Businesses that set financial goals tend to progress more consistently when they plan how to achieve them. The new year is a natural time to decide what you want to accomplish and how. With that in mind, to learn the steps for setting financial goals for your business in 2023.
Review and evaluate your 2022 goals
You’ve got to know where you’re coming from to see where realistically you can go. At the end of the year, review the goals you set the previous year and use your numbers to see how your business measures up.
Whether you met your goals or not, the information is still valuable. What situations enabled you to meet your goals or prevented you from doing so? If you didn’t create a formal list last year, remember where you were 12 months ago and see if you’ve progressed.
Use that information to set your 2023 goals
Now that you know how far you came in 2022, write down what you want to achieve in 2023. Don’t worry about being too specific; it’s just a jumping-off point. Be ambitious without being extreme. Setting unattainable goals only sets you up for disappointment and the feeling of failure, which is entirely counterproductive.
Get specific
Create your ideas by paying attention to the details. Use real numbers in your goals. Are you going to find new clients? Make more sales? Raise prices? Outline exactly how you’re going to achieve these numbers. The more clear-cut you can be, the better.
Sort your goals into categories
Once your goals are determined, look at them as a whole. Some goals will be small and quickly achievable. These are the best ones to tackle early in the new year to advance your business and start you off on the right track. Plan to complete these as soon as possible so you can reap the rewards.
Some of the goals on your list will take more planning, time and effort. Break down these bigger goals into smaller steps, and create a timeline for achieving each milestone.
You will likely have several goals that fall somewhere in the middle. Distribute these evenly throughout the year in a way that makes sense for your business.
Break down the steps in each goal
With your short, medium, and long-term goals laid out, go over them critically. You need to ensure that each one has a clear set of steps to help you accomplish it, especially if it is a bigger or complicated goal.
Create milestones for each goal, with what you need to accomplish broken down into smaller manageable chunks. A larger, more complex goal may require weekly targets to help you cross the finish line.
After completing this step, you’ll have a detailed image of what your business will look like for the year. If things are balanced out well, you’re likely to feel somewhat accomplished when you look at this goal map and will be eager to get things underway. What was once daunting becomes exciting!
Check that each goal is SMART
Most of us will be familiar with the idea of SMART goals, but we don’t always take the time to ensure they pass this check. Look over your goals to ensure that each one is Specific, Measurable, Attainable, Relevant (or Realistic), and Timely. If each goal meets these requirements, then you’re good to go!
Set reminders to check in each quarter
Accountability is key. Set up dedicated time at a minimum of once per quarter to review your progress. If you’re falling behind, take this time to create a plan to get things back on track.
Final thoughts
Business owners usually know what they want to accomplish each year, but the only way to make those dreams come true is to plan, plan, plan. Make sure you are reviewing your plan regularly. It’s the best way to ensure your ambitions and financial goals come to fruition.
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