Managing Business and Personal Finances
Being your own boss has many advantages, but one tough aspect of entrepreneurship is how much your personal finances can affect your business. To keep your business healthy, it’s essential that your personal finances are in tip-top shape.
To keep your business healthy, it’s essential that both your business and your personal finances are in tip-top shape.
This webinar, created in partnership with Accion Opportunity Fund and Fifth Third Bank, can help. Learn the best practices for personal finances and business financial health from Desha Elliott, Business Advisor at Accion Opportunity Fund and LaShanda Golden, Business Banking Relationship Manager at Fifth Third Bank. These skills will not only keep your personal bank account in the black, but they’ll also help you build a better small business.
By keeping your funds separated, you will make it easier to complete your business and personal taxes, apply for a loan, and apply for emergency funding (like during covid-19). Separating your finances also allows your business to be more flexible during unprecedented situations like shutdowns or industry changes. Commingled finances are more difficult to manage and can create unnecessary liability for both the business owner and the business. Separating your personal and business funds provides more protection to your personal finances if your business faces financial hardships and to your business if your personal finances face hardships. In addition to separating your finances, experts recommend creating and sticking to a budget, tracking your income and expenses, and building your savings in case of emergencies.
Topics discussed include:
- Why you should separate your business and personal finances
- The benefits of separating personal and business finances
- Recommended personal savings goals
- Recommended business savings goals
- How to make your budget work for you
- How to create a business budget
- How to create a personal budget
- Tips for sticking to your budget
- Why should you track income and expenses?
- How to track your income and expenses
- Bookkeeping methods for small business
- Building emergency savings