The opinions of contributing entrepreneurs are their own. </p><div>
Key Takeaways
- A long-standing annual ritual helps a small business owner reflect on the past year, clarify priorities, and carefully prepare for what’s to come.
- Through intentional planning, personal responsibility and meaningful connections, the process brings perspective, stability and renewed focus without relying on rigid systems.
I have been running a small business for over twenty years. During that time I developed a number of routines. One routine currently takes place each year. In December I look ahead and think about the next year. I make my plans. I make a few resolutions. I contact the important people. The actual details change every year, but the process is the same.
This is what I do every year, at the end of every year.
Bonuses for employees
Before the year is over, I try to make sure that all of my employees and contractors who impact my business have been evaluated, connected, and receive my appreciation. I send cash bonuses to each of them. It’s a discretionary bonus that I come up with every year based on profits and I make sure the bonus is never less than the year before unless the profits are so bad that I can’t afford the payment (which thankfully has never happened). Even in 2025, I carry out these bonuses manually, which I put in a Christmas card with a personal note and which is deliberately delivered old-fashioned by post. For a few remote workers, I do the bonuses electronically, but still send the card.
Related: If You Haven’t Already Done These 7 Things to Prepare Your Business for the Holidays, Put Your Business Behind the 8-Ball
Employee evaluations
Because my company is completely virtual and many of my people are located all over the world, I’ve stopped hosting holiday parties. However, I make it a point to contact all employees with an informal evaluation before the end of the year, to ensure they get good (and constructive) feedback and that they know where they stand as they enter the next year. I also take this time to set a few goals with each person for the upcoming calendar year (i.e. affordability, revenue generation, customer service reviews, educational certifications, etc.) so that they are clear on how they will be evaluated and benchmark themselves in the coming year.
Gifts
Right after Thanksgiving, I make a list of people I want to thank for doing business with me during the year. They are customers, potential customers, suppliers, partners and people in the media. I usually send Godiva chocolates or a gift basket, and I keep the budget at about $35 per person. There are usually about 50 people on this list, so you can do the math. My assistant also spends time coordinating all orders. That means there are costs. But it’s worth it. I’ll start with last year’s list and edit it. I get a lot of pleasure out of doing this. And I regularly hear people say thank you, and I know that is appreciated. It’s not much, but it’s a sincere gesture and it reminds me of the people who are really important to my company.
Prediction
I don’t make a budget for a company as small as mine. But I do make a prediction. This is an online spreadsheet and for my eyes only. It takes me a few days every year at this time to work on it. I review compensation and other costs to ensure my annual overhead reflects reality. I set specific, quantifiable goals for my business – billable hours, completion of client projects, new media projects and consulting clients, new client revenue, etc. – but I don’t make them excessive or out of reach. My spreadsheet takes into account a reasonable estimate of the work I can expect in the coming year and reflects both the direct and administrative costs associated with that work, along with an expected net profit for the year. This way I have clear figures heading into the new year and I know what I need to achieve.
Resolutions
New Year’s resolutions are old-fashioned. But they are useful. At this time of year I make good resolutions. For example, over the next year I’m committed to meeting some of my remote workers in person once a quarter, even if that means flying to them. I also plan to dive deeper into AI in 2026 by assessing the capabilities I can leverage in my existing software (accounting, CRM, office) and investing in training for my people to use them. I’m also going to rely heavily on an AI assistant to help me with all the things I do in my business. Right now it’s ChatGPT, but Grok also comes in as a strong candidate.
I also plan to take on a few projects that are outside my comfort zone, because – even if I risk profitability or even my reputation – this is the only way to grow, and it keeps your mind very active with new challenges. I try to keep these resolutions to a small number so that they are achievable.
Related: 7 Things I Learned in 7 Years of Entrepreneurship
Personal goals
In addition to my business resolutions, I set a number of personal goals for myself every year. This usually involves maintaining a certain weight, exercising regularly, playing squash better (don’t ask!), visiting a new country (my wife and I have been working remotely in another country for three to four weeks in January each year for the past few years and we love it) or taking a family holiday or taking a course in something I enjoy. These goals not only give me something to look forward to, but also keep my mind balanced between fun things and work matters.
Document
The most important thing when making forecasts, setting goals and creating good intentions is accountability. None of this matters if you don’t hold yourself accountable to your obligations. To that end, I create a task in my calendar application to “check in” on all of these things at the end of each quarter. I look forward to doing this when the task appears on my to-do list for the day. It’s a way to remind me of everything I plan to do in the coming year and gives me a reset on how things are going.
By the end of the year it will be interesting to see how much I have achieved and how realistic all my goals were. I keep these tasks in my history, because it’s also fun to look back at what occupied me five or ten years ago. You’d be surprised how trivial all those “problems” that were so important then are today. It gives me perspective.
This is what I do every year. This is my process. It eases my mind. It gives me clarity. It helps me look ahead. It helps me appreciate what happened in the past. It helps me prepare for the future. If you’re a business owner like me, I highly recommend you do something similar. It works.