Are you looking to start or grow a business to help you live your dream nomad life? Are numbers, finances, and taxes the thing you avoid? Are you struggling with where to begin, and how to register, and want to make sure it’s all done right? Here’s why RVers and nomadic entrepreneurs need tax services.
Ask any successful entrepreneur what the most challenging part of running a business is, and they will more than likely mention finances and taxes as one of their biggest challenges.
Business bookkeeping is much more complicated than simply balancing the checkbook each month and paying the bills on time. It involves careful tracking, reporting, and verification to ensure all the numbers line up correctly at the end of the month, quarter, and year.
Many small business owners think, “I don’t have the money to outsource and Quickbooks makes it so easy to do on my own.”
Unfortunately, even the most skillful entrepreneurs struggle with bookkeeping and money management sometimes, and that’s because it isn’t the job they’re meant to do.
Business finances and taxes can have many nuances, especially if there are partners or an S Corp involved. Because of this, intelligent entrepreneurs eventually see the benefits of hiring help to make sure it’s done right and avoid costly money mistakes.
Entrepreneurs Need Tax Services
Starting a business from the ground up requires lots of time and energy. However, it also involves careful financial planning so you can scale the business without going broke. No one wants to get a letter from the government that they did it wrong, right?!?!
Founders often wear many hats as they get their businesses off the ground, but keeping up with too many tasks can lead to mistakes and missed opportunities.
This is why having solid financial help on board from the start can really help RV entrepreneurs out — they can wear a few of the hats related to finances and taxes.
Business Registration
Before any RV entrepreneur can begin a new business venture, they must register their business and begin taking the necessary steps to file all of the required paperwork for licensing and doing business. This includes deciding what type of business to register as, like a sole proprietorship, limited liability company (LLC), or corporation, and making decisions about bank accounts and bookkeeping.
If an RV entrepreneur has trusted help, this makes these licensing and financial decisions that much easier. Find an experienced advisor who can list the benefits and challenges of each type of business entity.
A good bookkeeper or adviser can also help you compare bank fees, transaction limits, minimum balance requirements, and other details about business bank accounts from different providers. These startup details matter because they will set the stage for future growth and financial success for the business.
RV entrepreneurs have even more to think about because most likely their business will be online or remote and they need a way to accept money online. I’ve got you covered here too. Here are two banks I recommend for RV entrepreneurs:
Relay – no account fees or minimum balances, digital-first banking and support, savings accounts with interest, organize your money with several accounts for things like Profit First
Novo – ao account fees, a 100% online bank, use reserves for savings, expenses, and more, unlimited transactions (Get $40 by using my affiliate link)
Expense Tracking
RV entrepreneurs often start their businesses with little money in the bank. We call this bootstrapping and it’s perfectly normal.
To grow, business owners must predict or at the very least review what’s working in their business and look at future revenue and operating costs to determine how to scale their dream. This requires good records and an understanding of business reports that many entrepreneurs don’t have when they start.
Luckily, this is precisely the type of work bookkeepers and tax professionals (think tax advisors) are trained to do. This is why I say that RV entrepreneurs need tax services. There’s nothing wrong with needing a little guidance.
You can definitely use software and spreadsheets to help map out business projections for both revenue and expenses but do you know you’re doing it right?
This information can help entrepreneurs decide on budgeting, investments, and innovative growth strategies. With this information and a clear financial plan, startups can avoid burning through their cash too quickly and closing the shop before they even get off the ground.
Establish Procedures
I know it can feel overwhelming to make all this happen but it’s so important to know the health of your business. Without knowing your numbers, how do know if the business is successful at all?
Plus, if you procrastinate and ignore the numbers, then you end up having more stress later. It can take hours to get things organized. When you’re doing all the things, it’s hard to remember what an expense was actually for when you see it on the bank statement from 9 months ago. I forget what I ate for dinner last week, let alone what I bought for the business months ago.
As you’re starting your business, think about procedures and processes. They are necessary for all aspects of the business, especially those directly tied to money management.
There are expense reports, profit and loss statements, tax preparations, monthly budgets, and other documentation required by the government, and possibly business investors if you have any. Knowing all this and starting off properly is vital to the business and its financial future. After all, you did this to support your travel and dream life, right? This ensures you start on the right track and stay there without drifting into bad bookkeeping habits.
Business Growth
Business growth is a delicate balance of watching costs while potentially raising revenue. If your goal is growth, then it’s more important than ever to watch all the numbers and keep clean records.
If you want a side hustle to help with extras, then keeping it small is fine. However, you still need to know if it’s profitable or not. Another reason why RV entrepreneurs need tax services.
When you categorize and track expenses over time, you can spot trends and look for ways to adjust things before they become a problem. This can help you avoid costly mistakes and keep more money in your pocket.
Outsource
One of the most challenging parts of business startups involves tracking the finances and staying organized. You don’t want to skip hiring a bookkeeper or tax advisor altogether because they are critical in helping you avoid costly money mistakes.
No one wants to hear from the government, right?
How do you when you’re ready to outsource? If it feels overwhelming to you or you don’t even know where to begin. Those are two great starting points to outsource.
You can also look online for videos or courses to help you learn the numbers and bookkeeping on your own. Be careful here though. You can go down a Google or YouTube rabbit hole and get the wrong advice.
Now’s the time to hire help to review or ask specific questions. Outsource your tax return to make sure you maximize tax deductions and take all your expenses. Here’s why RV entrepreneurs need tax services to help make sure it’s done right.
Don’t be afraid to spend a little money to make sure you are financially organized and not missing important items. It’s crucial to helping you live your dream life with less stress.