When running a business, finding the balance between paying yourself, managing cash flow, and growing the company can feel impossible. What happens when your resources are stretched thin, and you're questioning your next steps? This episode unpacks the struggles and solutions.

On this episode of Become Sensible, Fiona and her co-host dive into the nitty-gritty of early-stage business challenges. Together, they tackle a case study of a product-based entrepreneur facing inventory bottlenecks, funding hurdles, and personal financial strain. We explore essential topics like raising capital, understanding your breakeven point, building relationships, and making strategic moves to keep your business afloat while still managing personal obligations. It's a masterclass in prioritizing what truly matters.

"Running a business is hard, but with the right strategy and mindset, you can build something extraordinary." Tune in to discover how to focus your time and energy where it counts most and embrace the resilience it takes to succeed.

Connect

Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps:

• 0:00 - Introduction and the reality of juggling personal and business finances
• 2:30 - Exploring a case study: the entrepreneur's cash flow and funding challenges
• 5:00 - The importance of inventory management in a product-based business
• 7:00 - Strategies for raising capital: self-funding, angel investors, and venture capital
• 10:30 - Aligning your resources: capital, time, expertise, and relationships
• 15:00 - How to identify your breakeven point and prioritize efficiency
• 18:30 - Balancing quality, customer promises, and business growth
• 20:00 - The concept of balance in business: myth or reality?
• 25:00 - Building resilience: creating recovery moments and sustainable habits
• 30:00 - Practical advice for testing a business idea and knowing when to pivot
• 31:00 - Closing thoughts and listener questions: balancing passion and strategy

Hosted on Acast. See acast.com/privacy for more information.

Ever wondered if an S Corp structure could help reduce your tax burden? Many business owners are surprised to learn how shifting their LLC to an S Corp could save them thousands. But the journey isn't without its hurdles---phantom income, self-employment tax, and missed compliance deadlines are just the beginning.

On this episode of Become Sensible, Fiona and Anh dive into the world of S Corporations, discussing why and when it makes sense for a business to transition from an LLC. They examine a real-life client case involving a creative agency, tackling common pain points like self-employment tax concerns, phantom income issues, and challenges in keeping personal and business finances separate.

Connect

• Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps

• 0:00 - Introduction to the episode and today's case study
• 1:30 - Overview of the client's business: structure, revenue, and tax issues
• 3:00 - Understanding phantom income and its impact on LLC members
• 5:00 - S Corp advantages for reducing self-employment tax
• 7:15 - Step-by-step guide to filing for S Corp status
• 9:30 - Common administrative errors and tips for staying compliant
• 12:00 - The importance of separating personal and business expenses
• 15:30 - Strategies for effective quarterly tax planning
• 18:45 - Tips on reasonable salary and tax savings for S Corp owners
• 21:00 - Listener Q&A: Operating agreements, home office deductions, and more
• 25:30 - Wrap-up and final advice on navigating the LLC to S Corp transition

Hosted on Acast. See acast.com/privacy for more information.

Are you trying to decide if an S Corporation is the right choice for your business? I know it sounds appealing with all those potential tax savings, but making the wrong choice can lead to unnecessary complications. But how do you know if an S Corp is truly a smart move for your business?

On this episode of Become Sensible, I'll take you through everything you need to know about S Corporations---from what they actually are to how they differ from other structures, like C Corporations. I'll cover the unique tax benefits, the requirements and limitations, and how this entity type can impact your long-term growth strategy. Whether you're a new entrepreneur or have been in business for a while, this episode will help you understand if an S Corp is the right move for your situation.

