Mid-Year Financial Health Check for Kalispell Business Owners
July in the Flathead Valley means we're in full swing—tourists exploring Glacier, locals enjoying long days on the lake, and businesses humming with summer energy. It also means we've officially crossed the halfway point of the year.
This makes it the perfect time for your business's mid-year financial checkup. After helping hundreds of Montana business owners navigate their finances, I've learned that the most successful ones share a common habit: they regularly review their numbers, not just at tax time when it's too late to make changes.
Why July is Your Financial Sweet Spot
The middle of the year offers a unique vantage point. You've got six months of actual data to work with—real numbers showing how your business is performing. You've also got six months ahead to implement changes and maximize opportunities.
For many Kalispell businesses, July marks a natural pause. Tourism operations are in their rhythm, construction projects are moving along, and service businesses have settled into summer patterns. It's the perfect moment to step back and assess.
Your 5-Point Financial Health Inspection
1. Revenue Reality Check
Start by comparing your actual income against your projections. Pull up that budget you created in January (or compare to last year's numbers). Are you on track? Don't just look at the total—examine where the money's coming from.
Ask yourself three powerful questions: What worked? What didn't? And what's next?
Maybe your retail sales are down but service revenue is up. Perhaps that new offering you launched in March is exceeding expectations while an older product line is struggling. These insights help you double down on what's working.
Action item: For the items you're behind on, identify why and adjust now. Make a list of three revenue-generating activities you can implement in the next 30 days.
2. Expense Examination
Expenses have a funny way of creeping up. That software subscription you tried in February but never really used. The advertising that isn't bringing in customers. The vendor whose prices have gradually increased.
Remember, each expense is actually an investment, so examine the ROI (Return On Investment) of each—are you getting it? Review every line item. One construction company I work with discovered they were paying for three different project management software subscriptions—that's $600 a year back in their pocket. Another client found they were still paying for insurance on equipment they'd sold months ago.
Action item: Cancel or negotiate the ones you aren't getting a return on. Start with subscriptions and services you're not fully using. Even saving $100/month adds up to $600 by year-end.
3. Dynamic Planning (Cash Flow Forecast & Goal Adjustment)
Profit doesn't equal cash in the bank, especially in seasonal businesses. You might show a profit on paper while struggling to pay bills because money is tied up in inventory or waiting on customer payments.
Create a simple month-by-month cash projection through December. For seasonal businesses, this is crucial—if summer is your moneymaker, calculate exactly how much you need to set aside for those quiet winter months. Also consider where it makes sense to use OPM (Other People's Money) versus ensuring you're saving the big months' cash for the slow months.
Remember those ambitious January plans? Time for an honest check-in. Some goals might need adjusting based on market realities. Others might need to be expanded because you're crushing it.
I call this Dynamic Planning—the review and adjusting is what makes it powerful. This isn't about admitting failure—it's about being responsive to real conditions. Maybe that expansion needs to wait. Or perhaps demand is so strong you need to hire sooner than expected.
Action item: Create a one-page cash flow forecast for July through December. List expected income in one column, expenses in another. Highlight any months where outflow exceeds inflow. Then write down your top 3 business goals for the remainder of 2025. Note whether you're on track, ahead, or behind, and write one specific step you'll take this month for each goal.
4. Tax Planning Opportunities
With six months of actual numbers, you can make a realistic projection of your tax situation. Are you on track for a big tax bill? Now's the time to explore options.
Maybe you've been thinking about that equipment purchase—buying before year-end could provide valuable depreciation. Perhaps it's time to increase retirement contributions or look into other tax-advantaged strategies.
Action item: Schedule a tax planning conversation this month. Bring your year-to-date profit & loss statement. Thirty minutes now could save thousands in April.
Making It Happen
The biggest mistake I see? Business owners who know they should review their finances but never quite get around to it.
Schedule it now. Not "sometime this month" but an actual date and time on your calendar. Treat it like a crucial client meeting—because it is.
Start simple. You don't need fancy financial software. Your basic financial statements tell the story. If you're not sure how to read them, that's what we're here for.</p>
Take action. Choose one thing from your review and do it this week. Progress beats perfection every time.
Your Financial Future Starts Now
Running a successful business in the Flathead Valley requires more than just hard work. It requires paying attention to the numbers that tell your business's real story.
This mid-year checkup isn't about judgment. It's about giving yourself the information and time you need to finish the year strong. Whether you discover you're doing better than expected or need to make changes, knowing is always better than guessing.
Ready to dive deeper into your financial health? Give us a call. We love helping Montana business owners turn confusing numbers into clear action plans.
Here's to clarity and calm,
-Sue Thompson
Abundant Skies Tax & Accounting
P.S. If you found this helpful, forward it to a fellow Kalispell business owner. When local businesses thrive, our whole community benefits.
