a Business Banking Account
When you are starting your
own business, it is very important to open your own business account,
or at the very least, have a separate personal account which you use
only for business expenses.
Unless you do, you could
easily spend too much of your personal money for business reasons,
or spend too much of your business income on frivolous items because
suddenly you have "extra money" even when that money should
have been put back into the business, or a savings account. A separate
account also makes it much easier to tell if and when your business
begins turning a profit, or if it is bleeding you dry.
You will want to use this
account for everything business related - all your expenses, and any
income you generate. If you use your personal credit card for anything
business related, be sure to write a check or do a bank transfer from
your business account to cover that credit card transaction.
If you accept payments
through PayPal, you can set up a separate PayPal account just for
business transactions - that way you don't have to keep track of personal
transactions for the clothes you bought or sold of your kids, and
the ones you bought or sold for your business. And as a bonus, the
first $500 you receive through PayPal with your new bank account will
not have any transaction fees.