Christmas is a time for family, friends and, of course, festive fun.

But for small business owners, it can also be stressful and anxiety.

After all, even if you do continue to operate through the holiday shutdown season, your customers’ financial behaviour may not remain the same.

The key to a stress-free holiday season is to plan ahead.

That way, you can ensure that all your financial obligations are taken care of before the holidays arrive.

Here’s how:

1. Decide your Christmas and holiday break dates – confirm these with staff, customers and suppliers. Make sure that all parties know the closure period so they can make alternative arrangements if needed.
2. Budget and plan for annual leave – remember the pay rates may be higher than standard hourly rates and also factor in statutory public holidays. Also, consider whether you will pay out leave in full at the beginning of the Christmas break or continue to pay as usual throughout the break.
3. Monitor cash flow – plan for any unexpected costs, including additional stock or materials if necessary. Keep an eye on your accounts receivable to make sure customers are paying their invoices on time.
4. Check with lenders – if you have a loan, make sure you understand the terms of repayment and when payments are due.
5. Review your insurance – ensure that you are covered for any risks during the Christmas period, such as theft or damage to property.
6. Factor in potential business interruptions – like power outages and delivery delays.
7. Review your financial commitments – make sure that all bills can be paid before the holidays arrive.
8. Prepare a holiday shutdown plan – use your shutdown period to get any necessary maintenance done or to plan for the year ahead.
9. Review your work in progress (WIP) – plan to complete jobs or services that can be invoiced and paid before Christmas (remember if you don’t invoice and get paid before Christmas, you may not see the money until mid to late January).By taking these steps, small business owners can make sure that
10. Finally, if you do find yourself in financial difficulty over the holiday period, it may be possible to apply for an instalment arrangement with the IRD. Talk to us – we can help you explore your options and get through the Christmas season stress-free.

Need financial support?

We can help. Let us know if you need any assistance with cash-flow forecasting, budgeting or finance applications. We’ll get you through the holidays with ease!

Contact Us

If cash flow planning is stressing you out and you feel stuck, reach out for help before it gets too late. You can check out our Cash Flow Management Coaching or simply book a free, no-obligation call below at your next available date.

Happy holidays! ✨

Murray Phillips – The Small Business Champion. Working tirelessly to help small business owners succeed.

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