Welcome to the start of a new year! We’re kicking off 2025 with a fresh perspective on financial planning. If you’re still working on your goals or haven’t started yet, you’re not alone—and don’t worry– with a clear and flexible financial plan, you can set a solid foundation for the year without spending hours agonizing over the details.

Planning doesn’t have to be overwhelming or restrictive. Think of your targets, goals, and strategies as guardrails rather than unchangeable rules. These plans help keep you focused but allow room for unexpected growth and opportunities. Unless you’re answering to regulatory boards like the SEC, you have the flexibility to steer your business where you want it to go. Plan for $500K and hit $2M? Amazing! Aim for $2M and reach $750K with a healthy cash flow? Equally great!

Having a plan helps keep you on track, even if you need to adjust along the way. Let’s set up a simple, high-level financial plan in 30 minutes or less to give you clarity on the following:

Gross Revenue Target for 2025
Personal Income Goal (if you’re the business owner)
Current and New Products / Services & Pricing
What resources you’ll need to hit these targets (staff, investments, equipment, marketing, etc.)

Got a notebook ready? Let’s get started. You can also download my FREE 12 month annual planning guide here, print it out and follow along that way.

Step 1: Set Your Revenue Target for 2025

Gross Revenue:
Start by reviewing your 2024 revenue.

Was it more or less than expected? Will 2025 bring the same revenue, or do you anticipate growth?

Set a revenue target that stretches you, focusing on what you truly want to achieve this year rather than simply adding a percentage to last year’s numbers. Don’t hold back—this is your chance to set a bold target.

If you’re stuck, ask yourself this question:

What would revenue look like to serve 100, 1000, 10,000 customers (use the scale that stretches your business. Selling a $10 item to 100 people is small, but selling a $50K item to 100 people isn’t) – what is your stretch goal?

Step 2: Define Your Personal Income Goal

Personal income is a target many business owners overlook, but think about why you started your business. As the owner, you provide valuable opportunities to others and deserve to set a meaningful income goal for yourself. It’s okay to be ambitious—choose an income target that reflects the hard work you’ve put into your business.

What do you need to make in 2025? What do you want to make in 2025? What is your drea salary? What revenue do you need to get to reach your salary goal?

Step 3: Outline Your Products / Services

Current Offerings:
List each of your products or services, including their average price and estimated sales volume.

New Offerings:
Identify new products or services you plan to launch in 2025 and add them to your table, including their expected launch quarters. Calculate the potential revenue by multiplying the price by the estimated volume for each offering, and see how close this brings you to your revenue goal. Adjust as needed to stay on target.

Step 4: Identify Investments & Major Expenses

Potential Investments:
Consider any major expenses or investments—like new hires, equipment, or tech upgrades—that will support your 2025 goals. List each with the quarter it’s planned for, so you can prepare for these costs.

Categorize each expense under broad categories, such as:

Overhead: Salaries, rent, and other essential costs
Sales & Marketing: Your next major expense after personnel

Additional Categories: Include tech, product development, and manufacturing if relevant

Step 5: Break It Down by Quarter

Now let’s turn your targets into quarterly goals for a clearer path forward.

Quick Option: Divide your annual revenue goal by four to set basic quarterly goals.

Detailed Option: Use your existing revenue as a base, then adjust each quarter to account for any new products launching throughout the year.

Pulling It All Together

By following these steps, you’ll have a solid plan for 2025, with quarterly revenue goals, personal income targets, and planned investments. To go even further:

Monthly Breakdown: Create a more detailed 2025 forecast by breaking down goals by month.
Recurring Expenses: Track regular costs so you know what’s due monthly, quarterly, and annually.
Working Capital Requirements: Estimate your cash needs to cover expenses, ensuring you’re financially prepared.

Get Started!

Look over your plan, reflect on what it reveals, and determine where you want to improve. Working top-down, start with annual goals, move to quarterly targets, and then detail monthly objectives. Remember, this plan is dynamic—it should grow and adapt along with your business.

Ready to set your financial targets for 2025?

Download the guide here: take the first step toward a clear, actionable plan for your business.

Need more support? Consider becoming a Finance Fight Club member and get accountability to stay on track with your goals.

30 minutes to your 2025 Financial Targets