Embezzling from yourself

We've all probably done it at one time or another - we're short on funds to pay the electric bill when it is unexpectedly high, so we dip into our business money.

As time goes on, we dip in here and there for other things, non-business related. "Oh, it's no big deal," we think, "it's just a little bit."

The next thing we know, when a good opportunity arises for the business, we don't have the money. We don't have enough money to ship something out, or we could even be short on money for gas to go meet with a client!

How did this happen? Well, we embezzled from ourselves. We crippled our own business.

Of course we should pay ourselves, and I think it's good to reward yourself with something you really enjoy - that's what motivates us to keep going in our business. But make plans for it and keep a base amount of funds for your business that you never cut into. Keep a base amount as your business safety net.

Embezzling is misappropriation of funds. Your business money is not for buying the present for your 1st grader's friend's birthday party!

If you don't treat your home business as a real business, and you treat your business money like it's just "hobby money," then that's the only way other people (especially your family members) are going to think of it too. If you have been in the habit of taking money from your business, work to do whatever it takes to stop.

Sometimes it feels like you aren't getting anywhere in your business, and it becomes very demoralizing when there's no money in your business account.

Analyze the situation: are you really not getting anywhere with your business, or have you been dipping into your business money and damaging your potential of success?

~Darla