Mission Driven Business

Brian kicks off 2023 with tactical tips to start the new year. Now that you're hopefully relaxed and ready for a new year, Brian digs into the numbers to give you some targets to aim for over the next few months. He covers revenue, retirement, health savings accounts, and more. Episode Highlights Look for new revenue figures. Because of inflation, many revenue and tax figures have increased quite a bit in 2023, meaning you can make more money and still pay less in total tax. For example, in 2023 single filers with a taxable income of $95,376 - $182,100 will have their last dollar taxed at 24%. Last year, that same tax bracket ended at $170,050. Don't forget the QBI deductions. If you're a business owner, don't forget about the Qualified Business Income (QBI) deduction. QBI allows pass-through entities like partnerships and S-Corps to take a 20% deduction on their business income, saving some businesses thousands of dollars. Importantly, you lose the QBI deduction if you exceed certain income thresholds. For instance, the QBI deduction begins to phase out at $182,100 in taxable income and goes away after $232,1000 in taxable income. Use retirement accounts to shelter income from taxes. Maximizing contributions to retirement accounts is one strategy to avoid taxes and save money for your future self. Here are some things to know about common retirement plans: 401(k)s and Solo 401(k)s: Employees can contribute up to $22,5000 plus an additional $7,5000 in catch-up contributions if you are 50 or older. Employers contribute another $43,500. SEPs: You can contribute 25% of your net self-employment earnings or $66,000 -- whichever is less. SIMPLE IRAs: Employees can contribute up to $15,500 with a catch-up contribution of $3,500 if you are 50 or older. Traditional IRA or Roth IRA: You can contribute up to $6,500 with a catch-up contribution of $1,000. Importantly, Roth IRAs have income range phase-outs, starting at $138,000 for single filers and $218,000 for married filers. Consider opening an HSA. A Health Savings Account (HSA) is one of Brian's favorite savings vehicles and one of your few options to save money on taxes up until April of the following year. An HSA offers triple tax savings: The contributions are tax-deductible. The money grows tax-free in your account. Withdrawals are tax-free if the money is used to pay qualified medical expenses. For 2023, you can contribute up to $3,850 for eligible individual plans and $7,750 for eligible family plans. You can also open and contribute to an HSA if you're self-employed. Resources + Links 2023 Important Tax Numbers PDF Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Can you believe it's already the end of the year? Now is the time to celebrate with friends and family, reflect on the past 12 months, and plan for the new year. To help you out, Brian created a checklist you can use to review 2022 and start 2023 with a clean state. The checklist includes business and personal to-do items as well as links to resources sure to help you out. Business Checklist 1. Review your goals. The end of the year is the perfect time to review the goals you made at the beginning of 2022 and set new ones for 2023. Ask yourself: How did I do this year? What did I accomplish that I'm proud of? What could I have done better? 2. Update your cash flow. If you're using the Profit First system, look at your buckets and see if one looks too full or too sparse, then adjust your allocations accordingly. Remember to not make any adjustments of more than 3% per quarter. 3. Review your profit and loss. At this point in the year, you should have a good sense of your gross business income. If you have a little extra profit this year, look at ways to shelter some of that income so you're not paying unnecessary income or self-employment tax. 4. Find your tax return. December may seem a little early to think about taxes, but while you have some downtime, it can be worthwhile to organize and prepare for tax season. Finding your tax return will also help you out in your year-end review. 5. Max out your retirement savings. If you're a business owner and need to shelter some profit, retirement accounts like a Solo 401(k) or SEP IRA are great resources. 6. Defer income and incur expenses. The end-of-the-year is an excellent time to defer income until 2023 or incur business expenses that you know you'll have at the beginning of next year. This is an easy way to reduce your tax liability as long as the expenses are ordinary, helpful, and necessary. 7. Consider out-of-the-box expenses. When considering expenses, don't forget some out-of-the-box expenses, such as employee benefits, cell phone reimbursement, educational assistance, or dependent care assistance. You can also expense up to $25 per client for gifts as well as expenses for a holiday party for your staff. 8. Update your asset list. Did you buy new assets in 2022? Review your list of assets associated with your business and make sure it's up-to-date before the new year. You can also consider what equipment you no longer need and what you can acquire if you're looking to reduce your bottom line. 9. Review your business structure. When you evaluate your business structure and qualified business income (QBI) deduction, don't forget to consider setting up a Solo 401(k) before the deadline of December 31. 