Financial planning is extremely important to everyone, but even more important for women in business.
Without it, you will never be truly healthy or wealthy. Financial Consultant Anita R. Johnson shares five steps women business owners should take to be financially fit. Here are tips for managing your business money.
1. Keeping a Record
The purpose of a business is to earn a profit. One of your responsibilities is to understand what money is earned and what related expense are being incurred. Knowing your profit allows you to expand your business, hire employees and make a better life for yourself and your family.
2. Mapping Your Legacy
Every person should be planning to leave a legacy for your children. One of the advantages of owning your business is you have the right to have your family succeeds you as the owner/operator. Solid financial planning will help you pass an inheritance on from generation to generation
3. Preparing for the Unexpected
People don't often plan for natural catastrophes, illness or even death. This is why it is important that we prepare for those unexpected occurrence. A sudden illness, a fall, the kids, or even the spouse, can sink us into bankruptcy. Having a succession and financial plan in case of an emergency will keep our business up and running without an interruption in the daily operation.
4. Tax Advantages
Having a business is a great way to turn costs that you acquire into tax-deductible expenses. Learning which tax advantages will fit your business can have a positive affect. Thee are certain investments give you a tax advantage on your personal and business income tax. Make sure you check with your tax adviser about current tax breaks.
5. Because You Matter
It is important to note that you are solely responsible for yourself. Over 50% of women will be responsible for their financial health some day in their lives and now is the time to begin to take charge of your financial health.
Anita R Johnson-Money Wisdom for Women-Anita has educating women with wealth building skills for over 20 years. Her book Big Girls Don’t Cry-Taking the Emotion Out of Finances is a guide to help create a financial plan. Her radio show reaches over 1500 listeners where the mission, goal and purpose is to educate women with wealth building skills leaving a legacy for their children. You can find her at thepraisehouse.com.
Get more career and business advice from Sylvia via her blog sylviabrowder.com as well as nawomenrise.com!