323: Your Financial Check Up To Stay On Track This Year Whether You Are Starting A Business Or Side Hustle, A Solopreneur, Entrepreneur, Mompreneur, Freelancer, Bookkeeper, Virtual Assistant
- Financial Adventure, LLC
- Jul 30
- 9 min read
323: Your Financial Check Up To Stay On Track This Year Whether You Are Starting A Business Or Side Hustle, A Solopreneur, Entrepreneur, Mompreneur, Freelancer, Bookkeeper, Virtual Assistant, Business Owner, Or Self-Employed
Reviewing your financial statements regularly will help you keep a pulse on how your business is doing. I know from experience that when I’m working with many of my smaller business clients, especially those who are solopreneurs, it’s hard for them to find the time to review their financial statements on a monthly basis, so I want to focus on the importance of a mid-year review of your financial statements to help your business grow. In today’s podcast episode, I am talking about what you can do as you aim to expand and succeed in your business by effectively reviewing your financial statements at this mid-year point. Whether you are starting a business or side hustle, you’re a self-employed individual, a solopreneur, entrepreneur, mompreneur, freelancer, small business owner, a remote, virtual, online, or in-house bookkeeper, or a virtual assistant or VA; take the time with me to explore how a mid-year financial statement review can be a game-changer for your business…
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Show Notes:
Reviewing your financial statements regularly will help you keep a pulse on how your business is doing. I know from experience that when I’m working with many of my smaller business clients, especially those who are solopreneurs, it’s hard for them to find the time to review their financial statements on a monthly basis, so I want to focus on the importance of a mid-year review of your financial statements to help your business grow. In today’s podcast episode, I am talking about what you can do as you aim to expand and succeed in your business by effectively reviewing your financial statements at this mid-year point. Whether you are starting a business or side hustle, you’re a self-employed individual, a solopreneur, entrepreneur, mompreneur, freelancer, small business owner, a remote, virtual, online, or in-house bookkeeper, or a virtual assistant or VA; take the time with me to explore how a mid-year financial statement review can be a game-changer for your business…
Welcome Back…If you’ve been listening to this podcast for a while, you know that I highly encourage my listeners to review their financial statements on a monthly basis. Not only does this require you to keep your bookkeeping up to date so that you have accurate financial data to review, but the pulse you have on how your business is doing is so much greater. If you are a business owner who finds it hard to keep up with the monthly bookkeeping and are not doing your financial statement reviews on a monthly basis, you need to make sure that you are, at the very least, doing a mid-year review of your financial statements. Now that half of the year has gone by, you need to get your bookkeeping up to date so that you are not struggling at the end of the year with twelve full months of bookkeeping that takes up all of your evenings and weekends just so that you can have the data ready for you to get your tax return done. Think about all of the information you could be utilizing if you were gaining knowledge from your financial statements throughout the year. You have to do your bookkeeping anyways; you might as well do it when you can reap the benefits from it. When you, at the very least, do catch up on your bookkeeping at this mid-year point, you are going to be proactive by having your first half of the year up to date so that you can do a thorough review of your mid-year financial statements. You’ll know exactly the path you are on to not only reach the goals you’ve set for your business this year, but you’ll also have all the data you need to successfully start your tax planning. When you do your mid-year review of your financial statements, you’ll be able to see where your net income is sitting in comparison to prior years, and you’ll be able to see what your potential tax liability may be so that you can start preparing.
A mid-year review of your financial statements is simply a review of how your business has done financially for the first half of the year. Once you know you have all your bookkeeping transactions recorded and you’ve done all of your bank reconciliations, you can be confident that your financial statements are reflecting an accurate picture of your financial data. You’ll want to review your Balance Sheet to ensure each of the items listed is accurate, and when you compare your current Balance Sheet to your prior year, you’ll see exactly how your assets, liabilities, and equity are comparing. Your Income Statement, on the other hand, will show you your net income or net loss for the year so far. When you are looking at your income statement, make sure that you are reviewing the entire first six months of the year. If you are using a computerized bookkeeping system such as QuickBooks Desktop or QuickBooks Online, you can also simply customize your report to show the prior year’s information as well so that you can compare how you are doing this year to date to how you did last year at this same exact point in time. By reviewing these two financial reports, you’ll gain an understanding and a clear picture of your business’s financial performance and position.
