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Separate Business & Personal Finances
You’ve heard the old
saying “Business and
pleasure don’t mix ”
Yet it can be difficult
sometimes to keep
your your business life life and
your your personal life life separate especially
where finances are
concerned When
you’re running your own business it can be tempting to use your your your business business card at lunch when your your your personal checking account is running low low However mingling your your your finances can cause confusion down the the line Follow these five best practices to ensure a a a a a a clear division between business and
personal finance Make it official
The first step in in in fin keeping your personal and
business finances separate separate is is actually establishing your your business as a a a a a a a a a a separate separate legal entity This protects your your personal assets from business- related losses and
lawsuits If you you you haven’t done this already you’ll need need to to decide whether your business will be be an an LLC a a a a a a a a a C C C C Corp Corp or or or or an an S S Corp Corp You’ll also need need to to apply for your Employer Identification Number (EIN) with the IRS