For new business owners or anyone thinking of starting their own business, this is quick video that explains why it’s very important to have two separate bank accounts, one for personal and one for business.
Having one bank account for everything will get messy. It will make your life a lot easier if you start off with two separate accounts, this protects you and your business. It will provide asset protection and corporate veil protection, as long you’re paying business expenses from the business account and your personal ones from your personal account.
The last thing a small business owner needs is for the IRS to audit them and go after their assets. Play it safe and open a separate account. Not only will this give you peace of mind, but it will also be easier to manage. It will be more organized and at the end of the year you won’t go crazy trying to separate everything.