Can you believe that half of 2019 is gone already? That means it is an opportune time to take stock of how your business has done for the first half of 2019 so that you can meet your financial goals for the entire year. Team One Accounting, your Orange County bookkeeper, wants to help you analyze your numbers to see if you are ahead of the game.
On Track for Sales
Are you on track to make your 2019 revenue number? The first step is to check your 2019 budget numbers for total revenue. (Don’t have a budget? – Team One Accounting would be thrilled to discuss this service with you.)
Next, get your Income Statement for June 2019 Year-to-Date and check the revenue figure. Are you on track with your budget or are you halfway there revenue wise? Are you accounting for seasonality? If so, pat yourself on the back! If not, what promotions will you put in place to boost your growth for the rest of 2019?
On Track for Profit
Looking at the same Income Statement, check your net income figure. Are you on track with what you planned? If so, great! If not, now is the time to dig into your statement. Do you have lower sales than expected or higher expenses than expected?
If your expenses are too high, you’ll need to drill down into each of your expense accounts, including the cost of goods sold, to see which ones are higher than expected. Were there some unanticipated costs? Does your pricing need adjusting? Do you need more volume to cover your costs? Your favorite Orange County Bookkeeper can assist you with an analysis of where your opportunities are to increase profit.
On Track for Cash
One more place to look is your cash balance. It can be uncomfortable when you are running short of cash for your business. If your balance is lower than you’d like it to be, it could be because of some of the factors mentioned above. It could also be because you just purchased an asset like a truck. If you need help with improving your cash flow, Team One Accounting would love to help!
This mid-year review can help you head off any small problems before they grow into big ones throughout the rest of the year. It will also keep you on track so you can meet your 2019 business goals. Feel free to send any questions to Team One Accounting, your favorite Orange County bookkeeper.