These Habits Separate Thriving Companies from Struggling Ones
What successful small businesses do differently—and how to get there.

In the day-to-day whirlwind of running a small business, it’s easy for financial management to slip into reactive mode. You’re juggling customers, employees, deadlines, and decisions—and sometimes the numbers only get your full attention when tax season rolls around or something goes wrong. However, the businesses that consistently thrive in Tacoma, Pierce County, and beyond tend to share one thing in common: they take a proactive approach to their finances.

Here’s a closer look at the habits that separate thriving companies from those that find themselves constantly trying to catch up—and how you can adopt these habits to move forward with confidence.

Don’t Wait for Tax Season to Check the Numbers

Thriving Habit: Monthly and quarterly financial reviews

Struggling Pattern: Scrambling once a year—or only when cash flow gets tight

Waiting until tax time to assess your business’s financial health is like checking your oil only after the engine light comes on. Regular reviews help you spot patterns, address red flags early, and make smarter decisions before things become urgent.

Try this: Set a recurring date each month or quarter to review your profit and loss statement, check your cash flow, and track progress toward financial goals. If you’re not sure what to look for, an advisory check-in can provide clarity and insight that goes beyond the numbers.

Make Data-Driven Decisions

Thriving Habit: Using financial reports to guide business strategy

Struggling Pattern: Making big moves without verifying the numbers

Trusting your gut has its place—but when it comes to expanding, hiring, or investing in equipment, data is your best ally. Without a financial snapshot, you risk overextending your resources or missing opportunities to grow sustainably.

Try this: Before making any major business decision, review up-to-date financial reports, including margins, overhead, and cash reserves. If your reports aren’t giving you the insights you need, it might be time to update your accounting system—or talk with an advisor who can walk you through the details.

Know the Story Behind the Numbers

Thriving Habit: Interpreting financials to understand what’s really going on

Struggling Pattern: Only looking at bottom-line totals or the bank balance

Your P&L report is just the beginning. Thriving businesses dig deeper—asking why revenue grew, where costs are rising, and how they can make adjustments in real time.

Try this: Instead of only scanning totals, ask questions. Did sales increase due to a marketing push or a seasonal spike? Are payroll costs creeping up due to inefficiencies or growth? Understanding the “why” behind the numbers turns your reports into strategic tools.

Budget for More Than Just Survival

Thriving Habit: Planning ahead with growth and reserves in mind

Struggling Pattern: Basing budgets on last year’s numbers—or winging it entirely

A healthy business budget does more than track what’s coming in and going out. It anticipates future needs, includes savings for taxes and slow periods, and supports long-term growth.

Try this: Start with your goals—whether it’s hiring a new employee, expanding your space, or paying down debt. Then build your budget around those targets, adding a cushion for unexpected costs. A proactive advisor can help ensure your plan is realistic and actionable.

Build a Relationship with Your Advisor—Not Just a File Folder

Thriving Habit: Engaging regularly with a trusted financial advisor

Struggling Pattern: Reaching out only in a crisis

Your accounting professional shouldn’t be a stranger. Regular advisory meetings help you make informed decisions, stay ahead of industry trends, and feel more confident about the future of your business.

Try this: Treat your accounting advisor like a business partner. Schedule ongoing check-ins to talk through concerns, growth plans, or changes in your financial situation. You don’t have to wait for a problem to benefit from expert support.

Let’s Keep Your Business Thriving

Proactive financial management is about staying ahead. At J. Ott Business Solutions, we help small business owners across Tacoma and the South Sound region understand their numbers, plan strategically, and gain the insight they need to make confident decisions.

If you’re ready to move beyond survival mode, reach out for a confidential consultation today!