The fourth quarter is upon us, which means it's time to start wrapping up the year and preparing for the next one. For small businesses, that means taking a close look at what worked (and what didn't) over the past 12 months and using that information to inform your plans for the future.

It can be tempting to just coast through the final few months of the year, but taking the time to do some strategic planning now will pay off come January 1. So, where should you start? The Southwest Washington Contractors Association has put together a list of key areas to focus on as you wrap up the fourth quarter.

Assess 2022’s Goals

The first step in fourth quarter planning is to review your goals for this year. What did you set out to achieve, and how well did you do? This is an important exercise even if you didn't hit all of your targets; by taking a close look at what worked and what didn't, you can make better-informed decisions about next year's goals.

Outline 2023’s Goals

Once you've reviewed this year's goals, it's time to start thinking about next year. What do you want to achieve in the next 12 months? This is your chance to dream big and set some ambitious targets. But don't get too carried away; make sure your goals are realistic and achievable, or else you'll just end up disappointed come December 31.

Prepare Seasonal Marketing Plans

If you haven't already done so, now is the time to finalize your holiday marketing plans. What promotions are you going to run? How are you going to reach your target audience? Answering these questions now will save you a lot of stress (and last-minute scrambling) later on. For instance, gamers might be more interested in headphones than your sale on fishing rods, so if you’ve already put together a PDF of promotional materials, you could  then split it out using this online tool. Once it’s divided up the way you want it, you can send it to specific target audiences.

Refresh Your Web Presence

The holidays are a great time to give your website and social media profiles a fresh coat of paint. If it's been a while since you've updated your website, consider giving it a seasonally appropriate facelift before the end of the year. And if you're not active on social media, now is the perfect time to start! Creating profiles on popular platforms like Facebook and Twitter will help you reach a wider audience during the holiday season (and beyond).

Assess Your Inventory

Before the holiday rush begins in earnest, take some time to check your inventory levels. Do you have enough products or services on hand to meet customer demand? If not, now is the time to reorder or ramp up production. Nothing puts a damper on the holidays quite like running out of things to sell!

Examine Your Business Structure

You may also want to use the fourth quarter as an opportunity to reassess your business structure. If you're incorporated as a sole proprietorship or partnership, changing to an LLC or S-Corp could offer significant tax advantages come April 15. Consult with an accountant or attorney before making any changes, however, as there can be significant implications depending on which business structure you choose.

Get a Head Start on Tax Season

No one likes paying taxes, but they're an inevitable part of doing business. Use the fourth quarter as an opportunity to get your ducks in a row so that tax season isn't such a headache come springtime. Gather up all of your receipts and records, update your bookkeeping software, and make sure everything is accounted for—that way, when tax season rolls around, all you'll have left to do is file your return!

The fourth quarter is an important time for small businesses. By taking some time now to review this year's goals, outline next year's goals, finalize holiday marketing plans, update your website and social media profiles, check your inventory levels, review your accounting procedures, and prepare for tax season, you'll set yourself up for success come January 1st!

Looking for business support? The Southwest Washington Contractors Association champions our community’s economic and cultural growth through networking, events, and advocacy.