The New Year’s celebration is long over. The ball dropped, crews cleaned confetti from the streets, and now we’re all sobering up to the realization that it’s tax season.
While taxes are an annual “tradition” at every company, one survey found that 71 percent of companies outsource tax preparation — and another 30 percent outsource tax planning. In many cases, business owners are effectively ignoring their budgets, accounting, and finances until tax season rolls around.
Considering how rare it is to find a business owner who reviews financials throughout the year, a dedication to the numbers can easily give you a leg up on the competition. Financial forethought drastically reduces the work necessary during tax time, but more importantly, it provides valuable insight into revenues and expenses throughout the year. It’s not uncommon for subtle price increases to fly below the radar, cutting into profits without anybody noticing.