Dear Dangerously in Love with Your Finances, I am a marriage and family behavioral health therapist in Seattle Washington. After working at a behavioral health group practice for ten years, I decided to take a leap of faith, work for myself, and open my own practice. As a new business owner, I am eager and … Read more
Dear Dangerously in Love with Your Finances, I am a Licensed Professional Counselor and Certified Group Psychotherapist in Lakewood, Texas, specializing in group therapy. I am having difficulty getting my bookkeeping and accounting in order. It is so much easier just looking the other way – out of sight, out of mind. I have never … Read more
I’ve answered hundreds of small business accounting questions this year from clients, consults, and through this blog. Instead of responding to a finance query from an entrepreneur this week, I wanted to address some of the biggest issues I’m asked.
Being a business owner is one of the most rewarding jobs in the world, but it’s not for the faint of heart. There is no instruction manual to run your company. It requires research, stamina, support, and confidence.
Stephanie leaped at the opportunity to become a spa owner. In her excitement, in getting up and running, she never opened a business checking account and used her personal checking account to operate her massage spa.
It wasn’t intentional, she was going to do it, but one day lend into weeks, which lend into months, which lend into the end of the year.
When tax time approached, Stephanie needed to get financial statements and financial documents to her tax accountant, she couldn’t remember who the purchases belonged to. Were these purchases and deposits personal or were they for the spa?
We can’t be afraid of numbers. They’re all around us and the key to staying and growing iyour organization. Data equals facts, and knowing the truth about our business’ performance is the only way to get ahead.
We are a goal-oriented society, but I want to spend time talking about the part that is often skipped over: the unglamorous details of how you actually hit your financial goals.
Too many people don’t understand the sacrifices, responsibilities, and risks they’re making when they take on a side hustle. It could be a financial disaster very, very fast. Just because it’s a side gig doesn’t mean that you don’t still have to do a lot of the same structure as a real business.
Extra income very literally comes at a cost. That’s not to say that you’re doing anything wrong, but there are tax considerations that you should know about sooner rather than later.