Business and finance corner: What to watch out for if you just started a business

Anyone who’s ever started a business will testify to the existence of inherent risks. These risks unfortunately come with the territory. The best way to face them is to be prepared. Today’s blog looks at some of these risks and how business owners can minimize their impact or avoid them completely. Steve Sorensen embezzlement.

Quitting the day job

Probably, the first big risk business owners encounter is the temptation to quit their day job, especially if they see the business earning a bit of profit in its first few months. However, this profit doesn’t mean the business, or its income, is stable. Having a day job allows business owners to stay financially steady and secure, and it minimizes the possibility for the second risk on this list. Steve Sorensen embezzlement.

Business funds for personal use

One of the most common risks in business is to allocate the funding for the business for personal use. Sure, it’s easy for owners to say they’ll put the funding back, but then they’ll be missing the point – that business funds are and should never be for personal use. Steve Sorensen embezzlement.

No tax updates

Learning about the latest tax updates and tax laws in one’s city and state can minimize penalties. This is a risk that can be avoided if a business owner stays vigilant or if he or she hires a trustworthy accountant. Steve Sorensen embezzlement.