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As the calendar turns and we begin 2025, there’s a sense of new beginnings and opportunities in business. This time of year invites business owners to reflect on past achievements and challenges while setting their sights on the opportunities ahead. In short, this is an ideal time to start fresh with clear objectives, realistic business goals, and strategies for success.
This blog article from Balboa Capital explores eight business planning strategies to consider for the New Year. It offers ideas and tips tailored to help you optimize your finances, attract more customers, streamline operations, and more.
1. Conduct financial housekeeping for your business.
The start of the year is an ideal time to evaluate your company’s finances to ensure you aren’t spending excess money on operational costs or services that aren’t producing a satisfactory return on investment. Look for things like paying too much for monthly/annual subscription services, underutilizing purchased software, overspending on inventory, and allocating too much money for discretionary items (office lunches, gifts, swag, etc.).
By carefully reviewing your company’s expenses, you can make informed decisions to reduce or eliminate wasteful spending and redirect funds toward more profitable initiatives.
2. Seek lower prices from vendors and suppliers.
The age-old saying, “It doesn’t hurt to ask,” applies to the business world. For example, if your company buys products, parts, components, or inventory from vendors and suppliers, asking them for lower prices or better terms doesn’t hurt—it’s a smart and strategic move in the new year.
By initiating this conversation, you demonstrate your interest in maintaining a good business relationship and open the door to potential cost savings without any negative consequences. If your vendors and suppliers are open to potential discounts, bulk purchasing options, or more favorable payment terms, great! If not, at least you tried.
3. Consider upgrading your company’s equipment.
Does your company have old, outdated equipment or equipment that frequently malfunctions and needs costly repairs? Early 2025 is an ideal time to evaluate your company’s equipment and consider upgrading. Investing in new or updated equipment, vehicles, machinery, and technology can enhance productivity and reduce operational costs. Plus, it can set your company up for success in the coming year.
Equipment financing can help you obtain equipment without depleting your company’s cash flow. When you finance equipment, you can avoid making a large one-time purchase and instead make predictable monthly payments over a flexible term.
4. Review your company’s insurance coverage.
The start of a new year is often when new insurance rates begin. Before your current insurance plans (e.g., business liability, product liability, health insurance, etc.) come up for renewal, consider shopping around for a more affordable policy with comparable coverage.
Plus, don’t hesitate to contact your current insurance provider and inquire about the possibility of securing a better rate. They may have a loyalty discount that could save you money. It may also be beneficial to consult an insurance professional for further insights regarding the type(s) of business insurance your company needs.
5. Enhance your digital marketing efforts.
For your company to be competitive in 2025 and beyond, it needs more than top-quality products or services. It also requires a strong presence online. Start the year by reviewing your digital marketing strategy to see what is working and what might need improvement. Analyze key performance metrics for your company’s website. These include website traffic, audience engagement, conversion rates, and revenue generated.
If you leverage social media platforms, review the engagement analytics, such as impressions, click-through rates (CTR), and the number of followers gained. Examining these and other website and social media metrics enables you to make informed decisions to enhance your digital marketing efforts.
6. Examine other types of marketing.
A company website and social media presence are two vital tools in the digital marketing toolbox. However, there are other marketing strategies to look into and determine if they might benefit your company. These include email marketing, pay-per-click advertising, co-op advertising, interactive content (e.g., polls, quizzes, contests), video marketing, and trade show/event marketing.
There is also chatbot software available that enables website visitors to ask questions, find information, and move along the sales funnel without human interaction. The start of the new year is a good time to review your marketing budget and introduce new strategies that can expand your reach, engage with your audience, and drive business growth.
7. Grow your company’s workforce.
According to the LinkedIn Workforce Report,1 the year’s peak hiring months are January through May. Many companies seek to fill positions during this time, and many workers seeking a fresh start to the year look for new jobs. If you need to expand your company’s workforce or fill a much-needed talent gap, now is the perfect time.
Place detailed job listings on your website and promote them on social media with links that direct users to your online job board where they can apply. This approach increases visibility for your job postings and helps you reach a wider audience of potential applicants. Additionally, working with a recruiting agency may be worthwhile if your budget allows. Doing so can save you time and resources in the hiring process.
8. Invest in your employees.
You want your employees to remain at your company in 2025 and beyond. But as you know, some workers seek employment elsewhere, perhaps for more compensation or a new job title (or both). By investing in your employees, you can create a culture that encourages your top talent to stay within your organization for years to come.
Some ideas include providing your employees with advanced training and development programs, team-building events, and career advancement opportunities. These initiatives create a work environment where employees feel valued and appreciated for their contributions, increasing retention and satisfaction.
Source:
1 https://economicgraph.linkedin.com/resources/linkedin-workforce-report-january-2024
Balboa Capital is not affiliated with nor endorses LinkedIn. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.