Just like your car needs an annual MOT to stay roadworthy, your business finances need regular check-ups to remain strong, compliant, and ready for what’s ahead.
Too often, business owners wait until a problem arises before reviewing their finances. But a proactive financial health check can help you spot risks early, plan for growth, and make confident, informed decisions.
Here’s a practical 12-point Business Financial MOT—a checklist you can use every year to ensure your business is financially fit and future-ready.
1. Are You Reviewing Management Accounts Monthly?
Regular management accounts provide timely insights into your performance. They help you react quickly to trends or issues and make decisions based on real-time data, not outdated year-end figures.
2. Do You Have Clear Cash Flow Forecasts?
Cash flow remains one of the biggest causes of small business failure. The Federation of Small Businesses (FSB) reports that over 60% of UK SMEs face cash flow challenges annually. Forecasting helps you plan with confidence and avoid shortfalls.
3. Are You Tracking Key Performance Indicators (KPIs)?
Focus on the numbers that really matter—like profit margins, debtor days, or return on investment. Monitoring your KPIs regularly keeps your business on track and allows for timely adjustments.
4. Have You Reviewed Your Pricing Strategy?
Costs change, markets shift, and your pricing should evolve too. Reviewing your pricing each year ensures you’re staying competitive while protecting your profit margins.
5. Are You on Top of Aged Debtors?
Outstanding invoices restrict your cash flow. A structured debtor management process helps reduce the time it takes to get paid and keeps your working capital healthy.
6. Have You Evaluated Your Overheads?
From energy bills to software subscriptions, expenses can creep up over time. A careful review of your overheads may uncover cost-saving opportunities without impacting performance.
7. Are Your Tax Plans Up to Date?
Tax planning isn’t just an end-of-year task. Reviewing your tax strategy regularly can help you take advantage of allowances and reliefs, manage liabilities more effectively, and improve your cash position.
8. Do You Have the Right Business Structure?
If your business has grown or evolved, it might be time to revisit whether your current structure—sole trader, partnership, or limited company—is still the most efficient or tax-effective setup.
9. Is Your Payroll Running Smoothly?
Payroll is about more than paying staff on time. It must comply with evolving employment and tax regulations. A payroll audit can help ensure accuracy, reduce risk, and identify efficiencies.
10. Have You Reviewed Your Funding Position?
Is your current finance mix still working for you? Whether it’s managing debt, planning for investment, or exploring new lending options, reviewing your funding each year helps you stay flexible and prepared.
11. Are You Planning for Growth or Exit?
Whatever your long-term goals—scaling up, selling, or stepping back—your financial planning today needs to reflect that vision. Strategic advice can help ensure your current setup supports your future direction.
12. Do You Have a Trusted Advisor in Your Corner?
According to QuickBooks, over 80% of small business owners feel more confident when they work closely with a professional advisor. A good accountant does more than keep the books in order—they offer clarity, insight, and proactive support.
The Value of a Financial MOT
Problems don’t always announce themselves. They build quietly—through small inefficiencies, missed opportunities, and outdated processes. A yearly financial review helps you stay ahead of the curve, avoid unnecessary risks, and build a stronger, more resilient business.
How Kingston Burrowes Can Help
At Kingston Burrowes, we offer more than just compliance support. We work alongside you as strategic partners—helping you make sense of the numbers, plan ahead, and strengthen your financial foundations.
Book Your Business MOT Today
If it’s been more than 12 months since your last financial health check, or if you’re unsure where to begin, we’re here to help.
Contact Kingston Burrowes today and take the first step towards better business decisions.
Call 020 3627 4321 or get in touch via our contact page to book your review.
