As 30 June rolls around, many Australian business owners grit their teeth, fire up their accounting software, and promise themselves they’ll “get on top of it earlier next year.” But it’s not just about wrapping up the year. A few smart moves today can lay the groundwork for a stronger, more efficient start to 2025–26.
Whether you’re reviewing your tax position or eyeing opportunities to expand, this EOFY checklist breaks down key areas to review. Let’s make EOFY feel less like a root canal and more like a business glow-up!
1. Level-Up Your Financial Systems and Processes
Still using clunky spreadsheets or chasing invoices manually? EOFY is a great excuse to upgrade your tech. Automating admin tasks can free up time, reduce errors, and streamline compliance. Not to mention, cumbersome bookkeeping can slow decisions and may invite scrutiny from the Australian Taxation Office (ATO).
Modern, cloud-based systems put live data at your fingertips so you can devise data-informed KPIs and business goals.
Action steps:
- Audit your software stack. For example, is your practice management platform still compatible with your accounting software? Integration glitches can cause headaches such as duplicate data and missed invoices.
- Automate routine bookkeeping. Bank feeds, invoice reminders and receipt capture apps save hours of admin every month.
2. Anticipate Regulatory Changes and Stay Tax Compliant
Tax rules can move with the times, so it’s important at the EOFY to double-check that you’re across any upcoming changes that could impact your obligations.
From revised thresholds and deductions to industry-specific updates, staying informed ensures you won’t get caught short at Business Activity Statement (BAS) or tax time. A proactive accountant (like me!) can guide you through the changes and how they apply to your business specifically.
Also, the ATO have released their 2025 focus list of taxation trip ups they’ll be zeroing in on. It’s worth your while to check you’re compliant and ticking all the boxes with these:
- Separating personal and business expenses,
- Correct goods and services tax (GST) lodgement,
- Contractors omitting income,
- Small-business capital gains tax (CGT) concessions misused, and
- BAS lodgement backlogs.
3. Forecast Cash Flow
EOFY isn’t just about reporting what happened, it’s about planning what’s next. A solid cash flow forecast gives you a clear picture of when money’s coming in and going out, so you can plan ahead with confidence.
This is especially crucial if you’re dealing with funding cycles, staff rostering, or seasonal fluctuations. Cash flow clarity = fewer surprises, and more opportunities to grow sustainably.
Action steps:
- Stress-test scenarios. For example, the award wage is set to lift by 3.5% on 1 July 2025. Do spending plans need adjustment to accommodate this?
- Align funding cycles. Where possible, match supplier terms to the timing of plan-managed or self-managed payments you receive.
- Ring-fence your BAS liabilities in a separate account so GST and PAYG never tempt your operating cash.
4. Build a Resilient Contingency and Risk Plan
What’s your backup plan if things go sideways? EOFY is a great time to assess your risk exposure and build out (or update) your contingency plans.
From supplier disruptions and weather damage, to staffing gaps or cyber security breaches, understanding your vulnerabilities (and having a plan B) could save you a whole lot of stress down the line.
Action steps:
- Review your Information Security Management System (ISMS). Start with multi-factor authentication on all log-ins, encrypted backups, and a documented breach-response plan.
- Update insurance cover. Make sure professional indemnity, cyber, and public liability reflects current business needs.
- Establish a three-tier cash reserve.
- Emergency (0-30 days): Payroll and rent.
- Stability (31-90 days): Supplier payments, tax, super.
- Opportunity (90 days+): Funds to seize equipment bargains or expansions.
- Test your disaster-recovery drill and back to business plans. For example, could your team access files from a temporary location or remotely?
5. Refresh Your Growth and Funding Strategy
Thinking about expanding your services, hiring more staff, or investing in new equipment? Let’s talk funding.
There are a range of options available, from government grants to business loans and private investment. EOFY is the ideal moment to explore what’s out there and get your finances in shape to take advantage of growth opportunities.
Unsure which funding option best suits your growth plans, or what you’re eligible for? We can help you identify the right solution tailored to your business needs and goals.
6. Revisit Exit and Succession Plans
Even if you’re not planning to exit your business any time soon, having an exit strategy in place gives you a clear roadmap for the future. Exit strategies aren’t just for retirees. Growth via merger, a sudden health issue, or an attractive acquisition offer can arrive unannounced.
Succession planning is a must if you want your business to thrive without you at the helm every day.
Are there team members ready to step up? Does your business structure support a smooth transition? Now’s the time to make sure everything’s in place.
Action steps:
- Document key-person risk. Who can step in if a subject matter expert, team leader or your finance manager leaves?
- Mentor a second-in-charge. Shadowing you through important tasks such as budget prep and reporting now ensures continuity later.
- Create standard operating procedures (SOPs) for common tasks. SOPs make it easy to delegate tasks without losing accuracy.
7. Is Your Business Structure Still Fit for Purpose?
As your business evolves, your structure might need to as well. Are you set up as a sole trader, company or trust? Does your structure minimise tax, protect your assets, and support growth?
A business structure review at EOFY can uncover opportunities to optimise, and could even save you money.
Wrapping Up
EOFY doesn’t have to be a mad dash to get your books in order. With a bit of proactive planning and the right support, it’s a powerful moment to reflect, reset, and realign with your business goals. Using EOFY to position your business for a more efficient FY 2025-26 can make future you happier come tax time.
Need help making sense of your EOFY review? Let’s talk.