In early January, we start to think about eating better and moving more but spare a thought, too, for the health of your business. This is the perfect time to check how your company is ticking along and set some goals for the year ahead.
“If you’re not regularly checking the health of your business, you might find that small problems grow into bigger ones over time,” says Jess Irvine, CommBank’s personal finance expert. “It’s really important to identify any emerging issues and nip them in the bud.”
The new year is also an ideal time to have a chat with your business banker, says Rowan Johnston, a CommBank business performance optimisation manager. “We’re here to make sure your holistic financial situation is looked after.”
To get started, we’ve gathered check-up tips from the experts to help you set goals, streamline processes and drive success in the coming year.
Make the business health check a priority
“Block out a chunk of time in your diary when you won’t be distracted,” says Irvine. You might opt for one-hour slots with dedicated objectives, such as assessing debt or setting goals, or a full offsite day may be more your speed.
Next, map out a strategy. “I recommend a notebook where you can jot down your ideas first. Ask: what’s the purpose of my business? Who are my customers and do my products serve their needs? What are my aspirations for the business in three months, 12 months, five years?
"Draw, scribble, use a whiteboard—whatever gets the creative juices going. If you have a core team, invite them to participate. It can even be worth getting outside coaching from someone who has helped other businesses grow.”
Assess your debt
Analyse the outgoings. “Ask whether the debt you have is helping your business grow,” says Irvine. “Can you meet repayments with your regular cash inflows?” If you do need help, call the free Small Business Debt Helpline on 1800 413 828 to access independent and confidential small-business financial counsellors.
Do some housekeeping
Take a hard look at the subscriptions and services you’re paying for and weigh up if they’re all necessary. Michael Shafran, owner of Sydney’s Brooklyn Bagel Boys, suggests doing this regularly. “See if you can streamline any of the fees that you’re paying. One of the things I did was [cut back on] all my software fees—we were paying for so much software that it was getting out of control.”
Inspect your cash flow
Research by Xero shows that 87 per cent of small-business owners experience cashflow issues. Irvine recommends familiarising yourself with your cash conversion cycle. “This is the time it takes for money that you outlay—to purchase stock and pay suppliers—to return to you as revenue from customers. The shorter your cycle, the better.” And check Business Cash Flow View in the CommBank app, which lets you see a monthly summary of incomings and outgoings.
May Pike, founder of gourmet marshmallow retailer and wholesaler Cloud Theory, shortened her cash conversion cycle by using CommBank’s Trade Advance program. “It allows us to have a short-term loan on the cost of our goods, like ingredients and packaging, so we can get the order going,” she says. “When we get paid by the retailer, we cover that.”
Hone your money management skills
If cash flow is a problem for your business, put learning more about it on your to-do list in 2025. “CommBank has partnered with UNSW on a complimentary cashflow course1 that we offer to customers,” says Johnston. Daily IQ is another tool that’s worth checking out; it shares insights with the bank’s business clients on how to optimise cash flow, enhance performance and grow the customer base.
Set a variety of goals
Once you have a full picture of your enterprise, start looking ahead. “Your goals should capture the breadth of your ambition for the business,” says Irvine. “What revenue targets would you like to hit and by when? How many people do you see yourself employing? What’s your marketing strategy and where would you like to connect with potential new customers?” She suggests keeping goals ambitious and giving them a timeframe and price tag.