10. Don't forget pandemic programs. We're coming to the end of the government pandemic benefits for 2020 and 2021, so don't forget to review whether you can receive any benefits from programs like the PPP and ERC. Personal Checklist 1. Review your goals. Review where you succeeded and where you fell short. Use that information to decide what changes you can make in 2023. 2. Update your budget. The end of the year gives you a solid endpoint to assess whether you matched the goal you set at the outset of 2022. It's also a great time to create a budget that finally works. 3. Create a holiday spending bucket. Consider how much you want to spend this holiday season. Create a separate bucket just for the holidays and stop spending when the money's gone. You'll thank yourself when January comes and you don't have a huge credit card bill. 4. Spend the benefits you'll lose. Whether it's vacation days, a medical flexible spending account, or a dependent care flexible spending account, some workplace benefits don't roll over to 2023. Take stock of your remaining benefits and use them to your advantage before January 1. 5. Make charitable contributions. December 31 is the last day your donations can go on your 2022 tax return. If giving to charity is part of your spending plan, ask yourself these questions to make the most of your charitable giving. 6. Pump up your 529. The tax deductions for your 529 will have to be made by December 31 for this tax year. Your state may be one of 30 that allows you to deduct your contributions. 7. Max out your 401(k). If your spouse is a W-2 employee, they have until December 31 to contribute to a 401(k) plan for this tax year. However, they have until April to make contributions to a traditional IRA, Roth IRA, and HSA. 8. Find your tax return. Tax season is just around the corner. Preparing now can save you mental energy in 2023. You can also review your tax return to assess whether something like a Roth conversion makes sense for you. 9. Review your will and trust. At the end of the year, you're likely to reflect on the year and all of the changes that have happened. Now is a great time to make sure your estate plan reflects those changes and that your needs match your current situation. 10. Review your insurance documents. Your insurance documents should cover your current life situation. Review the following policies to make sure they meet your needs: Life insurance Disability insurance Renters or homeowners insurance Health insurance Resources + Links "How To Get Control Of Your Spending Without Tracking Every Penny," Forbes "How To Make The Most Out Of Your Charitable Giving," Forbes "How Much is you State's 529 Tax Deduction Really Worth?" Saving For College Being Profit First with Mike Michalowicz Your 2022 Mid-Year Review Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian chats with Christopher Dale, CFP, the founder of Life After Grief Financial planning. Through his practice, Chris helps clients in grief navigate financial matters by providing objective, impartial, and confidential financial advice. On the episode, Chris shares how his own life experiences, including the loss of a parent and a child, served as a catalyst for him narrowing in on the niche of his business. He also shares his strategies and tactics for keeping the business impactful and profitable as it grows. Episode Highlights A mission-driven business is a life passion. Chris has a very specific definition of a mission-driven business: "I describe it as a life passion turned into a career where you never feel like you're working." That definition certainly rings true for Chris, who started his financial planning firm to step away from his stressful corporate job and focus on his family. It also allows him to use his own life experiences to help others navigate death and illness. "I had all of this grief life experience, and then you couple this with the financial experience, and I'm uniquely suited to help somebody that is exactly like me," Chris said. Owning a niche can lead to unexpected opportunities. Chris knew he had found his perfect niche when he couldn't find any other companies that provided financial expertise to clients experiencing grief. But while marketing his niche to clients, he also connected with financial advisers aspiring to learn more, which led to opportunities he didn't imagine at the start. "It evolved into me making an online training course, and the feedback that I got from it was wonderful," Chris said. Grow with the right clients. At this point in his career, Chris doesn't have to grow his business that fast. He's instead prioritizing picking the right clients for his skills and services than picking clients he'll have to stop serving in the future. By being picky with clients, Chris can have a unique relationship with each person. "When I look at my client base, there's not one individual that I would like to shed," Chris said. "That's a pretty good feeling." Even though Chris is holding capacity at the moment, he's still laying the foundation to grow his business in the future by nurturing the marketing for his services. However, as a business owner, he appreciates that he doesn't have to pick between growing his business and spending time with his family. "If I have to choose between something to do with my boys or my wife or bringing in new clients, I am going to absolutely choose to impact my family," Chris said. Resources + Links Life After Grief Financial Planning Life After Grief Consulting Chris's Social Media: Twitter, LinkedIn Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian chats with Aimee Kandrac, the co-founder and CEO of