Are you a financially savvy business woman?
With a little prep work, and these 9 simple guidelines of the financially savvy business woman – you’ll be well on your way…
You’ve started your own business and you are finally making some money. Now, you want to create even more financial independence in your life.
But does more money, really mean more problems?
Maybe for the rich, famous, and careless, with unstructured work lives and the pressure to be popular – it could be possible to create an addictive, compulsive, and money-sucking lifestyle.
But, for most, more money means greater peace of mind, and the ability to make choices based on what your heart tells you, not which bills need your lipstick and a prayer.
1. Curb Dangerous Spending
Have you ever felt the shame that comes from buying more than you should or caught yourself on a stress spending spree with morning after regrets?
Maybe, you said to yourself –– it’s just one night of bottle service or you took a vacation that you knew you couldn’t afford…
Dangerous spending can rear its ugly head in so many ways, even under the guise of an investment for your future — such as starting a business or going back to school. Give yourself an expenditure examination by asking these 3 questions:
Am I being responsible?
Is this a want or a need?
Will the return be greater than the investment?
If you don’t have enough cash, then step away from that purchase and figure out what you are really feeling or need in that moment.
2. Damsel in Distress Fund
Every girl needs an emergency fund of 1000 dollars or more stashed away, for those, “just in case” life events. In particular, when your boyfriend gives you the boot, the transmission goes out on your Mini Cooper, or you are one of the casualties in the office layoff.
No more borrowing, it’s time to rotate your rhythm of debt. Always keep a bundle in cash and it will keep you from creating additional debt.
3. Pay the Pied Piper…
You’ve been robbing Peter to pay Paul for some Gucci Gucci goo. Now it’s time to pay off all those credit cards, and while you’re at it, start doubling down on your school loans too. Make a list of all your debts from the smallest to the biggest. The smallest balance is your first responsibility. Pay it off as quickly as you can, then go on to the next one.
“Think Before You Purchase” is your new motto!
Stop and Breathe. Try a 24 hour waiting period to make sure it isn’t an impulse buy.
Paying off debt is not always about the money. It’s about making smart choices from the beginning. When you start ditching your debt –– you will see how much fun it is to be financially savvy with your money and oh so free!
4. Rock and Bank Roll
If you are just starting out in your business, it can be easy to spend everything you make, however as a result of the first few moves, you should be debt free and ready to rock and roll.
Your next venture is to save 3-6 months of expenses. This money is for emergency only and should be kept in an easily accessible account, like a money market or savings. It is your financial protection and provides a security blanket between you and any unfortunate circumstances.
5. Salt and Silver
At one time, salt was a highly valued currency of trade. Have you ever seen a really enormous mound of salt –– it’s very impressive!
There are basically 2 ways to become wealthy, you can either save your cash or make the big bucks with one of your brilliant ideas.
Consider cutting your costs or limiting luxuries to a few precious pieces by putting an end to those fancy lip glosses (not forever) or giving up your $5 lattés, and trading in your “night out with the girls” for a stay at home evening of martini’s and manicure’s. If that doesn’t sound fun, then you better start brainstorming.
It’s not how much money you make, it’s about how much you can keep. Try saving 10 or 20 percent of your income depending on your age. Set up your Roth IRA today. If you don’t plan it, it won’t get done.
6. Educational Independence
You have your own business but you still desire a good education. Just, one skill under your silk sash can make a world of difference.
It’s a good idea to save for college or pay as you go. Don’t take out the maximum in school loans. Some people say, “School loans are cheap” –– no they aren’t! Most of them are at 6% or more. You can get a car loan for 0% – 2%.
Look for scholarships and work/learn environments. Pick a degree that will actually provide a future and skills for your business when you graduate because if you don’t, that education isn’t worth a dime.
You won’t pay off your school loans as a sassy barista while sipping that dark roast bean.
7. Cash on the Condo
You know that chic high-rise condo you’ve been spying –– the one with the big closet for all your Jimmy Choo’s. It is time to save 20% for a down payment and begin plunking all your extra cash toward paying off your new digs.
Don’t have a home, maybe you could pay off your mom’s house. Then, you’ll always have a place to call home. Begin allocating any subsidiaries to your mom’s place. It could pay off in the end when you have a heart centered abode awaiting your arrival. You never know when you might end up there until you get back on your feet. Be grateful and put that in your emotional bank account.
You are one step closer to realizing your financial dreams of being fiscal and free, without the bonds of that monthly mortgage payment.
8. Financial Freedom
Being financially comfortable isn’t about having more money –– it’s about earning the emotional freedom that allows you to make better professional and personal choices. Your ability to make financially savvy choices often results in discovering your most equitable profit pathways while still accumulating more money.
The best time to save is when you have come into some new money. It’s often a matter of thinking about your financial future at a time that calls for the sound of a cork popping on a bottle of champagne, like when you get a new client, win a lawsuit or receive an inheritance.
Try living at the standard you are used to, rather than, immediately getting that seductive new sports car or shopping that stylish summer bazaar. You won’t be depriving yourself of anything and you’ll have the ability to begin accruing some real resources.
9. Leave a Legacy of Love…
Begin to build wealth and you can give to others like never before. If you have a reservoir of wealth, the most fulfilling gift is to share it with others.
When you bestow a beautiful legacy of great influence on subsequent generations –– you leave an inheritance that keeps on giving long after you are gone.
It’s the best way to grow your wealth and feel like a financially savvy business woman.