Connect

Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps

• 0:00 - Introduction to S Corporations and common business questions
• 1:00 - Understanding what an S Corporation is and its unique tax treatment
• 3:00 - Pass-through benefits and how they differ from a C Corporation
• 5:00 - Key components and restrictions of an S Corporation
• 8:00 - Tax advantages and the role of self-employment tax
• 10:30 - Who should consider an S Corporation and the factors involved
• 12:00 - Calculating reasonable compensation and IRS expectations
• 15:00 - Weighing S Corp costs vs. benefits for small business owners
• 18:30 - Common misconceptions and mistakes with S Corporations
• 21:00 - Choosing between LLC and S Corporation based on business phases
• 24:00 - Planning ahead: S Corporation requirements and deadlines
• 26:00 - Key takeaways and final advice on choosing the right business structure

Hosted on Acast. See acast.com/privacy for more information.

Turning a creative passion into a thriving e-commerce business is an incredible journey! But along with the excitement of launching products, the reality of managing sales tax, bookkeeping, and finance essentials can quickly feel overwhelming. So, what if we had a clear roadmap to handle it all?

On this episode of Become Sensible, we tackle the complexities creatives face when managing sales tax compliance across multiple states, understanding bookkeeping needs, and setting up efficient systems for growth. Together, we explore how to stay compliant with tax laws, choose the right accounting software, and protect time for creativity without getting bogged down by numbers. Whether you're a new business owner or scaling up, this episode offers practical insights to navigate the financial side of your business confidently.

"Managing finances is a skill you can learn and master. It's all about starting strong and setting up systems that work for you."

Connect

• Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps

• 0:00 - Introduction to sales tax challenges for creatives
• 2:00 - The basics of sales tax and digital product compliance
• 5:45 - Understanding Nexus and state-by-state sales tax requirements
• 8:15 - Tips for navigating multi-state tax obligations
• 12:00 - Choosing the right accounting software for your e-commerce store
• 15:45 - Why creatives need automated systems for bookkeeping
• 18:30 - Handling bookkeeping and finances without interrupting creative flow
• 21:00 - Essential questions to ask your accountant
• 23:30 - Staying compliant with sales tax deadlines
• 26:00 - Financial confidence through regular review and tracking systems
• 28:30 - The biggest financial mistakes creatives make and how to avoid them

Hosted on Acast. See acast.com/privacy for more information.

On this episode of Become Sensible, Fiona Nguyen breaks down the importance of owner equity. From defining what it is to explaining how it impacts financial health, growth potential, and investor interest, this episode is packed with actionable insights. Whether you're running an LLC, a corporation, or just starting out, understanding owner equity could help you measure success, plan your exit strategy, and even attract investors.

"Financial clarity is not just a numbers game; it's the foundation for making better business decisions."

Connect

• Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps

• 0:30 -- Introduction to the topic of owner equity and why many entrepreneurs overlook it
• 0:53 -- Defining owner equity: What it is and why it matters
• 1:50 -- The importance of tracking owner equity for financial health and growth
• 2:27 -- Understanding equity in the context of different business structures (LLC, C Corp, etc.)
• 3:43 -- How increasing equity signals business growth and attracts investors or lenders
• 4:57 -- Key components of owner equity: Investment, distribution, retained earnings, and net income
• 6:30 -- The impact of equity on tax planning and compliance, with a focus on S Corporations
• 8:05 -- Practical advice on managing distributions and avoiding accounting mistakes
• 10:12 -- Why financial reporting needs to align with accurate equity management
• 11:46 -- Strategic planning tips: How equity helps with expansion, diversification, and exit strategies
• 14:25 -- Conclusion: Emphasizing the importance of owner equity for financial clarity and better decision-making

Hosted on Acast. See acast.com/privacy for more information.

It's easy to put off taxes---until the years pile up, and suddenly, the task feels impossible. But you don't have to do it alone. What if I told you that catching up on back taxes is simpler than it seems, and getting started today could save you from bigger problems tomorrow?

On this episode of Become Sensible, I introduce my new co-host, Anh, and together we dive into the story of “Samantha”, a graphic designer who came to us with three years of unfiled taxes. We walk through the exact steps I take with clients to prioritize the oldest tax year, minimize penalties, and catch up on bookkeeping.

