03/08/2026
We’re going straight into Hard Life Lesson # 10: Finances are something you should never “just let someone else look after” when running a business either as a solo entrepreneur, with business partners, in personal relationships, and life in general.
Tax season, Fraud Prevention Awareness Month, first day of spring, what’s not to love about March?
I have been taking a bit of a break from posting my Hard Life Lessons. Taking my own advice, I’ve been looking after and getting the foundation for the next few years in place.
No matter how many years in business, it is important to step back and assess if you are heading in the right direction, the direction you intended to and wanted to go.
Often life has a way of making other plans for you and before you know it you are off course. Sometimes it isn’t by much and a simple adjustment gets you where you need to go.
In my case I’ve needed a compass, paper map, google maps, an atlas and a sherpa to find my way back on course working on the foundation I need to have balance, success and a life I have a hand in making for myself.
By far the most challenging part of my foundation has been “owning my finances”.
This is not something that comes naturally for me. In my personal relationships someone else always handled the finances.
Fun fact #1 – I never had my own bank accounts or handled any of my own “finances” aside from paying for supplies I needed for my business, and depositing the proceeds of my business, until I decided it was time to leave my marriage.
Fun fact #2 – I believed what other people told me about me handling my own finances. In a nutshell it was “hey, you’re not good at this, so let me handle it.”. My personal belief around this was so strong that it overrode all common sense, red flags for days, and put me into a very serious legal situation I may not have been able to get out of if not for solid proof of lies told against me.
Fun fact #3 – Despite my strong belief I cannot handle finances I’ve always been able pinpoint how much the supplies to operate my business producing baking and cooking products will cost me. I’ve also been able to earn a living doing what I love and have done the heavy lifting of carrying others with the profits of my business.
These fun facts where the training ground for my Hard Life Lesson #10. From them I learned that:
1. Personal and business finances should never mix. EVER!
All business expenses and income should be handled via business bank accounts, business credit cards AND an accountant that provides you monthly business statements, so you know that every penny is accounted for and where it is going.
If you enter into a “partnership” or “business arrangement” where your product (and by default all your expenses and earnings) are going to be mixed with someone else’s and they are “helping you” by handling ALL the finances, yet you never see monthly business accounting done by an independent accountant, or there are no business accounts opened, and after the first month you aren’t getting a “draw” from the business profits (or at the very least a percentage of the earnings you brought into the business that month or the previous month) so you can pay your own personal bills, then sprint to the nearest exit and don’t look back.
No matter how close your “friendship”. No matter how much you think you need their help. It is not going to end well for you.
You will more than likely be gaslit every time you ask to see any accounting.
You will be told to just take what you need for your expenses from the “cash in the freezer” or some equally shady s**t with cash.
2. When it comes to credit cards, no matter how convincing or no matter what the reasoning is, never use anyone else’s credit card even if they insist, even if they want you to pick up something for them while you’re at the store and want you to use their credit card to pay. Just don’t do it boo boo, just don’t do it!
When the partnership ends badly, and it will, you may find yourself facing fraud charges for using a credit card that wasn’t yours for purchases that your partner (and BFF) insisted be paid by that credit card. This happened to me and it took months to resolve along with a toll on my health both physically and mentally. All allegations were proven false thanks to actual evidence the card use was only stupidity on my part for trusting someone who was supposed to be my business partner and friend, but you’d never know it if you heard only their side of the story.
3. Only you, your banker and the CRA should have all your personal information.
Personal relationships fail; partnerships end.
Trust no one.
Your personal information could one day be used fraudulently.
Always trust your instincts, your gut feelings and don’t ignore any red flags.
