Are you resolution ready for the new financial year?

The beginning of 2017 is now firmly in the rear-view mirror, and most people will have a good idea of how well they are doing with any new year's resolutions they may have made.

More than 42 per cent of those who set themselves a goal each calendar year never succeed, according to figures from Statistics Brain. But it's not all doom and gloom; the data also found that individuals who make explicit rather than vague solutions are 10 times more likely to attain their goals.

It may be too late for calendar year resolutions, so how about the new financial year? On 30 June, the 2016-17 financial year will come to a close and 2017-18 will begin on 1 July.

Are you resolution ready to achieve your goals?

Where do I start?

People often say the first step towards solving a problem is admitting there is one. So what are the weak areas of your business? It can be difficult to objectively review your operation, but there are tools and services to assist.

SWOT analysis can help you spot strengths, weaknesses, opportunities and threats, while benchmarking is an excellent way of comparing your business to competitors in your industry and location.

Formulating a strategy

Once you've identified the goals you'd like to achieve in 2017-18, you'll need an effective strategic planning process for the year ahead. This will involve putting in place an implementation framework to keep you moving towards your objectives.

Many small businesses benefit from setting SMART goals, an acronym that stands for Specific, Measurable, Achievable, Relevant and Timely. In other words, don't have a vague plan to grow your business – set a specific and achievable goal of boosting revenues by 25 per cent in 2017-18, and always track your progress.

Funding your efforts

Your goals may require investment, whether it's expanding into new premises, taking on more staff or installing upgraded machinery and IT systems. If you don't have the cash readily at hand, you may need to consider financing options to cover the initial outlay.

It's likely your competitors will be thinking the same; recent Dun & Bradstreet statistics showed capital investment expectations in Australia reached two-year highs in the second quarter of 2017.

If you'd prefer to avoid borrowing, why not consider improving your cash flow? This could help you fund growth efforts, or may even be a good resolution choice for the new financial year on its own.

Would you like help planning for 2017-18? Please get in touch with WMC Accounting to learn more about our suite of business advisory and tax services.