WhatFriendsDo and the first female CEO in the state of Indiana to close a $500,000 funding round. The WhatFriendsDo platform offers a simple way to create organized, actionable support for families experiencing a crisis, and Aimee's work is instrumental for bringing communities together during times of hardship. On the episode, Aimee shares how a friend's terminal cancer diagnosis at age 25 was the catalyst to create WhatFriendsDo. She also opens up about her struggle to raise venture funding as a female entrepreneur in the Midwest and how the business has pivoted to reach the right clients and stay profitable. Episode Highlights Most entrepreneurs run mission-driven businesses. Aimee says that most entrepreneurs qualify as owners of mission-driven businesses because entrepreneurs wouldn't have the passion and energy to build a business if they didn't feel like they were fulfilling a personal mission. For Aimee, that mission is to connect and help people, which is a central tenet of WhatFriendsDo. "I feel really lucky because the mission that I'm fulfilling fits really nicely with the passion that I have for helping other people and connecting other people," Aimee said. Pivoting can be tough but necessary. When WhatFriendsDo started, it was a B2C business in which the customers were the same as the end-users: families in the midst of a life-changing event. However, about five years ago, the company pivoted to stay profitable, shifting to a B2B model in which the company licenses its program to organizations with the same end-users. The change was hard for Aimee. "Businesses have different needs, want different ROI expectations than my end users, and I still struggle with it sometimes because I'm just so passionable about the end user," she said. The pivot came with the added challenge of identifying industries that not only could benefit from the WhatFriendsDo platform but also understood the technology behind it. While WhatFriendsDo is still refining its niche, the company is able to do value-based sales pricing better than before the change. "We started out in healthcare and sold to hospital systems, so hospital systems have the opportunity to white label an app for their patients," Aimee said. "This is a way for a hospital or healthcare provider to extend their reach beyond the doctor's office, beyond the hospital walls." Get out there and try it. Aimee knows first-hand the glass ceiling she faced when raising funds to build WhatFriendsDo. In 2016, she became the first female CEO in her home state of Indiana to close a half-million-dollar venture funding round. In at least one case, she was the first woman to pitch a venture capital group. We still have a long way to go, and Aimee cited statistics that female founders and people of color are still getting less than 7% of venture funding. Which is all the more reason for Mission Driven Business podcast listeners to take charge and start their own businesses. "Get out there and try it," Aimee said. "If it fails, then fix it or now you know not to do it. But it's better to go do it than to regret having not tried." Resources + Links Aimee Kandrac: Website, Facebook, Twitter, LinkedIn WhatFriendsDo: Website, Instagram, Facebook, Twitter, LinkedIn Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian chats with Anjali Jariwala, CPA, CFP, an experienced investment manager and founder of FIT Advisors, a financial planning firm serving physicians and business owners. Anjali shares her newest passion project, Why We Eat with Our Hands, a children's book that describes the rich beauty of Indian culture. On the episode, Anjali highlights how the lessons she learned building her business have helped her to navigate the book writing process. She also shares what she wished she knew before starting her book and how the idea started as a gift for her daughter Nyla. Episode Highlights Mission-driven businesses make an impact on your well-being. Anjali says a mission-driven business is one in which the primary goal is to have a bigger impact, either through the work the company is doing or through the work of the individuals behind the company. Anjali's company FIT Advisors provided her with the resources to write Why We Eat With Our Hands, helping her to create something different and have an impact. "FIT Advisors gave me surplus to be able to really fund this project and to fund it in a way in which I didn't have to cut corners because I had the resources available to do so," Anjali said. "That to me was such an eye opener because I can't believe FIT me helped me in turning this passion into a reality." Build the right support team. Through her work at FIT Advisors, Anjali deftly creates financial plans and puts a winning team into place. She used the same approach to writing a children's book, which was critical because she didn't have any prior experience in publishing. To create her winning team, Anjali found a group of professionals and consultants who "just got it" and could provide her with valuable advice as someone new to the industry. She also valued the input of her daughter Nyla, who was the inspiration for the project. "It really stemmed from trying to build Nyla's inclusive bookshelf and wanting her to have books that she could not only see herself in but also challenged preconceived notions," Anjali said. "And I was really just coming up short on books that featured South Asian children, also written by South Asian authors." Don't undersell your work. Because Why We Eat With Our