Side Hustle School Ep. 3073 - Q&A: “What’s the purpose of more than one business bank account?”
May 31, 2025
Explore the benefits of having multiple business bank accounts in this discussion. Discover how separating personal and business finances can streamline cash flow and improve financial stability. Two key financial models are introduced to enhance your financial discipline. Managing your money better could mean paying yourself more effectively and setting a strong foundation for future growth!
AI Snips
Chapters
Books
Transcript
Episode notes
Start with a Separate Business Account
- Use a separate business bank account distinct from your personal account to track all expenses clearly.
- This separation helps with tax deductions and gives a clear picture of your business's financial health.
Use Multiple Accounts for Cash Management
- Consider using multiple accounts to allocate business money for profit, taxes, operating expenses, and owner's pay.
- This method prioritizes profit, controls spending, and avoids cash flow surprises.
Separate Accounts Encourage Discipline
- Having separate accounts for operating expenses, taxes, and profit ensures you regularly pay yourself and stay prepared for tax payments.
- This discipline fosters financial clarity and helps you avoid overspending.
