation operates on a calendar yr (as most sole proprietorships and other small businesses do), now is the perfect time to make sure you have your accounting system arrange properly for 2025 and have a plan to keep your financial records up to date no matter whether you select to for the “do it yourself” option, whether you’ll outsource it to an accountant or accountant.
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3. Get a business bank card
If you employ a personal bank card for business purposes, get a small business bank card and use it only for business purchases. This will allow you to clearly separate business and personal purchases and must also make it easier to deduct interest and fees.
Most small business bank cards are available as soon as you begin your corporation. Issuers typically check your personal credit rating and accept household income, not only business income.
And if you would like some startup capital, a 0% intro APR bank card can offer up to 18 months of interest-free purchases, so long as you repay the balance on time and in full before the introductory offer expires.
Finally, the advantages you’ll be able to get with bank cards make them especially worthwhile. Many business owners have found creative ways to maximize their bank card spending and earn significant money back or travel rewards.
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4. Build good credit
Good business and personal credit might help your corporation in several ways, including higher financing options, lower insurance premiums, longer payment terms with suppliers, and even necessary business opportunities with corporations that may confirm your corporation based on your corporation credit report or company credit rating.
Building good credit takes time, nonetheless, so start before you would like it. To establish business credit, you’ll have accounts (often called “tradelines”) with corporations that report your payment history to credit bureaus. Net-30 trade reporting will be a smart way to start building business credit.
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Take advantage of crowdfunding with a fixed fee and no commission.
Raise business capital from PLN 100,000. up to USD 100 million.
Connect directly with accredited investors.
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5. Increase your savings
“Watch trends and try to save money for a rainy day,” he suggests SCORE Mentor Tony Gansen. “It’s important to build up some savings to cope with unexpected events (such as) changes in the economy, a storm, or perhaps illness.”
Meikle agrees. “I believe that in addition to having the necessary initial capital needed to start a business, it is always good practice to have 3-6 months of funds in the bank to cover operating expenses,” he says. “This will allow you to weather the ups and downs of the economy, as well as the seasonal patterns you may see in your industry.”
If you are just starting out, depositing that much money probably won’t be an option. You can budget for personal savings, start a business on the side while keeping your job for income, or even get a business line of credit as collateral until you’ll be able to make it occur.
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6. Use the right tools
Whether it’s software for an online store or a pressure washer for a window cleansing company, the right tools make the difference when it comes to keeping your customers blissful.
The same applies to running a business. The right tools will make working on your corporation easier and faster, and not only in your organization. These include:
Money is often tight, especially for latest business owners, so consider how much your time is price and see how tools can prevent time and, ultimately, money.
7. Get help
Consider outsourcing to agencies or freelancers, suggests Meikle. “(You) don’t have to hire someone right up front,” he notes. “Examples include accounting, social media marketing, or/or tax preparation.”
You may also get free business mentoring through SBA Resource Partners like SCORE, a nonprofit organization that gives free business mentoring to small business owners.
“Find a mentor who can help you so you don’t have to learn everything the hard way,” Gansen advises.
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