Hands is a true passion project for Anjali, she didn't think about a pricing plan or the break-even point. Even so, she needed to set a selling price for her book. Her team gave her a recommended range but advised she didn't undersell herself since women authors tend to underprice their books compared to men. "I want to make sure we're charging appropriately for the work that we're doing because we do good work," Anjali said. "We shouldn't sell ourselves short with how we price our services." Anjali ended up pricing her book on the high end of the range. Why We Eat With Our Hands debuted on September 27, becoming a bestseller on Amazon New Releases and breaking one of her distributor's records for first-day sales. Resources + Links Why We Eat with Our Hands: A Celebration of Indian Culture and Heritage by Anjali Jariwala (author) and Shelley Seguinot (illustrator) Fit Advisors Anjali's Social Media: Twitter, LinkedIn, Facebook Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian chats with Liz Szporn, an accomplished executive and entrepreneur and current Profit First Professionals Homebase Guide. Through her work with Profit First Professionals, Liz helps to eradicate entrepreneurial poverty by coaching members to build more profitable businesses for themselves and their clients. On the episode, Liz opens up about her successes and struggles with founding a professional development organization for educators. She also digs deep into some of the strategies and tactics she shares with her clients for building a successful, profitable business, including the magic of value pricing. Episode Highlights Mission-driven businesses make the world better. Mission-driven businesses make their slice of the world better in everything they do, according to Liz. At Profit First Professionals, that mission is to eradicate entrepreneurial poverty. "Our decisions are based on this mission," Liz said. "Our interactions are based on this mission. Our partnerships, opportunities, technology … is to make sure we're hitting that mission." The mission of Profit First Professionals hits home for Liz, who knows entrepreneurial poverty firsthand. She and a few friends started a business but all the money they made went right back into operations. Then, the business went under during the COVID-19 pandemic. Although the experience was difficult, it has made Liz a more empathetic coach. "I read the book and immediately was like 'I get this,'" Liz said. "'I get this because I lived it.'" Mission-driven businesses require clarity. In the Profit First model, every dollar has a specific job, and a mission or vision provides clarity on how to assign those dollars. One of the tools Liz uses to get clarity is a profit assessment, which involves reviewing a profit and loss statement to clarify how much a business made last year and analyze how to best divvy up those dollars going forward. "This is where having a Brian Thompson to work with is so important because you provide clarity very early on," Liz said. "Whether you're helping them get clarity of what they actually want out of their business, or what is actually happening in their business currently." Earn what you're worth with value pricing. Liz has yet to meet a client who charges what they're worth from the start. Value pricing is an alternative to hourly billing that helps entrepreneurs choose their fees. It takes into account what income they want to make, what they want to do, and which clients they want to serve. "You start to see based on your total revenue and clients how much your average client is paying you," Liz said. "Then we start playing with numbers." Ultimately, value pricing allows business owners to set different levels of pricing so that they can focus on what they enjoy and what they're good at. It also provides validation that the entrepreneur is providing a valuable service. "As soon as you stop saying I have to do this for $12 an hour, it's so fun," Liz said." Resources + Links Profit First: Transform Your Business from a Cash-Eating Monster to a Money-Making Machine by Mike Michalowicz Episode 6: Eradicating Entrepreneurial Poverty with Ron Saharyan Episode 7: Being Profit First with Mike Michalowicz Liz Szporn: Supporting the Entrepreneur's Journey Liz's Social Media: Twitter, LinkedIn Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian chats with Carl Richards, CFP and creator of the Sketch Guy column in the New York Times. Carl shares how he became an accidental artist by using a Sharpie to help a client understand a complex idea with a simple sketch. He also tells how he landed his famous column by saying yes to an opportunity and figuring out the rest later. On the episode, you'll hear Carl's driving concept of groundlessness and why he believes profit equals permission for entrepreneurs. He also shares the importance of more people doing "their thing" in the world -- and how he's following suit by doing more of what he loves. Episode Highlights Mission-driven businesses forcibly insert opinions. For Carl, a mission-driven business goes beyond making widgets for the sake of making widgets. Mission-driven businesses are tools to forcibly insert opinions into the world -- a metaphor he heard from someone else years ago and latched onto. "What I'm interested in is how I can use the business as a tool to forcibly insert an opinion into the world, and I think that another word for that opinion could be mission," he said. Profit equals permission. Beyond thinking of businesses as