My Business Account..
It was an early start for me. I had a rather restless night but don’t know what’s troubling me. Maybe I have too much on my mind about starting this business of mine. I am feeling really tired now…argghhh!!
Despite the tiredness, over breakfast this morning, I had a good conversation with my hubby about my business. He pointed out that I should keep my business and personal accounts separate. I wonder why didn’t I think of that?
There are a few good reasons why both accounts should be separated. And here’s why :-
a) There is nothing more confusing than adding your business money to your personal account. When you combine business income with your personal accounts, you tend to have a more difficult time during tax time plus you can ‘accidentally’ spend business income on personal expenses and vice versa.
b) Don’t use your personal credit card because in the long run, as your business grows you will tend to accumulate expenses, having a separate business account is necessary. It will make a big difference not only in managing your business finances, but also in making finance-related decisions.
c) All expenses will be automatically included in your summary of account. So you can be sure that every purchase or every transaction you made are all listed at the end of the month. The transactions you made are also categorized for easy reference for bookkeeping and accounting tasks.
d) These days, online banking makes life easier for us. For busy mummies like us, all transactions like transfer of money or checking account balance can be done with just a few clicks.
I wish i have more time to tell you more about the benefits, but I have to rush to the bank and pick up my kids.
Very good info. on business finances.
Interesting stuff, definetlly worth reading.Keep up the good work!/Rob
Home biz in an interesting subject, full of possibilites.