End of Year Cash Flow Issues

Hopefully the holidays have brought you an influx of cash – because like or not, there are some end of year and upcoming 2013 bills to be paid.

YOUR STAFF 

For starters, you need to get ready to close out December – factoring in extra hours, extra staff and extra overhead that was set in place to get through this busy time of year. Hopefully those dollars were planned for in advance, leaving you with the opportunity to give your full time, part time and possibly even seasonal staff a holiday bonus of some sort. While everyone loves cash, it’s still thoughtful to give store product or area business gift cards instead of cash – saving you some dollars while still showing your appreciation. Someone who does deserve a little extra cash, though? YOU. But let’s not get too greedy. Close your year end books first, then see if a bonus is an option or not.

YOUR TAXMAN 

When closing up 2012 and planning for 2013, remember to prepare for taxes. Mark this date in your calendar now to guarantee (well, to help guarantee) you aren’t late – Monday, April 15, 2013. This is the IRS tax filing deadline. Plan now to avoid paying late fees and dealing with the IRS in general. No one likes that.

YOUR PARTNERS 

If you have multiple business partners – even silent ones – it’s in everyone’s best interest to know what taxes they owe to the IRS – so get your year end numbers done right away in 2013. This helps everyone involved stay focused on hard deadlines, plus everyone loves a payout in the early year (hopefully).

YOUR STORE 

Now for the fun part. You should consider giving back to your business, as well, by spending some money to re-invest into your store. Possibly you need some new displays. Maybe you need a new coat of paint. It could be as simple as investing into a new category of products – but simple, of course, is never the issue when it comes to actual dollars. Like all spending, plan accordingly to ensure you have the money to spend here, otherwise stay on track on with your open to buy dollars to avoid diving into 2013 with money troubles.

2013 is around the corner, but 2012 still isn’t over. It will linger over you until taxes are paid, bills are filed and everyone is paid out – so rather than avoid it, dive into this head first. Whether you are looking for a fresh start in 2013 or hoping to continue a great ride from 2012, it’s our hope to you that your cash flow is strong and your cash flow comes easy in the year ahead!

COMING SOON! Stay tuned for our 2013 Cash Flow Report on saving dollars while making more! 

PLUS! Checkout some tips for how to address markdowns for stronger cash flow management!