opinions, Carl also likes to think of them as art projects, in which businesses can be used to influence what exists in the world. In his case, Carl is always looking for his next art project, and he's recently realized that his prime goal in business is to get permission to do the next project. And that permission shows up on an income statement as profit. "All I want is enough profit to do the next art project," Carl said. "That's the goal. The goal of the current project is to earn permission to do the next." Aim for groundlessness. Carl's business operates using a set of principles called the code, one of which is called groundlessness. He named the concept after hearing Buddhist teacher Pema Chödrön describe trying to tie up all the loose ends but still the ground is shifting. "I'm only interested in questions I don't know the answers to," Carl said. "I'm only interested in the path that there is no path. Because if not, it's not me." For Carl, the concept of groundlessness has come to mean that if he does have ground beneath his feet, it's not the kind of work he should be doing. Instead, he's interested in what he calls the most intimate form of risk. "You're literally saying to someone, 'Here's a piece of me. Judge it through your dollars,'" Carl said. "That's a very intimate form of risk, and to me, it's the only form of risk I'm interested in because it means we're doing the thing we were put here to do." Get clear about what you love to do. Carl's unique and zest-filled approach to business means he has no plan to retire -- at least in the conventional sense. He plans to keep working, while being more diligent in the projects he takes on and delegating or deleting everything that he doesn't love. His approach to "retirement" came a few years ago when his teenage son asked what things he would stop doing when he retired. When Carl listed a few things, his son then asked if he would be more or less successful if he stopped doing those things today. The answer was yes. "He goes, 'I don't mean to be silly here, but why are you still doing those things today?'" Carl recounted. "So I've been on this kick of asking how I can get more and more clear about what I want to do." Resources + Links Carl's weekly New York Times column Carl's Books: The One-Page Financial Plan: A Simple Way to Be Smart About Your Money and The Behavior Gap: Simple Ways to Stop Doing Things with Money Living Beautifully with Uncertainty and Change by Pema Chödrön Carl's Social Media: Twitter, Instagram, Facebook, LinkedIn Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

In this special episode, host Brian Thompson shares how to build a proper foundation for your business to ensure it can support long-standing success. He outlines eight essential tasks to check off when starting a company that can help minimize risk and give you a solid foundation. Episode Highlights Starting a business can be daunting and setting up a solid foundation to grow from is critical for future success. Here are eight first steps to start your business on solid ground. Step 1: Pick your company name. As new parents know, picking a name isn't as easy as it may sound. A business name can ultimately help -- or hinder -- your success. A good business name not only communicates who you are and what you do but also drives branding and marketing efforts. When thinking of business names, it helps to clarify your vision and purpose, know your ideal clients, and how you'll add value. Creating a one-page business plan can also help you think clearly. "Remember that a name doesn't have to be perfect. You can change it as you need to." Step 2: Pick a business structure. Your business structure is the legal framework of the company you're building. Common small business organizational structures include limited liability companies (LLC), partnerships, and S corporations. The type of business structure you choose will impact numerous aspects of your business, from the paperwork you need to file to how you pay taxes. "While taxes shouldn't be the only concern when picking a business structure, you'll want to consult with a tax professional to make sure you're making the best choice for your situation." Step 3: Register your business. Once you have a business name and structure, it's time to register your business. In most states, you can register with the Secretary of State's office. However, if you want to protect your name on a national level, consider registering with the United States Patent and Trademark Office. Also, don't forget to make sure your company can be found on the web! Before registering, check website domain registrars like GoDaddy and Google Domains to ensure your domain is still available. Step 4: Apply for your Employer Identification Number. Similar to a Social Security number, your Employer Identification Number (EIN) is a federal tax number used to identify your business. You can use it to get a business license, open bank accounts, obtain credit lines, and pay taxes. Technically, you don't need an EIN unless you have employees or plan to form a partnership, LLC, or corporation. But even if you don't need an EIN, it doesn't hurt to have one. It can keep your personal Social Security number private. "You can apply online in just a couple of minutes and reduce the chance of identity theft." Step 5: Get a business license and permits. All sorts of complex rules exist with different licensures. Depending on what type of industry you're in, a federal, state, or local agency