Small business owners are likely to spend the festive-season holidays fretting over one thing or another. But don’t worry, we can step in to solve at least one worrisome part of your business: your end-of-year accounting. Follow our easy holiday guidelines and you will be sipping eggnog and singing along to your favourite festive tunes in no time.

Do they know it’s Christmas?

Although it’s the season of goodwill, it’s a good idea to be proactive with your invoicing. The holidays can be a tricky time for businesses that have to take care of expenses such as Christmas parties, client gifts and staff bonuses. To ensure that you don’t end up with empty pockets in the notoriously sparse months of the new year, take some preventative measures. Send your debtors a politely worded reminder to let them know they have received their invoices so they know that their payment is due

The Christmas Hop

Since payments at this time of year can be crucial to keep your business running, you could consider changing your terms. With new projects or clients, you might have to cover starting costs which could leave you out of pocket if there’s a delay. Taking a percentage of payment as a down payment might help. Include your bank details on your invoice to encourage direct bank transfers.

Christmas wrapping

Christmas is a time for giving but don’t forget that you also have to remain compliant. It’s not all one-sided though, you might also get tax deductions on expenses. For example, some of your expenses are claimable and some aren’t. Your accountant can tell you about taxes, deductions and VAT on gifts to clients and staff members including food and wine, entertaining clients, Christmas parties and cash bonuses.

With Quickbooks Accounting software, you can keep track of your finances and your cash flow. Our online accounting software will give you peace of mind as you wrap up your end-of-year accounting and prepare to enjoy some well-earned time off.