The short answer
Don’t wait until tax time. Learn how often business owners should review cash flow, profit, and forecasts to stay in control year-round.
Many business owners only look at their numbers at tax time - but that’s far too infrequent to make informed decisions. Staying on top of your finances means understanding what’s happening in your business all year round.
At a minimum, we recommend reviewing your numbers monthly. That includes your profit and loss, cash flow, and debtors and creditors. This gives you a clear snapshot of performance and helps you identify issues early.
On a weekly basis, track your cash flow to ensure you’ve set aside enough for wages, super, and taxes.
Then, every quarter, do a deep dive - ideally when completing your BAS lodgements. Compare your year-to-date profit against your forecast to see if you’re on track and make any necessary adjustments.
Regular reviews keep your business financially healthy and help you make smarter, more proactive decisions.
What’s a simple routine to follow?
Check your bank balance and overdue invoices weekly. Review profit and loss, cash flow and key metrics monthly. Look at your forecast and tax position quarterly. Fifteen minutes a week and an hour a month is enough to stay in control.
Key takeaways
Weekly: check cash and set aside wages, super and tax.
Monthly: review profit and loss, cash flow, debtors and creditors.
Quarterly: compare year-to-date profit with your forecast at BAS time.
Read next: what business owners should review each month, important financial reports, or see our small business bookkeeping.
Sam is as passionate about people as he is about numbers. A Chartered Accountant (CA) member and Xero specialist, he loves building long-term client relationships and providing holistic advice that helps people achieve both their business and personal goals. Problem-solving is his thing - which is handy in an industry that never stops changing.