may regulate your business. You'll likely need a state, county, or city license, and you may need permits or state registrations to do business across state lines. "Make sure to research your state, county, and city regarding regulations for your particular type of business." Step 6: Open bank accounts and set up a cash flow system. With the regulatory hurdles out of the way, it's time to look at the operational side of your business. It's essential to get a business account and set up your cash flow system. Opening separate bank accounts will keep your business and personal assets separate, which is critical for tax and legal purposes. It also establishes your company as a separate entity should you need a loan and allow you to set up merchant accounts for faster payment. Having an account is one thing, but successfully managing your cash flow is another. Mike Michalowicz's Profit First System is a great way to ensure that your business is profitable, that you're ready for your quarterly tax bill, and that you're paying yourself a reasonable wage. Step 7: Get an accounting system. While you're addressing operations, it's a great time to set up an accounting system like QuickBooks or Wave. These systems allow you to start tracking your business income and expenses right away. They also help you take advantage of tax deductions. "As a tax attorney, I represented clients who didn't keep good records before the IRS and it was brutal. It's much easier to start the habit early." Step 8: Find the proper insurance. Now that you have a business, you're going to want to protect it. One way to do that is by getting the appropriate type of insurance. Common types of business insurance include general liability insurance, professional liability insurance, and home-based business insurance. "While your business structure will protect you from personal lawsuits, you'll want to make sure your business is protected as well." Resources + Links Articles "The Lean Startup: How Today's Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses." Eric Ries. "One-Page Business Plan Templates." Susan Ward, The Balance Small Business. Websites Fizzle U.S. Small Business Administration United States Patent and Trademark Office "Apply for an Employer Identification Number (EIN) Online." IRS Tools The Profit First system by Mike Michalowicz Relay Quickbooks Wave More From Brian "Purpose And Profit: 4 Keys To Creating A Profitable Mission-Driven Business." Forbes. "Can I Deduct That As A Business Expense?" Forbes. "Should I make an S-Corp Election?" BT Financial. Episode 7: Being Profit First with Mike Michalowcz Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian Thompson chats with Elle Moxley, the executive director of the Marsha P. Johnson Institute. The institute seeks to better the lives of Black transgender people through organizing, advocacy, and community. Elle founded the nonprofit institute in response to the murders of transgender women of color. On the episode, Elle shares how the Marsha P. Johnson Institute resulted from her vision for her own life and the wider world. She also discusses the racial tensions following the murder of George Floyd and how she combats exhaustion by pursuing joy daily. Episode Highlights Mission-driven businesses support the collective. Elle defines a mission-driven business as one with an intention of more than just making money as well as a company that supports a collective rather than just an individual. "It is one that is driven towards supporting people with the same rigor and regard as its enterprise endeavors," Elle said. "Mission-driven businesses really account for the full experience that people are having." At the Marsha P. Johnson Institute, that mission is to illuminate the root cause of violence against transgender women of color, especially Black transgender women. The mission strongly aligns with Elle's personal values. "I really wanted to do my part, not only as a Black trans woman, but as a Black person in the world to interpret the reasons why murder takes place in communities that are already so intensely interrogated," she said. Use your vision to guide your business. Like many entrepreneurs on the podcast, Elle didn't set out to start a company, nor did she know whether she had the skills and leadership qualities for her current role. But Elle did have a big vision for her life and the world -- a vision that others didn't always share. Founding the Marsha P. Johnson Institute and her other ventures helped Elle realize that vision. It also helped her to become the best version of herself that she could be. "The only way I could do that was to start my own businesses and to actually be the person behind the vehicle in which my dreams were presented to the world," Elle said. Combat exhaustion by cultivating joy. Elle's work can be emotionally exhausting, especially as murderers continue to target Black transgender women and some people attempt to minimize the impact of her work. To keep motivated, Elle looks for joy, which she defines as the opposite of constant frustration and fear. "The joy is something that I never really get exhausted from," she said. "That's the real work I aspire to do daily: How can I create more joy for myself and the people that I love?" Resources + Links Marsha P. Johnson Institute: Website, Twitter, Instagram, Facebook, TikTok Forever Free Productions / Black Beauty Elle's Social Media: Twitter, Instagram, Facebook Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.

