By Kim Stewart-Smith, CEO & Managing Director

Happy New Year from the team at Stewart & Smith Advisory.

While the rest of the world is focused on personal resolutions, for most Australian SMBs, January marks a much more significant milestone: the start of Quarter 3. With the June 30 year-end looming just six months away, January isn’t just the start of a new calendar year – it is the “halftime” locker room talk where the game is won or lost.

If you are a CEO or Founder, this is your window to pivot. The holiday haze is clearing, and it’s time to move from “business as usual” to strategic execution.

Here is where your focus needs to be this month.

1. The Strategy Mid-Point Review

Most annual strategies are written in June and forgotten by December. January is the time to stress-test your assumptions. The economic landscape of 2026 is moving fast; what worked in Q1 might be a liability now.

• Audit Your “Big Rocks”: Look at the 3–5 core objectives you set for the year. Are they still relevant? If a project is stalling and no longer serves your North Star, have the courage to kill it now rather than dragging it into Q4.
• The “Pivot or Persist” Meeting: Sit down with your leadership team for a half-day session. Don’t just look at the wins; look at the “near misses” from the first half of the year.

2. Beyond the P&L: Financial & Non-Financial Tracking

Numbers tell the story, but not always the whole story. To navigate Q3 successfully, you need a dual-lens approach to your KPIs.

Financial KPIs (The Hard Truths)

• Gross Margin Consistency: With input costs and wages remaining sticky, are your margins holding? If revenue is up but profit is flat, your pricing strategy needs an immediate January adjustment.
• Burn Rate vs. Runway: For growth-phase founders, re-calculate your runway based on actual Q2 spend.

Non-Financial KPIs (The Lead Indicators)

• Customer Sentiment: Check your NPS or churn rates from the December period. Did the holiday rush break your service standards?
• Team Velocity & Health: Q3 is often where burnout hits. Track employee engagement or “output per head” to ensure your team has the capacity to sprint toward June.

3. Capital & Cashflow: Planning for the “Out of Scope”

January often brings a “cashflow hangover” from December shutdowns, holiday pay, and seasonal sales dips.

• Tax & Compliance Readiness: Now is the time to forecast your remaining BAS and superannuation obligations. Don’t let a May tax bill surprise you.
• Capital Allocation: Are you planning a major equipment purchase or a tech stack overhaul? If it’s not in the budget, evaluate whether it’s a “must-have” for growth or a “nice-to-have” distraction.
• The Working Capital Gap: Review your Accounts Receivable (AR). If your “Days Sales Outstanding” crept up in December, make January the month of the “Big Collection.” Your cash belongs in your bank account, not your customers.

How Stewart & Smith Advisory Can Help

The transition into Q3 is the perfect time to engage an external perspective. We help CEOs and Founders bridge the gap between “having a business” and “running a high-performance machine.”

Would you like us to run a “Q3 Strategy & Cashflow Health Check” to ensure your business is on track to smash your June 30 targets? Contact us today at info@stewartsmithadvisory.com to book a session.