A friend of yours wants to start her own pet sitting business. She already has a business license that is required in her city. She has had a personal checking account for years. You have told her that she also needs to open a separate account for her business needs, but she does not understand why. Explain to her why she should have a business account separate from her personal account.
2007-01-17 10:09:00 · 3 answers · asked by Anonymous in Business & Finance ➔ Other - Business & Finance
for tax purposes, you need to give you accountant all of your expenses for the year so he can deduct them from your taxes, and if you have a seperate checking account it will make that job easier, and make sure you save all of your receipts in a shoe box, don't mix your personal checking account with a business account it will be a nightmare, go and talk to a cpa, they will get you on the right track
2007-01-17 13:23:20 · answer #1 · answered by besthusbandever 4 · 0⤊ 0⤋
One word - taxes! Personal and business deductions are not the same and need to be handled separately. If she doesn't sort it out correctly she's just asking to be audited.
2007-01-17 10:13:43 · answer #2 · answered by Brainiac 4 · 1⤊ 0⤋
she desires to have a separate account because of the fact she might desire to place money into the organization that she desires for her very own existence, like costs and stuff. She additionally desires to renowned her right quantity in her account for her organization. sturdy success explaining this to her. wish she gets it now:)
2016-10-07 07:40:45 · answer #3 · answered by ? 4 · 0⤊ 0⤋