Updated: Sep 4, 2019
By Tomica Moore Sponsored Article by Do Moore Consulting and Paralegal Firm
*The Seed is SAPIO Magazine’s financial literacy and wellness column.
So, you’ve decided that the risk is worth it! You quit your 9 to 5 and now you’ll be depending solely on your business to put food in your belly and keep the bills paid. Business is going to take off like a 737 from Dallas to Las Vegas! It all sounds good, right? Well... that’s not quite how it happens. Before you launch your business, you’ll need to set some reasonable goals, specifically financial ones. I’m no financial expert, but I do know that personal finance is important when it comes to launching any startup or brand. As both entrepreneur and small business consultant, I’ve learned firsthand that personal financial goals are key to having a successful business. When your business becomes your paycheck the last thing you’ll want standing in your way is you! Getting clear about details of everything from your personal expenses to how much you will need to save to launch will help your business maintain the success you’ll have worked so hard for. Oftentimes, when I consult with small business owners, the specifics differ, but usually, the common denominator or most in the beginning is lack of money and/or knowledge of financial planning. “As soon as my business becomes profitable” - or as soon as my business grows - “ I’ll create a financial plan and get my credit fixed, but right now, that’s not important,” is what they usually say. After all, entr epreneurs are optimists so it has to work, right? I launched my business last winter and lacked many things, including personal financial goals. Although I specialize in helping others launch and grow their businesses, as well as secure business capital, I was secretly struggling with the same obstacles. I’ve come to understand that personal finance, is the most frequent and most dangerous overlooked issue for small business owners. What my experience and the experiences of those I’ve met has shown me is, that be it something as small as a cellphone memo, or as large as financial firm, most people fare better when they have a constant reminder of their goals (financial or otherwise) and a structure or system for accountability (that they can respect) put in place to help push them closer towards their finish lines. I created a small checklist that you can use as a tool help you set practical objectives for your goals in your daily life as well as practices that can you help you cultivate healthy financial habits:
- Track how much money you have coming in
- List your assets and liabilities - Determine what you’re spending your money on - Decipher needs v. wants -Jot down ongoing expenses and be sure to include everything
(print out your monthly bank, Cashapp or any money tracking statements and highlight them) -Unplug any expenses and/or leaky buckets, monthly app subscriptions
- Create a weekly budget for groceries, YES, groceries. -Set a weekly allowance that allows you to get out (not to exceed 50% of what you were normally spending per week)
-Use cash instead of your debt or credit card -Track this for 3 months and revists steps/adjust accordingly. After seeing your results and tracking your process for at least 4-6 months, follow up with a company like Moore Consulting Firm and Paralegal services, LLC to help further expand your portfolio and build your financial legacy. Now that you are on track to your journey of personal financial freedom, Follow me on www.sapiomagonline.com as well as on social media (IG) @do_moore, as I reveal misconceptions and solutions to everything from abusiness credit, to lenders who will take risks on small business owners.