Brian Thompson chats with Laura J. LaTourette, CFP, the founder of Family Wealth Management Group. As a self-made entrepreneur, Laura has prioritized building her fee-only financial planning firm while living fully as her authentic self. Her comprehensive planning and wealth management approach demands the same kind of determination, self-reflection, and bold spirit from clients. On the episode, Laura shares strategies she's used to build her successful, long-standing firm and the lessons she wishes she had learned a little sooner in her entrepreneurial journey. She also discusses why now is the time to build wealth for the LGBTQ+ community and how being vocal and visible can inspire compassion. Episode Highlights Mission-driven businesses come from the heart. Laura defines a mission-driven business as one that comes from your heart and reflects who you are authentically as a person. Although she didn't define her financial planning firm as a mission-driven business at first, when she came out as a lesbian in 1994, Laura knew she wanted to help people like her. "I worked with women in transition -- women through divorce or being widowed," Laura said. "Then I also found my LGBTQ community needed help with understanding the language of financial planning, so I just kind of took off from there on an organic basis." Keep a firm line between advising and therapy. One of the benefits of being an entrepreneurial financial planner is the ability to show up authentically, which helps Laura build trust with clients and form real relationships. Laura is clear that working with her means a long-term commitment. "It's a long-term relationship," she said. "It's not a transactional situation." Having that type of client relationship requires both Laura and her clients to be vulnerable, and Laura will share part of her story to help her connect with clients. However, she is careful to make sure an appointment does not turn into a therapy session. "If they go so far that it seems like they're really giving me too much information, I do talk to them about financial therapists," she said. It's time to build wealth for the LGBTQ+ community. As a new wave of anti-LGBTQ+ legislation sweeps through the country, stoking fears that marriage equality might be the next right overruled by the Supreme Court, it's now a priority to create a "rainbow network" that builds wealth and provides financial education for the LGBTQ+ community. "We've got trans kids dying, and we've got LGBT elders not able to find a safe place to live during their ending days, so we've got trouble on both ends," Laura said. Laura called on the LGBTQ+ community and allies to become visible, vocal advocates on business boards and in places of power. Laura lives this advice by serving as an ambassador in the financial services industry and by sharing her perspective with clients who sometimes find it uncomfortable when she mentions her wife. "The more you make them uncomfortable, at some point, then they start getting comfortable," Laura said. "They may not be able to advocate for me yet, but I can at least bridge an opening of their heart." Resources + Links Family Wealth Management Group Laura's financial industry leadership: CFP Board Ambassadors, FPA PridePlanners Laura's Social Media: Twitter, LinkedIn Brian's Social Media: Twitter, Instagram, Facebook About Brian and the Mission Driven Business Podcast Brian Thompson, JD/CFP, is a tax attorney and certified financial planner who specializes in providing comprehensive financial planning to LGBTQ+ entrepreneurs who run mission-driven businesses. The Mission Driven Business podcast was born out of his passion for helping social entrepreneurs create businesses with purpose and profit. On the podcast, Brian talks with diverse entrepreneurs and the people who support them. Listeners hear stories of experiences, strength, and hope and get practical advice to help them build businesses that might just change the world, too.