Year-End Checklist for Small Businesses

Preparing for Year-End

Whether your financial year ends on 31 March, 5 April, or another date entirely, good preparation makes all the difference. Here’s our checklist.

Reconcile Your Bank Accounts

Make sure every transaction in your accounting software matches your bank statements. Unreconciled items cause delays and can lead to errors in your accounts.

Chase Outstanding Invoices

Review your aged debtors report. Any invoices that are unlikely to be paid can be written off as bad debts — a legitimate expense that reduces your tax bill.

Stock and Work in Progress

If you hold stock, you’ll need to do a stocktake as close to your year-end as possible. Work in progress should also be valued and recorded.

Review Your Fixed Assets

Check your fixed asset register. Have you disposed of any assets during the year? Are there new purchases that need to be capitalised rather than expensed?

Gather Your Receipts

Make sure all expense receipts are uploaded and categorised. HMRC requires you to keep records for at least five years (six for limited companies).

Pension Contributions

If you haven’t maximised your pension contributions, consider doing so before year-end. This is one of the most tax-efficient ways to extract profits.

Speak to Your Accountant

Don’t wait until after year-end. A pre-year-end planning meeting can identify opportunities to legitimately reduce your tax bill while there’s still time to act.