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#1 Marko Vegano Madrazo

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Posted 20 January 2012 - 10:03 PM

Can or should I use my personal checking account instead of a business account? Is it better to have a, doing business as (DBA) or use my own name for business?

#2 Guest_The Unknown Craftsman_*

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Posted 20 January 2012 - 11:33 PM

I have found it easier to have a separate account for my business, as it simplifies record keeping, especially when doing taxes.

#3 Marko Vegano Madrazo

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Posted 21 January 2012 - 01:10 AM

I have found it easier to have a separate account for my business, as it simplifies record keeping, especially when doing taxes.



Thank you for your help.

#4 GEP

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Posted 21 January 2012 - 08:35 AM

I agree, definitely have a separate checking account for your business. It makes recordkeeping much easier. But you can use another personal checking account for this, you don't need an official business checking account, or a DBA account. Business checking accounts come with a lot of fees, I think they are generally geared towards businesses that are larger than a pottery studio. Whereas many banks offer free personal checking accounts these days.

Years ago before the Patriot Act, anyone could walk into a bank and walk out with a business checking account. But now you need an official license of some kind, or incorporation papers, to prove you are a business. These are just more expenses that a pottery studio doesn't need. Much simpler to operate as a sole proprietor with a free personal checking account.

If you use a personal checking account under your name, you can still use a different business name when you sell. All you need to do is, when someone wants to pay you with a check, have them make the check to your name.

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#5 Pres

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Posted 21 January 2012 - 10:13 AM

Can or should I use my personal checking account instead of a business account? Is it better to have a, doing business as (DBA) or use my own name for business?


I have had a personal account for years that I set up when I did shows. At that time I had it set up to do credit card purchases with a machine and all of the paper work involved. It made it a lot easier to do taxes and the other things that come with a business. Now that I do not do shows, and sell much less I still use the account for the studio-buying clay and materials, and other things, and for a place to put income. However, the account has become handy in another way as it never has much in it at a time I use it for internet purchases to protect my household accounts.

Simply retired teacher, not dead, living the dream. on and on and. . . . on. . . .                                                                                 http://picworkspottery.blogspot.com/


#6 Mark C.

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Posted 21 January 2012 - 05:26 PM

I have found it easier to have a separate account for my business, as it simplifies record keeping, especially when doing taxes.


I agree with this 100% unless its just a hobby thing
I have 2 business accounts and one personal account-its way easier at tax time
One thing you may consider is being a member of a credit union (joining) for the business account-they can cost more at regular banks
Credit unions are member owned and have less fees usually.
Msrk
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www.liscomhillpottery.com

#7 Marko Vegano Madrazo

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Posted 21 January 2012 - 09:49 PM

I agree, definitely have a separate checking account for your business. It makes recordkeeping much easier. But you can use another personal checking account for this, you don't need an official business checking account, or a DBA account. Business checking accounts come with a lot of fees, I think they are generally geared towards businesses that are larger than a pottery studio. Whereas many banks offer free personal checking accounts these days.

Years ago before the Patriot Act, anyone could walk into a bank and walk out with a business checking account. But now you need an official license of some kind, or incorporation papers, to prove you are a business. These are just more expenses that a pottery studio doesn't need. Much simpler to operate as a sole proprietor with a free personal checking account.

If you use a personal checking account under your name, you can still use a different business name when you sell. All you need to do is, when someone wants to pay you with a check, have them make the check to your name.

Mea


Well, I have to say, I like the way you think. Thank you so much. I was worried about the payment options I should give clients. It all makes sense

#8 Marko Vegano Madrazo

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Posted 21 January 2012 - 10:01 PM


Can or should I use my personal checking account instead of a business account? Is it better to have a, doing business as (DBA) or use my own name for business?


I have had a personal account for years that I set up when I did shows. At that time I had it set up to do credit card purchases with a machine and all of the paper work involved. It made it a lot easier to do taxes and the other things that come with a business. Now that I do not do shows, and sell much less I still use the account for the studio-buying clay and materials, and other things, and for a place to put income. However, the account has become handy in another way as it never has much in it at a time I use it for internet purchases to protect my household accounts.



Thanks Pres. I don't know about you, but I hate taxes. I use Turbo tax. It can be beneficial if you can take the time to look at all the steps it offers. Thanks for your reply.

#9 Pres

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Posted 22 January 2012 - 12:24 AM



Can or should I use my personal checking account instead of a business account? Is it better to have a, doing business as (DBA) or use my own name for business?


I have had a personal account for years that I set up when I did shows. At that time I had it set up to do credit card purchases with a machine and all of the paper work involved. It made it a lot easier to do taxes and the other things that come with a business. Now that I do not do shows, and sell much less I still use the account for the studio-buying clay and materials, and other things, and for a place to put income. However, the account has become handy in another way as it never has much in it at a time I use it for internet purchases to protect my household accounts.



Thanks Pres. I don't know about you, but I hate taxes. I use Turbo tax. It can be beneficial if you can take the time to look at all the steps it offers. Thanks for your reply.


When I first started doing shows I used an accountant for 3 years, then I decided to go with Turbo Tax, and have been using it ever since. It works really well at amortizing major expenses like kilns over the correct number of years-very helpful.

Simply retired teacher, not dead, living the dream. on and on and. . . . on. . . .                                                                                 http://picworkspottery.blogspot.com/





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