Identify your financial needs

One of the first questions to ask yourself when planning your business is to decide how much money you want and need to make to sustain yourself and the business? Most people who own micro businesses are not interested in becoming millionaires, but want to make enough money to be able to support themselves comfortably and to do the kind of work they like to do.

You will need to set up an account for your business. When you go to the bank be sure to bring your identification as well as your business license. The bank will then be able to open your business account. It is very important to always keep your business and personal resources seperate. See the following for more information about personal vs. business resources.

Check out the other sections in this guide which cover bookkeeping and taxes. These are all important peices of your financial needs.

If you recieve public benefits such as Social Security, be sure to have a benefits analysis to find out how your benefits will be effected by earnings.

The financing basics site on Business.gov offers a tremendous amount of information about the financial development of a business. Some important peices are:

• Knowing the basics
• Estimating costs
• Breakeven analysis. (When will your business make money)

The Small Business Administration has prepared a workbook All You Should Know About Finances. This workbook gives a full tutorial about business finances and programs.

Home | Business Development | Funding Your Business | Money Management
Glossary | Using This Site | Site Map

For assistance or additional information contact:

The Center for Human Development by email | 2702 Gambell Street, Suite 103, Anchorage, AK 99503 | Phone: 907-272-8270 | Toll Free: 1-800-243-2199

The Center for Human Development and UAA are an AA/EO employer and educational institution.