12 February 2020
As we settle into the new year, now is the perfect time to conduct an Annual Review and reflect on what you achieved in 2019 and consider how prepared you are for 2020 in relation to both your business and personal affairs.
The level of compliance for business has grown exponentially over the past few years and in recent times, even more so for Agri business. When you couple that with the tightening of purse strings from the major banks in relation to Agri lending, having plans and strategies in place that can deal with the changing demands of your business, is critical.
Like any new initiatives a lot of energy can go in at the start, but impetus can slow over time. The key to success is to set aside time specifically to review those items you have marked as priority. As they are dealt with, bring to the table the next areas of focus so that you are always working proactively on your business rather than being reactive.
Some of the key areas to review to ensure you are not at risk and are operating as efficiently as you can are:
- Do you have a 2020 and 2021 working budget in place that you are working to and systems that let you report against budget regularly?
- Do you have access to timely financial reports?
- How robust are your Health & Safety systems and processes, have you reviewed them recently?
- Employment Issues – do all your employees (including casuals) have written contracts?
- Have you considered any succession issues and started to develop any plans, had any discussions to progress?
- Are you aware of the latest environmental requirements e.g. water way management, nutrient budget reporting and measuring?
- Insurances, both business and personal risk – with ever increasing premiums it may be timely for a comprehensive review
- Are your wills, powers of attorney up to date, have they been reviewed recently?
- Have you considered your short and long-term goals, both financial and personal?
- Have you planned time away from your business to make sure your work life balance is managed?
There will be many other things to consider as you move through the year. Seasonal demands, cash flow timing and management, and the things from left field that invariably get thrown up.
Making sure you involve all key players, both personally and professionally, in your planning discussions will help mitigate the unexpected somewhat. And by including others in the discussion and setting of goals, you then have people who can hold you accountable for taking action going forward.
Having a plan and process in place to conduct an Annual Review will help you prioritise what the most pressing needs are for you personally and for your business. Enabling you to focus on the areas that matter most.
If you would like to know more about planning for your professional and personal financial goals, the Business Advisory team at Findex can tailor an approach based on your needs.
The title 'Partner' conveys that the person is a senior member within their respective division and is among the group of persons who hold an equity interest (shareholder) in its parent entity, Findex Group Limited. The only professional service offering which is conducted by a partnership is the Crowe Australasia external audit division. All other professional services offered by Findex Group Limited are conducted by a privately-owned organisation and/or its subsidiaries.
The views and opinions expressed in this article are those of the author/s and do not necessarily reflect the thought or position of Findex NZ Limited.