Business Coaches Mobile AL

You want to make your business a big success, right? Well, if you’re serious about cleaning up in business, the first thing we recommend is cleaning up your books. Whether you’ve just started up or you’ve had the “Open for Business” sign over your door for years, it’s never too late to get your finances in order.

Lift your head up from the day-to-day tasks of your business and take a pause. Specifically, take a moment to find areas where you’re mixing business and personal finances - something you should always avoid. Today, the temptation to mix your finances is huge, especially given the trend toward more home-based sole proprietorships. Over half of all U.S. businesses are now home-based and the vast majority of businesses are solo acts launched with credit cards , home equity lines, and other personal financial resources . But this isn’t justification to be sloppy or lazy about distinguishing your personal from business finances - on the contrary, it’s all the more reason to be very disciplined about keeping things separate.

When you commingle funds, the true performance of your business quickly becomes hard to pin down. It’s a challenge to establish hard numbers for expenditures and revenues . Your accounting and tax filing becomes more complex (and expensive due to added hours required). What’s worse, future financing opportunities are negatively impacted - lenders and most equity investors will ask to review the financial performance of your business .

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