Preparing Your Business For the Holiday Season
The holiday season might be “the most wonderful time of the year”, but it can also be one of the most unpredictable times for business. Some industries see a rush of last-minute work, while others experience a noticeable slowdown as clients close their doors and staff head on leave. Add in reduced operating hours, delayed payments and public holidays, and December to January can quickly become a financially stressful period if you’re not prepared.
A little planning now can help your business maintain healthy cash flow, stay organised and avoid surprises over the break. Here are some simple, practical steps to get everything in place before the holiday season begins.
Get invoicing up to date early
December is a notoriously slow month for payments, so getting your invoicing sorted early can make a huge difference to cash flow. Send out all outstanding invoices ahead of the holiday period and follow up on any overdue accounts now. It’s much harder to chase payments once businesses shut their doors and people go on leave. If you use Xero, turn on automated reminders so follow-ups continue even while you’re taking a break.
Review cash flow projections for December and January
The December to January period often brings a mix of reduced sales (depending on the industry), delayed payments and increased costs. Spend time reviewing your cash flow projections so you can clearly see what money is coming in and going out over the next three months. Factor in quieter trading periods, outstanding invoices, staff leave payments and upcoming ATO obligations. If you’re unsure where to start, we can help you review your numbers and prepare a practical cash flow plan.
Communicate your closure times
Clear communication can minimise confusion and last-minute stress. Notify customers, suppliers and staff of your closure dates and cut-off times for work, deliveries or payments well before the break.
Update your website, Google Business Profile and email signatures, and set up automatic email responses to let people know when you’ll be back. The more notice you give, the smoother your December will be.
Plan for employee leave and payroll
Payroll costs can spike during December and January, especially if staff take annual leave, leave loading applies, or public holiday rates come into play. Review your payroll calendar and make sure you’ve budgeted for these additional expenses. Confirm leave approvals early, check staff entitlements and ensure all public holiday settings are correct in your payroll system. Preparing ahead means you won’t be caught out by unexpected wage costs during the slowdown.
Back up your data and secure systems
Before closing for the break, make sure all financial data, documents and business systems are properly backed up. This includes payroll records, documents stored on shared drives and any critical operational data.
Take the opportunity to update passwords, review user access and tighten security protocols, especially if casual or temporary staff have had access during the year.
Stay alert to cyber scams and invoice fraud
December is a high-risk period for cyber scams, phishing attempts and invoice fraud, especially when staff are busy, distracted or working reduced hours. Remind your team to stay cautious, double-check any unexpected payment requests and verify bank detail changes directly with the sender. Encourage staff to report anything that feels unusual. A few minutes of vigilance now can prevent a major financial or data issue over the holiday break.
Review and plan your stock levels
For product-based businesses, stock management becomes especially important leading into the holiday period. Take time to review your current stock levels, forecast sales for December to January and place any final orders early to avoid supply delays.
If your business slows down over the break, avoid over-ordering. Excess stock ties up cash flow at a time when incoming payments may be delayed. On the other hand, if December is your busiest period, make sure you have enough inventory to meet demand without relying on suppliers who may also be closing.
A quick stock check now can prevent both shortages and unnecessary holding costs during the holiday season.
Start preparing early
Preparing early gives you the confidence to navigate the holiday season without the usual cash-flow pressure or last-minute scramble. Whether you need help forecasting your December–January numbers, reviewing payroll and leave settings, or tightening up your systems before the break, our team at Bonerath & Co is here to support you.
If you’d like personalised guidance to help your business stay holiday-ready and financially steady, get in touch with us. We’re always happy to help.
Holiday season checklist
Get your invoicing up to date
- Send invoices before businesses shut down
- Follow up overdue accounts early
- Switch on Xero invoice reminders to keep things moving while you’re away
Review your December–January cash flow
- Look ahead at your income and expenses over the next 2–3 months
Communicate your closure and cut-off dates
- Give customers, suppliers and staff plenty of notice
- Update your website, Google Business Profile and email signatures
- Set an automatic reply so enquiries know when to expect a response
Prepare for employee leave and payroll
- Confirm leave approvals early
- Check entitlements, leave loading and public holiday rates
- Make sure your payroll calendar and settings are correct
Review and plan your stock levels
- Conduct a quick stock take
- Order essential items early before suppliers close
- Avoid over-ordering if your business slows down
- Forecast demand to minimise cash tied up in excess stock
Back up your financial data
- Back up payroll records, financial reports and key documents
- Make sure your backups are accessible and up to date
Strengthen your system security
- Update passwords and user access
- Remove access for temporary or departing staff
- Review security settings and protocols
Stay vigilant with cyber security
Remind staff to watch for phishing attempts and fake invoices
