The end of financial year has come and gone. Tax returns are underway, and for many business owners, it feels like a natural time to take a breather.
However, July is one of the most important months of the year for your business.
While many businesses switch off after 30 June, the most successful ones use this time to reset, refocus, and put themselves in a stronger position for the year ahead.
Here are seven smart moves every business owner should be making right now.
1. Review Last Year’s Performance
Before looking ahead, take the time to understand what just happened.
Did your business actually make a profit?
More importantly, did it feel like it?
Many business owners are surprised to learn that while their financials show a profit, their bank account tells a very different story.
Understanding the difference between profit and cash flow is critical. This is the foundation for making better decisions in the year ahead.
2. Set a Realistic Profit Target
A new financial year should start with a clear goal.
What do you actually want your business to make this year?
Without a target, it becomes very easy to overspend, underprice, or fall behind on tax obligations. A clear profit goal helps guide your pricing, spending, and overall strategy.
3. Put a System in Place for Tax, GST and Super
One of the most common issues we see is businesses spending money that doesn’t belong to them.
GST, PAYG withholding, and superannuation are not business income, they are liabilities.
If you don’t set this money aside as you go, it creates pressure later and often leads to ATO debt.
A simple system of setting aside a percentage of income into a separate account can make a significant difference and remove a lot of stress.
4. Review Your Pricing
Costs increase every year for wages, materials, insurance, and overheads.
If your pricing hasn’t changed, there is a strong chance your margins are being squeezed.
July is the perfect time to review your pricing and ensure your business is charging what it needs to remain profitable and sustainable.
5. Check Payroll and Super Compliance
With ongoing changes to superannuation and payroll obligations, it is important to ensure everything is up to date.
Incorrect super payments, missed deadlines, or payroll errors can quickly become costly.
Taking the time now to review your systems can help avoid unnecessary penalties and compliance issues later in the year.
6. Review Your Business Structure and Distributions
The start of a new financial year is also a good time to consider whether your current structure is still appropriate.
Are you operating in the most tax-effective way?
Are trust distributions being planned early enough?
These are not decisions that should be left until May or June. Early planning provides more flexibility and better outcomes.
7. Book a Strategy Session Early
The biggest mistake many business owners make is waiting until problems arise before seeking advice.
By the time April or May comes around, there is often limited ability to make meaningful changes before year-end.
July is the ideal time to sit down, review your position, and plan ahead while there is still time to influence the outcome.
Final Thoughts
A new financial year is more than just a reset of your accounts, it is an opportunity to take control of your business.
The businesses that stay on top of their finances, plan ahead, and act early are the ones that avoid ATO debt, reduce stress, and build long-term profitability.
If you would like help reviewing your business performance or setting up a plan for the year ahead, feel free to get in touch.
Starting the year with a clear strategy can make all the difference.