If you’re an accountant or high-stress professional, you want to start enjoying your life more, both at work and at home. You’ve likely built a successful career, but at what cost? The problem is you’re so buried in deadlines and to-do lists, there’s no time or energy left for the things that really matter. You’re great at managing clients, deadlines, and numbers, but your own stress, time, and well-being, well, they always seem to come last. The constant pressure leads to burnout, guilt, and feeling like no matter how much you do, it’s never enough. I see this all the time. As a CPA with over 20 years of experience and a Certified Coach, I’ve helped high-achieving professionals like you go from stress and burnout to a more integrated and balanced lifestyle using The RE*INVENTION™ Process. This process helps you reduce stress, reclaim your time, and finally build a healthier, happier, more balanced lifestyle without sacrificing your success. The truth is, stress doesn’t go away on its own, and eventually, the cost isn’t just exhaustion; it’s your health, your relationships, and your love for the work you once enjoyed. If you’re ready to build a life you don’t need a vacation from, it’s easy to get started. First, schedule your Complimentary Stress Audit & Clarity Session where in just one session, I’ll help you pinpoint what’s really draining your time and energy, create a personalized action plan to help you simplify your life, reclaim your time, and increase your productivity so that you start living with more energy, focus, and freedom. You don’t have to keep doing this alone. I can help you customize a plan to stop the overwhelm and start enjoying your life again. Go to www.FinancialAdventure.com, click on the Work With Me button, and book your free session today. Let this be the moment you stop just surviving and start living with more control and finally enjoy a more integrated and balanced lifestyle again. In the meantime, check out all the other resources and solutions on my website that you can immediately apply to your life so you can stop being stressed out and feeling like you're never doing enough and instead breathe a sigh of relief at the end of the day knowing you've accomplished enough and can enjoy your life more.
A mid-year review is a checkpoint to ensure you are on track to meet your financial goals. It allows you to identify any potential issues or areas of concern early in the year so you have time to make any necessary adjustments for the remaining portion of the year. You can start to see trends, opportunities, and potential risks that may have gone unnoticed if you didn’t do a mid-year review. This is helpful for all business owners, but especially for solopreneurs who are wearing all the hats as business owners. This mid-year review will help you not only stay up to date with your financial information, but it will give you the opportunity to make any changes needed to meet your goals or fine-tune your strategies for the remainder of the year. If you are still finding it hard to find the time to get your bookkeeping up to date during this mid-year review, you may want to think about hiring a bookkeeper to help you with these tasks. It is such an important part of your business, so if you are unable to prioritize staying up to date with your bookkeeping, start asking yourself if it is time to get some additional help in this area so that you can make smart business decisions.
Now that you know what you should have in place to do your mid-year review, you may be asking what in particular you should be looking at. I recommend you focus on one of the key aspects of your business with the Income Statement. This report will reflect all of your revenues and your expenses. Analyzing your revenue streams and identifying the most profitable ones can guide your business decisions for the rest of the year. As far as expenses go, you can evaluate if there are any areas where cost-cutting measures can be implemented without impacting your revenue or the quality of what your business has to offer your customers. The analysis of your Income Statement as well as the comparison to the prior year, will allow you to identify any financial challenges you may experience before they become a significant problem. For example, knowing where you are sitting this year compared to last year will help you understand your potential tax liability and will give you time to prepare for a higher tax payment you may need to make. You may also see that your profit margin is not quite what you were hoping for. If this is the case, you still have time for the remainder of the year to make changes to improve these amounts. If you are finding that you are just not meeting the goals you have set for the year, it gives you the opportunity to look into the problem and find a solution so that you can be more on track to meet these goals over the next few months. You may need to get help with setting realistic and achievable financial goals for the remainder of the year. When I work with my clients, the mid-year financial review is a huge player when we are reviewing their goals. We often need to reassess them or dig deeper to see what is causing the results they are currently getting. We work together to create a well-informed action plan to optimize their financial performance in the future.
Don’t let another year go by in your business without a mid-year financial review. This is a place where many business owners underestimate the impact of the process. Look at reviewing your financial statements and embrace the work you do when performing a mid-year review as a powerful tool for growth and improvement. By implementing a process in your business where you do a mid-year review on an annual basis, you will be adding another tool in your toolbox as an overall strategy for achieving the goals you set in your business. This process will help you stay ahead of the curve and maintain a competitive advantage. Growing your business is a usual strategy for most business owners. Enjoy the journey your business is taking and utilize your financial statements as a compass that guides you to reach success in your business.
And, you know I’m going to ask…what’s at least one thing you will take away from this episode that will help your business succeed and grow your bottom line? If you want accountability or support, visit www.FinancialAdventure.com. You’ll find links to join our private Facebook community, connect with me on LinkedIn, and discover more free resources to help you reduce stress, boost productivity, and build a business and life you truly enjoy. I’ll see you there.
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