"The best time to start is yesterday, and the second-best time is today."

If you've been avoiding your taxes out of fear or overwhelm, I want to assure you---it's never too late to turn things around.

Connect

Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

Timestamps

• 0:00 - Introduction to the episode and my new co-host, Anh
• 2:00 - “Samantha's” story: A graphic designer with three years of unfiled taxes
• 5:15 - Where do you even start if you haven't filed taxes in years?
• 8:30 - Should you manage your taxes or hire a CPA?
• 10:45 - Using AI-powered accounting tools for faster tax prep
• 14:00 - How does the IRS calculate penalties and interest?
• 17:00 - Can you request a waiver for penalties?
• 20:45 - Fixing automatic IRS filings with amended returns
• 24:30 - How important is keeping up with bookkeeping?
• 27:00 - Encouragement: "Better late than never"
• 30:00 - Final thoughts: Don't be ashamed---just start today

Hosted on Acast. See acast.com/privacy for more information.

Q4 is here---are you ready to finish the year on a high note? Whether you've had an incredible year so far or faced challenges, now is the time to set strategic financial goals to close 2024 with success. But how do you ensure these goals are actionable and impactful?

On this episode of Become Sensible, I walk you through a step-by-step approach to setting up your business's financial plan for Q4. From assessing historical data to identifying key performance metrics and setting ambitious yet achievable goals, I provide a practical blueprint for business owners. You'll also learn about the importance of tracking your progress and how to adjust strategies based on real-time data, ensuring your business is positioned for growth as the new year approaches.

"Failing is a part of the business journey, but it's how we use those lessons that determine our future success."

Connect

Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

***

Timestamps

• 0:00 - Introduction and the significance of Q4 planning
• 1:30 - The importance of financial reflection and historical data analysis
• 3:00 - Key questions for evaluating your financial performance over the past nine months
• 5:00 - How to set Q4 financial goals that are both challenging and achievable
• 7:30 - Product and offering strategy: Adapting to market changes and customer behavior
• 10:00 - Cash flow and profitability targets for Q4
• 12:00 - The impact of changing identity and aligning actions with your goals
• 14:30 - The role of tracking financial habits and progress
• 16:00 - The importance of adapting strategy based on real-time data
• 18:30 - Communicating your business

21:00 - Encouragement for building a strong foundation for long-term business success

Hosted on Acast. See acast.com/privacy for more information.

As a business owner, figuring out how to pay yourself can be one of the most challenging decisions you face. It’s not just about taking a paycheck—there are tax implications, cash flow concerns, and long-term financial impacts to consider. How do you make sure you're doing it right?

On this episode of Become Sensible, I break down everything you need to know about owner distributions. I’ll guide you through the different ways to compensate yourself, including how distributions differ from payroll, and what this means for your taxes. No matter if you're a sole proprietor, running an LLC, or managing a corporation, you'll come away with a clear understanding of how to pay yourself and manage your personal finances while staying on top of your tax obligations.

"Distribution is not just a paycheck; it’s a financial decision with long-term implications."

Connect

• Follow me, Fiona Nguyen, on LinkedIn. Learn more about Balannx.

***

Timestamps:

• 0:00 – Introduction to owner distributions and tax implications
• 1:30 – What is an owner distribution, and how does it work?
• 3:00 – Owner distribution vs payroll: Key differences
• 5:00 – Understanding your business structure and its effect on taxes
• 7:30 – Real-life example: How an S-Corp owner handles payroll and distribution
• 10:00 – The risks of drawing too much from your business
• 12:00 – Tax implications for sole proprietors, LLCs, partnerships, and corporations
• 15:00 – The importance of managing owner equity and reasonable compensation
• 17:00 – How to plan your owner compensation with tax strategies in mind
• 20:00 – Wrap-up and final thoughts on paying yourself as a business owner

Hosted on Acast. See acast.com/privacy for more information.