Block 30 minutes once a month, right after your monthly reports arrive. Check cash, profit, members, your tax set-aside and anything your bookkeeper flagged. Write down one decision before you close the laptop.
When to do it
Put it on your calendar for the day after your reports usually land. If your books close by the 15th, the 16th works. Same day, same time, every month.
The routine
Minutes 1 to 5: cash. Look at your operating balance against your floor, and your tax and reserve balances against where they should be.
Minutes 6 to 15: the P&L. Compare last month with the month before. Check revenue, your biggest expenses and profit. Here's how to read it in ten minutes.
Minutes 16 to 20: members. Members at the start and end of the month, how many joined and how many left.
Minutes 21 to 25: questions. Answer anything your bookkeeper asked you. Uncategorized items and missing receipts slow down next month's close.
Minutes 26 to 30: one decision. Write down one thing you'll do because of what you saw.
A made-up example
Say your reports show revenue up $1,200 from the month before, but supplies up $900. Profit only moved $300. Your one decision is to compare supply orders for the last three months and see what changed. That's ten minutes of follow-up, and it might save hundreds a month.
Keep a simple log
A one-page log with the date, cash balance, members, profit and your decision is enough. After a year, you'll see patterns a single month can't show you.
What to skip
Don't reconcile accounts or categorize transactions yourself during this time. That's your bookkeeper's job. Your 30 minutes are for reading and deciding.
What to look for over time
After three or four months, start comparing the log entries, not only the current month. Is cash trending up or down? Are members growing at the pace your goals need? Is any expense creeping up every month? Trends tell you more than any single report. A month that looks fine on its own can still be part of a slide you'd want to catch early. Here's how to set the goals you're tracking.
Once a quarter, add 15 minutes. Look at the last three months together, and check your estimated tax payments against profit so far. Bring any questions to your bookkeeper or CPA that same week, while the numbers are fresh.
What I'd do this week
- Put a 30-minute block on your calendar for the day after reports arrive.
- Start a one-page log.
- Run the routine on last month's reports.
Common questions
What if my reports don't come monthly?
Then that's the first thing to fix. A routine needs monthly numbers, ideally by mid-month.
Should my office manager join?
If they handle spending or scheduling, a short version with them can help. Keep owner pay and taxes to yourself if you prefer.
What if nothing looks wrong?
Write that down. A quiet month is useful information, and your one decision can be to change nothing.
Want reports ready for your monthly routine?
We reconcile every account every month and send your P&L and Balance Sheet by the 15th, so decisions like this start from real numbers. If that's what you need, apply to work with us.