Spring Clean Your Business Finances: 10 Easy Wins for a Clearer, More Profitable Year

Spring isn’t just about cleaning out your cupboards or finally tackling that junk drawer. It’s also the perfect time to freshen up your business finances, sort the mess behind the scenes and set yourself up for a smoother, more profitable year.

Here’s your no-fluff guide to spring cleaning your business finances, packed with practical steps that actually make a difference.

1. Reconcile Everything

We know… it’s boring, but it's vital. Get your bank feeds up to date in Xero or QuickBooks and reconcile all outstanding transactions. Unreconciled statement lines are like unopened letters left on the side...they’re easy to ignore but could be hiding something important (e.g. missing income, double expenses or VAT chaos).

Top tip: If you're searching for "Xero bookkeeping support for UK businesses," start with a full reconciliation as it gives you a clean slate to work from.

2. Review Your Subscriptions and Outgoings

Just like that unused gym membership, business tools and software can sneak into your regular expenses and quietly but quickly drain your cash flow. Go through your direct debits, card statements and PayPal history. Ask yourself: ⍰ Are we still using this? ⍰ Is it giving us value?

Small business finance tip: Cancel and remove anything that’s not actively helping you grow or run more efficiently.

3. Organise Your Invoices (Yes, Both Sides)

Does your business have late payments? Are you constantly chasing clients? Maybe you have missed invoices? Now is the perfect time to fix that.

⍰ Review unpaid sales invoices send polite reminders (these cant be automated) or implement a stricter credit control process.

⍰Check your purchase invoices too. Make sure you’ve claimed all allowable expenses and VAT where applicable.

Top Tip: If you’re using Apron Capture or Xero, you can set up automation rules to reduce manual work and get your inbox in order.

4. Review Your Pricing (and Your Worth)

Spring is a great time to check in on your pricing strategy. Have your costs increased? Are you undercharging for the value you’re providing? If it’s been more than 12 months since you raised your prices, it's time to review and implement changes.

Top Tip: Don’t undervalue yourself! Your business deserves to be sustainable and profitable.

5. Get Clear on Cashflow

Cashflow is one of the top reasons small businesses struggle. If you're not already using a cashflow forecasting tool, now’s the time to start. Knowing what's coming in (and going out) helps you make informed decisions, spot problems early and plan for growth.

Need help with cashflow management for your small business? At A B C S UK, we’ve got tools and templates ready to go.

6. Sort Out Your Chart of Accounts

It’s not sexy, but it’s powerful and you'll thank yourself later on. Cleaning up your chart of accounts makes your reports clearer, your bookkeeping faster and your accountant much happier. Remove any duplicates, consolidate rarely used codes and add new codes if you want to break down different parts of your sales or cost of goods sold for example. Make sure everything is labelled in a way that makes sense to you. This is the kind of work that pays off every month.

7. Update Your Financial Goals

What’s the plan for the next quarter business owner? Or the next 12 months? Don't wing it! Take some time to reconnect with your business goals and make sure your numbers are aligned. Whether it’s increasing profit, hiring a new team member or launching a new service, your finances should support your ambitions not hold them back.

8. Review Your VAT Position

If you're a VAT-registered business, check your VAT returns, your VAT scheme (Flat Rate vs Standard) and ensure you’re claiming everything you're entitled to. It’s also worth checking whether your turnover is creeping near the threshold if you’re not yet registered. Mistakes in VAT can be costly! A review now could save you a headache later.

Bookkeeping tip: The threshold for mandatory VAT registration is £90,000 in turnover (sales) in a rolling 12-month period. It doesn't reset with the financial year and catches many business owners out.

9. Back-Up and Secure Your Financial Data

Spring is also a good time to check your systems and backups. Are your financial records stored safely? Is your Xero login secure? Do you have 2FA (Two-factor authentication) switched on?

You wouldn’t leave your front door unlocked so don’t leave your business data wide open either.

10. Ask for Help (That’s What We’re Here For)

Trying to DIY your business finances can get overwhelming fast and as your business grows, will only get you so far. If you're spending more time stressing over spreadsheets than growing your business, it might be time to get support.

At A B C S UK, we do more than just bookkeeping. We’re your sounding board, your strategy partner and the people who make sure your numbers actually make sense to you.

Ready to spring clean your business finances for real? Let’s get things sorted properly, professionally and with a few laughs along the way.

➤ Book a discovery call or get in touch to see how we can help your business grow. mailto:ask@abcsuk.com