ENTR-8045B Avoiding Financial Pitfalls

Prerequisites None
Start strong and avoid the financial missteps often made by first-time small business owners. Explore important financial considerations when starting a business and avoid the pitfalls of poor decision making. Learn how to apply personal finance techniques that will carry over to a solid financial foundation for your small business.

Contact Hours: 9
Search for Class/Register

• Understand how personal finances impact business success
• Understand common business start-up risks/issues
• Knowledge of important tax considerations
• Understand how to define preliminary financial needs and what it means to be bankable

• Personal finance and how it impacts your business success
• Understand what it means to be bankable
• Business finance and smart set up steps
• The importance of separating personal from business finance (but understanding the connection), bank reconciliations, budgeting, the different between “gross” and “net”
• Business entity selection and what taxation will look like for common structures
• Where to find public information on business formation (.gov sites).
• Employee vs Independent Contractor - Underlying issues of misclassification
• What not to do when funding your business (i.e. tap 401K, ramifications of borrowing against house, etc.)
• Business taxes, what do they look like? Avoiding the many pitfalls faced by first time business owners
• Why you need a team of professional advisors and who they should be (Attorney, CPA, Financials Advisors, etc.)
• Discuss funding options and what is needed for a bank loan
• Resources and next steps

All assignments must be completed.  Active participation is required.

Upon successful completion, this course will appear on the student’s Macomb Community College non-credit transcript.

Textbook
No textbook required; course materials will be supplied