A Year End Reminder

SoFla Prime
16 minutes ago
4 min read

Year-end is the best time for owners and finance leaders to turn “keeping up” into a real strategic reset, especially with 2025’s new tax law and a changing economic backdrop.firmofthefuture+1

Why year-end matters more this year

Economic volatility, higher-for-longer interest rates, and increasing scrutiny from lenders and investors mean your numbers need to be accurate, defensible, and forward-looking. For many growing businesses, this is exactly where a fractional CFO model like SoFla Prime steps in: closing the books, but also translating 2025’s policy and market shifts into decisions about cash, covenants, staffing, and growth. linkedin+3

Core year-end accounting checklist

At a minimum, controllers and CFOs should drive a disciplined close process:

Reconcile every key balance-sheet account (banks, credit cards, loans, AR, AP, payroll, sales tax, and prepaid/deferrals) and clear old reconciling items. proalt+2
Review aging for receivables and payables, document write-offs, and true up accrued expenses and revenue cut-off so the P&L actually reflects this year’s performance. financial-cents+2
Verify fixed assets and depreciation schedules, including a physical or reasonableness review of equipment and capital projects before finalizing adjustments. firmofthefuture+1
Produce comparative financials and a full-year cash flow statement to analyze trends, not just balances, and use those as the basis for 2026 budgets and lender conversations. financial-cents+1

This is also the time to harden your back office: update closing checklists, back up financial data, tighten segregation of duties, and make sure cloud systems (QBO, bill pay, treasury portals) are properly permissioned going into the new year. linkedin+1

Tax and regulatory updates to watch

The One Big Beautiful Bill Act (OBBBA) and related guidance make 2025 a pivotal year for tax planning and ASC 740 reporting. Key themes controllers and fractional CFOs should be coordinating on with tax advisors include:journalofaccountancy+2

Income tax rate and deduction changes: OBBBA generally locks in the TCJA rate structure, adjusts brackets for inflation, and introduces new rules affecting the state and local tax (SALT) deduction phase-down at higher income levels, which can change owners’ effective rates and estimated tax planning. journalofaccountancy
International and corporate provisions: Changes to FDII and BEAT, along with updated guidance on accounting for tax law changes, require fresh modeling of deferred tax assets and liabilities in the period the law is enacted.mgocpa+1
Credits and incentives: Modifications and curtailment of certain energy and IRA-related credits under OBBBA mean businesses that previously relied on these incentives may need to revisit capital plans and assumptions built into their 2025 and 2026 forecasts. criadv+1

For many mid-market and real estate–heavy businesses, the practical takeaway is simple: do not treat tax as an after-the-fact filing exercise this year; integrate tax law changes into your cash, covenant, and distribution planning well before year-end close. mgocpa+1

Strategic issues for controllers and CFOs

Beyond compliance, 2025 is forcing finance leaders to rethink how they run the function:

Talent, consolidation, and outsourcing: Ongoing consolidation in the accounting industry and persistent talent gaps are pushing more businesses to fractional CFO and outsourced back-office models that provide senior-level insight without adding headcount. soflaprimeconsulting+1
Technology and AI: From cloud GLs and AP automation to emerging AI features in accounting platforms, the question is no longer “if” but “where” technology can safely replace manual work while strengthening controls and audit trails. linkedin+1
Risk, cybersecurity, and vendor dependence: As more workflows move into QBO, bill-pay portals, property management systems, and banking APIs, controllers must own vendor risk, access controls, and incident playbooks—not just journal entries. linkedin+1

In practice, this looks like codifying processes, building dashboards that tie cash, covenants, and KPIs together, and ensuring the finance function can scale without breaking when deal volume, rent rolls, or patient volumes spike. linkedin+1

How a fractional CFO can help

For owners, asset managers, and CEOs who feel stretched between running operations and “doing the books,” partnering with a seasoned fractional CFO can turn year-end from a scramble into a strategic lever. A firm like SoFla Prime Consulting, led by Douglas Kohn, MBA, CPA, brings both controller-level discipline and CFO-level strategy to growing businesses that are not ready for a full-time C-suite hire. linkedin+3

Own the close calendar, coordinate with auditors and tax professionals, and deliver clean, lender-ready GAAP financials on a predictable timeline. soflaprimeconsulting+1
Translate tax and regulatory changes (like OBBBA) into clear action items for distributions, capital expenditures, and financing structures. journalofaccountancy+1
Build or refresh integrated financial models so that 2025 actuals roll seamlessly into 2026 budgets, covenant forecasting, and scenario analysis around rates, occupancy, or reimbursement. soflaprimeconsulting+1

If your year-end to-do list feels more like a risk than a roadmap, this is the moment to upgrade the finance seat at the table—whether through an internal hire or by engaging a trusted fractional partner such as SoFla Prime Consulting to provide the high-touch oversight and insight your business deserves. soflaprimeconsulting+2