How to Avoid Business Owners Top 10 Money Mistakes
Ranked #8,306 in Business, #120,356 overall | Donates to KIVA
Make More Money & Keep More Money!
Does your business make all the money you want?
How much of it do you keep in profit?
Read below and learn how to avoid the mistakes that most business owners are making, that keeps them from realizing the true profit potential for their business.
The Top 10 Mistakes List
If you want more info about the top mistakes business owners make with their money, read below. If you have an opinion, vote for your favorite!
Being Afraid to Invest in Your Business (and Yourself)
Spend time and money to become the big business yo more...1 point
Not Having an Exit Plan
You may change your mind ... or something bad may more...0 points
Spending $$ on the Same Promo as Everyone Else
Spend money to stand out, not be the same.0 points
Spending $$ on Stuff just like Everyone Else.
Do you need an office? Do you need stationary?0 points
No Self-Employed Benefits Plan
Take care of yourself better than you would an emp more...0 points
Being Limited by Your Beliefs.
You are an expert, can charge more, and can make m more...0 points
Mistake #1: Starting in the Wrong Place
Create Your Vision!
When most business owners are considering their finances, they create spreadsheets, look at Quickbooks printouts, or talk to their tax preparer.But that's the wrong place to start.
The first place is to start with Your Vision.
Decide what do you want your business to grow to be. And not just a goal ... but how would your business and your life look, sound, smell, taste, feel, if you succeeded? And, what would it mean to you?
Your Vision will provide you with motivation to move forward when the going gets hard, and will help you make decisions. If its not moving you towards your Vision, don't do it.
Mistake #2: Not Planning for the Unexpected.
Create Your Emergency Fund(s).
As a business owner, your cash flow goes up and down. But, the bils keep coming in, like clockwork. Both business bills and personal bills. What to do?And you don't want to keep borrowing money or using credit cards. That just creates more bills!
That's why you have an Emergency Fund. One for your personal expenses (3-12 months of personal expenses in cash) and one for your business (1-12 months of business overhead).
When the down time comes, no problem. You're covered.
Mistake #3: No Exit Plan
You may change your mind ... or something better may come along.
Do you love your business? Do you plan to do it forever (or at least for a long time)?Even so, you still need an exit plan. Why?
(1) You may change your mind. Get a new business idea. Go on a book tour. Get a call from Oprah. Have a baby.
(2) You may catch one of the two big D's (Death & Disability). Your business has value from the time & energy you have put into it, as well as the value you have built ... don't let that go to waste! And, make sure you protect your self, family, friends, employees, partners, contractors, vendors, and clients.
Mistake #4: Spending Money on the Same Promo as Everyone Else
Be different!
Is being like everyone else a benefit to you?
Is being like everyone else worth the investment?
What kind of return are you getting for your money?
Mistake #5: Spending Money on Stuff Like Everyone Else
Do you really need office space to meet with clients?Do you really need a receptionist to answer the phone?
My example - I redid my logo recently, and had new stationary designed. But before I spent hundreds of dollars on new stationary printing, I realized that I don't use stationary. Just because most financial planners and lawyers have stationary, does not mean I should spend my money that way!
Mistake #6: Trading Hours for Dollars
-What if you go on vacation?
-What if you change your mind?
-What if you want to sell your business?
-What if you don't want to work 12 hours a day?
Mistake #7: Mix Business Money & Personal Money
You know better.
But why should you keep it separate?
-It may be illegal in your industry.
-It makes it hard to get your tax deductions.
-It makes it hard to know if your business is making money, and how much.
Mistake #8: No Self-Employed Business Plan
When you were an employee, you had a benefits plan (hopefully), with health insurance, life insurance, and a retirement plan.Now that you are self-employed, you need the same benefits plan ... and even one better.
Also look into other benefits to yourself, like an errand service. Anything that saves you time, and costs less than the money you can make sure that time is a good thing.
Mistake #9: Being Limited by Your Beliefs
What world are you creating for yourself?
How are you holding yourself back?
Maybe ... you can get clients during the summer, or in December.
Maybe ... your clients will pay higher fees (and not complain about it).
Maybe ... you would be a good public speaker.
Maybe ... you are an expert.
Mistake #10: Being Afraid to Invest in Your Business
Invest in yourself, and your business.
(1) Self: Personal and Professional Development
(2) Systems: Automation, checklists, delegation
(3) Support: Coaches and mastermind groups.
(c) Copyright 2007 Elizabeth Potts Weinstein, All Rights Reserved.
Recommended Books on Amazon.com
Grow Up! Strategies: The 7 Legal & Financial Strategies You Need to Up-Level Your Small Business
Amazon Price: $15.56 (as of 07/09/2009) 
Think and Grow Rich
Amazon Price: $7.99 (as of 07/09/2009)
The 4-Hour Workweek: Escape 9-5, Live Anywhere, and Join the New Rich
Amazon Price: $13.57 (as of 07/09/2009)
No B.S. Business Success (NO BS)
Amazon Price: $9.95 (as of 07/09/2009)
What struggles do you have with business finance?
Ask your question and I'll try to answer or point you in the right direction.
Foreclosure-Prevention wrote...
Mistake number 10 is the one I'm most guilty of, but you got to spend money and time to make money and time! Thanks! 5*****
Posted May 08, 2008
Nice lens to learn and get motivation of the financial agenda. You can find different sources of income. Your visit in Home Owner Insurance Online will gives you many objectives regarding home owner insurance, through online.
Posted April 20, 2008
Good information about credit card. That's a 5 star rating from me. You can find all type of credit card news from my lens. If you have some time, please feel free to check it out.
Posted December 05, 2007
The Wealth Spa Online Magazine
Holistic Wealth for Women Entrepreneurs
Fetching RSS feed... please stand by
