Financial Fitness for Mom Entrepreneurs

Many people who started a business have no idea on the financial aspect of the business, they simply have the talent or skill to deliver a product or a service and they are good at it. Once they have started as business, they become entrepreneurs learning the ropes and of flexing their financial muscles. The same is said for most mom entrepreneurs. They are mostly the creative types such as artists, writers, trainers, counselors, photographers and for them, the financial aspect don’t come naturally. If you’re a mom entrepreneur or you own a business of any sort, it’s also your job to know about the money. You have to know if there is something wrong and you have to track your business growth as well.

mom entrepreneurs
So here are some pointers to help you work up those financial muscles:

Separate a checking account for your business. Once you’ve turned your hobby into a business, it should have its own financial capability. Some people put this off until they are making money, but having it’s own account makes it cleaner for the business to tax and this will make you take things more seriously.

Set a salary for yourself. Most entrepreneurs overlook the importance of this especially in the start up stage. If you pay your bills, vendors and suppliers, you must also set aside however small an amount for your salary otherwise, you will only burn out soon enough.

Consider hiring a bookkeeper. Because most mom entrepreneurs are not expert in finance, outsourcing a CPA or a bookkeeper is your best option. Preparing tax returns and bookkeeping is a strenuous activity for those not made for this. You may only end up frustrated and irritated if you insist on doing someone else’s job. So don’t miss out fun time with your kids and family pouring over accounting books when someone else has the calling and capacity to do it.

Monitor and manage your cash flow. For many moms, this can be quite a challenge, but with simple spreadsheet monitoring, you can look into your sales, expenses, receivables and returns. Focus on the numbers that will help you decide for the good of the business.

Women and mom entrepreneurs tend to ignore the financial aspects of the business. However, you will have to deal with it otherwise, you might not notice issues or problems when they arise. If you really are into running a business, you have to set boundaries on yourself, time and money.

Image Credit:
Feelart – FreeDigitalPhotos.Net

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How to Succeed in Becoming a Mom-Entrepreneur

mom-entrepreneurStudies indicate that about 15 percent of people who dare venture out and become entrepreneur succeed. On the other hand, 85 percent failed, lost their investment and ended up going back to their day jobs (if they could find one). If you’re considering venturing out and become a Mom-Entrepreneur, having real passion for what you do will give you better chances at succeeding. Here are some tips that you can apply while you’re working your way towards your business’ success.

Look Around

Observe your community and look around for potential services or products that you can provide. Study your neighborhood family’s profiles and keep in mind that these days, convenience is the name of the game. Identify what type of services you can offer your community that will allow them to devote more time for family or be more productive with their endeavors.

Skill Up

After years of slaving on the corporate world, you sure have acquired special skills from your job which you can use for becoming a Mom-Entrepreneur. Enhance these skills and talents by attending seminars, trainings, reading books and through the internet.

Explore your Options

There are several possible avenues for people who want to jump out of the corporate box and be a Mom-Entrepreneur. Some of them apply for a part time consultancy service or as a work-from-home specialist for call center or a business processing organization. So assuming you are internet savvy, you’ve got specific skills that a certain BPO requires and you’re proficient at verbal communications, you can easily take the shot at this type of home biz.

Apart from being an online specialist, you may also consider tutoring other kids aside from your child. Once you leave the corporate world, you’ll have more time to spend with your family and you can learn to teach your child new skills and a lot of information that he or she needs at school. You may also look at this from another angle. By developing your child’s skills and talents, you can apply for a scholarship and improve your child’s future all the while saving on their future educational expense. Your savings can now be invested to earn additional income.

Image Credit:
David Castillo Dominici

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