Why You Need To Separate Your Business and Personal Worlds

Your business. It’s your dream, your vision, your passion. So it makes sense the two would be inextricably linked. Or does it?

In Cash Flow Cure, you’ll learn the answer is “No!” Yes, as a business owner—whether you’re building a Profit or Legacy Business—you need to devote both time and money to growing your company. Your enthusiasm has to come through—and ring true—when you’re talking to customers and prospects. Customers must be as excited about your product as you are. These are essential practices, but can lead to your personal life becoming a subset of your business rather than the other way round. And this causes problems in both.

What Comes First: Personal Or Business?

Life will continue without your business. But, without your life, there is no business. Your personal happiness and Financial Security will help your business succeed. If you’re experiencing Money Stress in your personal world, you can’t build a successful, stable business that is also free from Money Stress.

Are you nodding your head in agreement? Are you also turning around and continuing with practices that place your personal life and finances second to your business?

Letting your business take over your life is an easy trap to fall into. People go into business to create income for themselves and share their knowledge with others. So when you make the mistake of becoming your business, sacrificing yourself and your own Financial Security almost seems natural.

Now is the time to stop putting your business first and your personal finances second!

Three Signs You Need to Separate Your Business And Personal Lives

If you realize you’ve let your business take over your life, don’t be discouraged. This is an extremely common mistake and is almost encouraged by the different success stories of entrepreneurs we hear. How can you know if you need to separate your business and personal lives?

Sign #1: Using Improper Language

When you speak, regardless of whether you’re talking about your personal or business world, you say, “I”, or “we.” And it’s unclear what “I” or “we” you’re referring to. Are you talking about the business? Or are you talking about you? When these references become lost in language, you’re probably unclear yourself.

Sign #2: Mixing Business and Personal Accounts

Business accounts should be used for business, and personal accounts should be used for personal needs. The concept sounds very simple, but so many business owners neglect to do this. If they need extra cash in their personal life, they borrow from the business without any real accounting or documentation. If the business needs money, they take money from their personal bank accounts to supplement.

Sign #3: Taking 100% Of The Profits From The Business

Many business owners are quick to pull 100% of the profit out of the business and into their personal accounts. Doing this leaves the business—and ultimately personal income—vulnerable. If the business is left with no money each month, there will be no retained earnings to hire more staff or expand services as needed.

How to Separate Business and Personal

So, how do you separate your business life from your personal? Start with your personal life and finances.

Again, without that personal life, there is no business. Pay Yourself First and Live On What Remains. Set up your Perfect Account Structure, Automation and work on terminating debt. Build a Security Buffer and your Freedom Generator. (More on the Four Money Principles here)

Without Personal Financial Security, you won’t be able to remove Money Stress from either your personal life or your business. A simple concept, but one that all too many business owners forget.

Start putting yourself first and your business second today!